hi friend please let me know that is it as per as law todeduct esi from over time if yes then accordind to which law please clarify rajeev
From India, Mumbai
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Hi, Yes ESIC is to be deducted from overtime at the same rate as deducted on salaries. It is to be deducted as per ESIC Act. Regards, Harshad
From India, Mumbai
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Dear rajeev,
Overtime earning attract ESI. Employer has to deduct the ESI contribution on overtime eraning. and at the same time he has to contribute also.
Apart from regular wages, Overtime allowances are considered as wages u/s 2(22) of the ESI Act.
Regards,
Ashutosh Chaturvedi

From India, Mumbai
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Dear rajeev,
Overtime earning attract ESI. Employer has to deduct the ESI contribution on overtime eraning. and at the same time he has to contribute also.
Apart from regular wages, Overtime allowances are considered as wages u/s 2(22) of the ESI Act.
Regards,
Ashutosh Chaturvedi

From India, Mumbai
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No, overtime is not a part of wages of salary and does not attract deduction under ESIC.
Please refer to the following decided case also mentioned on the ESIC Website at this link:
ESIC Delhi Region | ESIC Delhi | Employees' State Insurance Corporation India
Overtime wages could not be treated as "wages" for the purpose of contribution under the Hind Art Press v. ESI Corporation 1990 (1) LLJ 195.

Regds/-
Kapil..

From India, Delhi
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It was earlier clarified in this same forum that OT will be taken as part of wages for the purpose of contribution whereas the overtime amount will not be considered for deciding the coverage or out of coverage of employee.
Regards,
Madhu.T.K

From India, Kannur
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Ican we pay overtime to emplyees but don’t want to cover that amount in esic what is the other way
From India, Mumbai
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