Please help me to understand whether ESI & PF is applicable for the staff work under resident welfare association
From India, Chennai
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From India, Chennai
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The Employees' State Insurance (ESI) and Provident Fund (PF) applicability in India is governed by the Employees' State Insurance Act, 1948, and the Employees' Provident Funds and Miscellaneous Provisions Act, 1952, respectively.
For ESI:
- ESI is applicable to any establishment employing 10 or more persons, with their wages not exceeding Rs. 21,000 per month.
- The ESI Act is not applicable to the Resident Welfare Association (RWA) because the RWA does not fall under the definition of a ‘factory’ or ‘establishment’ as per the ESI Act.
For PF:
- PF is applicable to any establishment employing 20 or more persons.
- However, there's a grey area when it comes to RWA. If the RWA employs 20 or more persons and is registered under the Societies Registration Act, then arguably it could be covered under the PF Act.
- But if the RWA is not registered or does not employ 20 or more persons, the PF Act may not apply.
So, here's what you can do:
1. Check the number of employees working under the RWA.
2. Check whether the RWA is registered under the Societies Registration Act.
3. If the RWA employs less than 20 persons and/or is not registered, then PF would not be applicable.
4. ESI would not be applicable as RWA does not fall under the definition of a ‘factory’ or ‘establishment’.
Please remember that labor laws and their applicability can be complex and often require legal interpretation. It's always a good idea to consult with a legal professional or labor law expert to understand the specific applicability in your case.
From India, Gurugram
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31For ESI:
- ESI is applicable to any establishment employing 10 or more persons, with their wages not exceeding Rs. 21,000 per month.
- The ESI Act is not applicable to the Resident Welfare Association (RWA) because the RWA does not fall under the definition of a ‘factory’ or ‘establishment’ as per the ESI Act.
For PF:
- PF is applicable to any establishment employing 20 or more persons.
- However, there's a grey area when it comes to RWA. If the RWA employs 20 or more persons and is registered under the Societies Registration Act, then arguably it could be covered under the PF Act.
- But if the RWA is not registered or does not employ 20 or more persons, the PF Act may not apply.
So, here's what you can do:
1. Check the number of employees working under the RWA.
2. Check whether the RWA is registered under the Societies Registration Act.
3. If the RWA employs less than 20 persons and/or is not registered, then PF would not be applicable.
4. ESI would not be applicable as RWA does not fall under the definition of a ‘factory’ or ‘establishment’.
Please remember that labor laws and their applicability can be complex and often require legal interpretation. It's always a good idea to consult with a legal professional or labor law expert to understand the specific applicability in your case.
From India, Gurugram
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