Hi, I recently started my own IT company with a total of 20 employees in the team. I have limited knowledge regarding the deduction of PF and ESI, and I initially kept them on a salary of 7k during the starting period. So, is it necessary for me to deduct PF and ESI?
From India, Kolkata
1From India, Kolkata
Sir, yes, you are required to get your unit registered under both Acts - ESI Act, 1948 as well as EPF & MPs Act, 1952. In the case of ESI, you are also required to examine and confirm whether the area where your unit is located is an implemented area under section 1(3) of the said Act. The online registration procedure may be available in the form of literature/material published by the respective departments on their websites, and you can download and take action accordingly.
From India, Noida
From India, Noida
Yes it’s mandatory to deduct ESI and PF as statutory compliance. If you pay more than 15000 then no need of ESI but u said 7k. So have to
From India, Hyderabad
From India, Hyderabad
Sir Yes, It is desirable to register your company under PF and ESI act.It will not only provide your employee job security but also if you are planning it long term business,it would be mandatory.
From India, Thane
From India, Thane
Hi all,
I have a query regarding PF. I work in the construction industry, where the availability of labor is a difficult task. We pay them in cash as they are:
1. Casual & Migratory Workers
2. Most of them don't have bank accounts or any photo ID for opening bank accounts
3. They work under a labor contractor.
PF authorities are issuing notices and forcing us to enroll these casual workers under EPF, or else they are serving us notices. According to them, even if a worker worked for a day, PF needs to be deducted. However, when making it compulsory, workers are threatening to leave the work, putting us in a difficult situation. After much convincing, we were able to obtain IDs from a couple of workers who had Aadhar and proof of address. We are also paying them above the committed amount (from our pockets).
Recently, I heard that if a person has worked for more than 60 days, then only they should be made a member of PF. I am not sure how true this is.
Kindly advise.
Satya
From India, Pune
I have a query regarding PF. I work in the construction industry, where the availability of labor is a difficult task. We pay them in cash as they are:
1. Casual & Migratory Workers
2. Most of them don't have bank accounts or any photo ID for opening bank accounts
3. They work under a labor contractor.
PF authorities are issuing notices and forcing us to enroll these casual workers under EPF, or else they are serving us notices. According to them, even if a worker worked for a day, PF needs to be deducted. However, when making it compulsory, workers are threatening to leave the work, putting us in a difficult situation. After much convincing, we were able to obtain IDs from a couple of workers who had Aadhar and proof of address. We are also paying them above the committed amount (from our pockets).
Recently, I heard that if a person has worked for more than 60 days, then only they should be made a member of PF. I am not sure how true this is.
Kindly advise.
Satya
From India, Pune
Dear member, for over 25 years, the qualifying period of service for eligibility to become a member of EPF has been abolished. Now, as soon as a person joins any employment, they are required to be enrolled as a member, and contributions are required to be deducted and paid, including the employer's share. Therefore, in my opinion, there is no alternative but to ensure compliance regarding casual, temporary, or any type of employees, even those engaged for only one day.
From India, Noida
From India, Noida
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