ESI and PF Applicability

does ESI or PF applicable based on number of employees or their pay.
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Quick Summary
This discussion clarifies the applicability of ESI (Employees' State Insurance) and PF (Provident Fund) based on employee numbers and salary. ESI covers establishments with over 10 employees earning below £21,000 (£25,000 for disabled employees). PF applies to organisations with 20+ employees, mandating contributions for those earning under £15,000, with optional participation for others under specific conditions.

For ESI:

All the establishments covered under the ESI Act and all factories that employ more than 10 employees and pay wages below Rs.21,000 per month (Rs.25,000 for employees with disability) are covered.

For PF:

Organization with 20 or more employee are required to register. Employees with pay of less than 15000 pm are considered eligible and mandatorily required to register and contribute. other employees are ineligible but still they can opt provided employer agrees and with permission of assistant PF commissioner.

Esi and pf applicability are very simple.But maintaining the norms are not at all very easy. Return compliance are easy.

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