I am working for a Pvt Ltd Company since 28th June 2013 to till date. It's a company providing customer service for its clients like Time Warner Cable, Samsung via Chat support and email support. When joining the company, my take-home salary was 13k per month, so I was covered under ESIC. Now, our salaries were revised in May 2014, and my take-home salary is 16k, so an amount of 800/- for Mediclaim. However, I am still being charged with ESIC. Is this correct? This is happening with all of us from our batch who joined with me. Please suggest something on this...
Thanks SUNIL
From India, Hyderabad
Thanks SUNIL
From India, Hyderabad
Sir,
1. You have not disclosed the view of your HR or officer who is attending to the work of ESI deductions in your unit for the continuation of such ESI contribution deductions. You should discuss the matter with him and ascertain the reasons for the continuation of such deductions under the ESI Act.
2. Kindly confirm whether Rs. 16,000/- includes overtime or not. Based on the amount of OT, the employer cannot exempt any person from the purview of the ESI Act.
3. However, if the facts, as mentioned by you, indicate that your salary/wages were increased in May 2014, then I believe the deductions of ESI contributions are correct, and the same will continue until the close of the present contribution period, i.e., up to September 2014 (if the wage ceiling is not enhanced by the appropriate government by that month). Please refer to the proviso to section 2(9) of the ESI Act, 1948, Rule 50 of ESI (Central) Rules, 1952, and Regulation 4 of ESI (General) Regulations, 1952.
From India, Noida
1. You have not disclosed the view of your HR or officer who is attending to the work of ESI deductions in your unit for the continuation of such ESI contribution deductions. You should discuss the matter with him and ascertain the reasons for the continuation of such deductions under the ESI Act.
2. Kindly confirm whether Rs. 16,000/- includes overtime or not. Based on the amount of OT, the employer cannot exempt any person from the purview of the ESI Act.
3. However, if the facts, as mentioned by you, indicate that your salary/wages were increased in May 2014, then I believe the deductions of ESI contributions are correct, and the same will continue until the close of the present contribution period, i.e., up to September 2014 (if the wage ceiling is not enhanced by the appropriate government by that month). Please refer to the proviso to section 2(9) of the ESI Act, 1948, Rule 50 of ESI (Central) Rules, 1952, and Regulation 4 of ESI (General) Regulations, 1952.
From India, Noida
Dear Mr.Sunil Though your slary is crossed Rs.15000/-upto end of the contribution period(that is Apr14 to Sep14) you are member in ESI. From Oct14 onwards you are relieved from ESI V.SUBBARAO
From India, Madras
From India, Madras
Dear Sunil,
It appears that your salary was revised with effect from May 14. Under the circumstances, you will continue to be under ESI till September 14. Please note that the ESI contribution period is from April to September under the ESI Act, and you will be out of ESI from October 1st, 2014, since you have crossed the coverage limit of a salary of Rs 15,000 per month. However, you may avail of medical benefits until March 2015 under the ESI Scheme (i.e., the next contribution period commencing from October to March 2015).
In light of the above observation, your employer could have covered you under the Mediclaim Scheme from April 2015.
Regards, Sibabrata Majumdar Management Consultant Legal & HR Kolkata sibabrata.majumdar@gmail.com
From India, Calcutta
It appears that your salary was revised with effect from May 14. Under the circumstances, you will continue to be under ESI till September 14. Please note that the ESI contribution period is from April to September under the ESI Act, and you will be out of ESI from October 1st, 2014, since you have crossed the coverage limit of a salary of Rs 15,000 per month. However, you may avail of medical benefits until March 2015 under the ESI Scheme (i.e., the next contribution period commencing from October to March 2015).
In light of the above observation, your employer could have covered you under the Mediclaim Scheme from April 2015.
Regards, Sibabrata Majumdar Management Consultant Legal & HR Kolkata sibabrata.majumdar@gmail.com
From India, Calcutta
ESI is statutory; it is a must. Mediclaim is your company policy for the benefit of the employee. You can continue the mediclaim if you want; otherwise, you can ask your employer not to deduct the contribution for the mediclaim policy.
From India, Hyderabad
From India, Hyderabad
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