Esi

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

01 February 2018 Dear Expert,
Whether ESI is applicable on Trading and marketing company (Pvt. Ltd) having more than 20 employees.

please reply as soon as possible.

Expert : Anonymous

Expert : Anonymous (Expert)

02 February 2018 Yes... Applicable..

Aashok Kumar Sharma

Aashok Kumar Sharma (Expert)
Follow

21 July 2024 Yes, the Employees' State Insurance (ESI) Act, 1948 applies to trading and marketing companies (Private Limited) if they employ 10 or more employees on any day of the preceding 12 months. This includes both permanent and contractual employees.

Here are some key points regarding ESI applicability:

1. **Employee Threshold**: ESI is applicable if a company employs 10 or more employees (in some areas, the threshold might be 20 employees, so local regulations should be checked).

2. **Wages Limit**: ESI applies to employees earning wages up to Rs. 21,000 per month. Employees earning above this threshold are exempt from ESI contributions.

3. **Contribution**: Both the employer and the employee contribute towards the ESI fund at prescribed rates. The current rate of contribution is typically shared as a percentage of the wages payable to employees.

4. **Coverage**: ESI provides medical and cash benefits to employees and their families in case of sickness, maternity, disablement, or death due to employment injury.

Therefore, if your trading and marketing company (Private Limited) has more than 10 employees (or as per local regulations), it is likely that ESI registration and compliance would be required. It's advisable to consult with a qualified chartered accountant or a legal advisor familiar with labor laws to ensure compliance with ESI regulations specific to your location and circumstances.

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now

Summarize this with AI

ChatGPT Perplexity Claude Google AI Grok

Similar Resolved Queries

Unanswered Queries

Popular
Recent

Trending Online Classes

Direct Tax Laws & International Taxation May 26,Sept 26 & Jan 27

CA Arvind Tuli

Enroll Now
Audit Fast Track Recorded Batch For May 26,Sept 26 & Jan 27

CA Aarti Lahoti

Enroll Now
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English

CA Bhanwar Borana & CA Shubham Keswani

Enroll Now

view all classess

Meet our CAclubindia PRO Members

SUMAN SAHA

CA Rahul Patwardhan

T E SOUNDARARAJAN

Hanuma Yanduri

CA Bijo scaria

Subscribe Now

Esi

Similar Resolved Queries

Trending Online Classes

Meet our CAclubindia PRO Members

Quick Links

Browse by Category

Latest Job Openings

Manager- Finance and Compliance

CA Final

GST CONSULTANCY

GST CONSULTANT

Article Assistant

Accountant