This discussion clarifies the applicability of Employees' State Insurance (ESI) contributions. The key question is whether employees earning precisely £21,000 per month are subject to ESI deductions. The consensus is that ESI is applicable up to a threshold of £21,000, meaning those earning exactly this amount or less will have ESI deducted. Salaries exceeding £21,000 are exempt from ESI.
09 May 2020
Dear sir/Madam, I Have one doubt regarding ESI applicability. In our organisation Some of employees Gross wages is Exact Rs 21000/-.whether we have to deduct ESI @0.75% or not.