Wednesday, July 28, 2010

Checklist Provident Fund ESI

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1. Registration certificate
2. Do you have contracted labour? PF applies to them also.
3. Employees earning <=6,500; PF applicable 4. Employees earning > 6,500; discretionary& Employer’s contribution to Pension Fund limited to Rs 6,500 only
5. For Workers – from Date of joining – Act applies
6. @ 12% (Basic + DA + Retaining Allowance) ; Basic means basic only, No DA, No HRA+ No overtime + No Bonus + No Commission
7. Pension fund @ 8.33% of Wages- Employer has to contribute
8. DLI @ 1%(Basic+ DA+Retaining Allowance) + Admin. Fund @ .25% of this contribution – Employer has to pay
9. Due Date of payment : 15th of next month
10. For contracted labour – contractor will recover from his employee, add his equal contribution & admin. Charges ,& give to principal employer
11. In case of default-pay damages at rates 17%, 22% , 27% , 37% + Interest @12%
12. File Form 5 within 15 days from EOM- list of new joinings in preceding month + declaration in Form 2 by new joinees, & employees leaving the Co. in the preceding month in the relevant form
13. Inspection Note book for remarks by PF Inspector visiting the Co. periodically
14. Form No. 5A in duplicate to Regional Commissioner for all other branches , departments ,directors , managers + change in such particulars within 15 days of change


1. Every Employee(Regular + Casual +part time + temporary +contracted labour) , but no apprentice ,getting wages <= 6,500 : covered
2. Covered under the E.S.I. Act –then U are exempt from the provisions of Maternity Benefit Act and Workmen’s Compensation Act.
3. Employers contribution @ 4.75% of Wages & Employee’s contribution 1.75% of Wages
4. Due Date-21st of next month
5. Delay cases- pay Interest @ 12%
6. Get Ur establishment registered with E.S.I. Corporation within 15 days after the Act becomes applicable to U, and obtain the employer’s Code Number.
7. Employer to obtain declaration form from employees covered under the Act and submit the same to the E.S.I. office. He should arrange for the allotment of Insurance Numbers to the employees and their Identity Cards.
8. Employer to furnish a Return of Contributions along with challans of monthly payment, within 30 days of the end of each contribution period.
9. employer to maintain prescribed records/registers namely, the register of employees, the inspection book and the accident book.

10. employer to report to the E.S.I. authorities of any accident in the place of employment, within 24 hours or immediately in case of serious or fatal accidents. He should make arrangements for first aid and transportation of the employee to the hospital. He should also furnish to the authorities such further information and particulars of an accident as may be required.

11. employer to inform the local office and nearest E.S.I. dispensary/hospital, in case of death of any employee, immediately.

12. employer must not put to work any sick employee and allow him leave.

13. employer not to dismiss or discharge any employee during the period of sickness/maternity/temporary disablement benefit, or is under medical treatment, or is absent from work as a result of illness duly certified or due to pregnancy or confinement.

14. pay compensation for accident suffered by an employee

15. Maintain a notice book in the prescribed from at a place where it is readily accessible to the workman.

16. submit an annual return of accidents specifying the number of injuries for which compensation has been paid during the year, the amount of such compensation and other prescribed particulars.


In case of an accident in the establishment, the employer should prepare an ‘Accident Report’ in Form 16 (in triplicate) and submit to the local office and the Insurance Medical Officer. The third copy is the office copy. The reports are to be submitted within 48 hours in ordinary cases and immediately in death cases


Employer to make arrangements for first aid and medical treatment and transport as an insured person may require, in case of an accident.


Employer to furnish and verify the particulars in Form 28, in respect of the abstention of an employee from work, for which sickness/maternity/temporary disablement benefit has been claimed.

Checklist-Factories Act’1948
1. It applies to every factory wherein 20 or more workers are ordinary employed.
2. Factory
Means any premises including the precincts thereof where ten or more persons are working in any manufacturing process being carried on with aid of power and where twenty or more workers are working without the aid of power.

Checklist-Minimum Wages Act
1. Time & Conditions of Payment of wages and deductions-
(a) in the case of establishments in which less than one thousand persons are employed, before the expiry of the seventh day,
(b) Where the employment of any person is terminated by or on behalf of the employer, the wages earned by him shall be paid before the expiry of the second working day after the day on which his employment is terminated.

2. The total amount of deductions, which may be made in any wage period, from the wages of an employee shall not exceed—

a) 75 per cent of such wages in cases where such deductions are wholly or partly made for payments to Consumer Co-operative Stores ,and
b) 50 per cent of such wages in any other case

3. Any person desiring to impose a fine on an employed person or to make a deduction for damage or loss caused by him shall explain to him personally and also in writing the act or omission or the damage or loss, in respect of which the fine or deduction is proposed to be imposed or made and give him an opportunity to offer any explanation in the presence of another person. All such fines imposed and deductions made shall be recorded in the registers maintained in Forms I and II, respectively. These registers shall be kept at the workspot and maintained upto-date. Where no fine or deduction has been imposed or made on or from any employee in a wage period, a ‘nil’ entry shall be made across the body of the relevant register at the end of the wage period, indicating also in precise terms the wage period to which the ‘NIL’ entry relates.
Every employer shall send annually a return in Form III so as to reach the Inspector not later than the 1st February following the end of the year to which it relates.

4. Number of hours of work, which shall constitute a normal working day.

 The number of hours, which shall constitute a normal working day shall be—
 in the case of an adult, 9 hours;
 in the case of a child, 4 hours.

 The working day of an adult worker shall be so arranged that inclusive of the intervals for rest, if any, it shall not spread over more than twelve hours on any day.

 No child shall be employed or permitted to work for more than 4½ hours on any day.

5. Extra wages for overtime

(1) When a worker works in an employment for more than nine hours on any day or for more than forty-eight hours in any week, he shall, in respect of such overtime work, be entitled to wages at double the “ordinary rate of wages”.

Explanation.—The expression “ordinary rate of wages” means the basic wage plus such allowances including the cash equivalent of the advantages accruing through the concessional sale to the person employed of food grains and other articles as the person employed is for the time being entitled to but does not include a bonus.

(2) A register of overtime shall be maintained by every employer in Form IV in which entries under the columns specified therein shall be made as and when overtime is worked in any establishment. The register shall be kept at the work spot and maintained up-to-date. Where no overtime has been worked in any wage period, a ‘nil’ entry shall be made across the body of the register at the end of the wage period indicating also in precise terms the wage period to which the ‘NIL’ entry relates.
6. Register

A Register of Wages shall be maintained by every employer at the work spot in Form X.

(i) Every employer shall, in respect of each person employed in the establishment, complete the entries pertaining to a wage period—

(a) in columns 1 to 15 of Form X, before the date on which the wages for such wage period fall due ;

(b) in columns 16 and 17 of the said Form, on the date when payment is made, and obtain the signature or thumb impression of the employee in column 18 of the said Form on the date when payment is made.

(ii) A Wage Slip in Form XI shall be issued by every employer to every person employed by him at least a day prior to the disbursement of wages.

(iii) Every employer shall get the signature or the thumb impression of the every person employed on the Register of wages and wage slip.

(iv) Entries in the Register of Wages and wage slip shall be authenticated by the employer or any person authorised by him in this behalf.

(v) A muster roll shall be maintained by every employer at the work spot in Form V and the attendance of each person employed in the establishment shall be recorded daily in that Form within 3 hours of the commencement of the work shift or relay for the day, as the case may be.
7. Where an offence under this Act has been committed by a company and it is proved that the offence has been committed with the consent or connivance of, or is attribut¬able to any neglect on the part of, any director, manager, secretary or other officer of the company, such director, manager, secretary or other officer of the company shall also be deemed to be guilty of that offence and shall be liable to be proceeded against and punished accordingly.
Checklist-Industrial Employment Act
1. This Act applies to every industrial establishment wherein one hundred or more workmen are employed, or were employed on any day of the preceding twelve months.

a) Classification of workmen, e.g., whether permanent, temporary, apprentices, probationers, or badlies.

b) Manner of intimating to workmen periods and hours of work, holidays, paydays and wage rates.

c) Shift working.

d) Attendance and late coming.

e) Conditions of procedure in applying for, and the authority, which may grant leave and holidays.

f) Requirement to enter premises by certain gates, and liability to search.

g) Closing and reopening of sections of the industrial establishment, and temporary stoppages of work and the rights and liabilities of the employer and workmen arising there-from.

h) Termination of employment, and the notice thereof to be given by employer and workmen.

i) Suspension or dismissal for misconduct, and acts or omissions, which constitute misconduct.

j) Means of redress for workmen against unfair treatment or wrongful exactions by the employer or his agents or servants.

k) Any other matter, which may be prescribed.

a) Within six months from the date on which this Act becomes applicable to an industrial establishment, the employer shall submit to the Certifying Officer five copies of the draft standing orders proposed by him for adoption in his industrial establishment.
b) The draft standing orders submitted shall be accompanied by a statement giving prescribed particulars of the workmen employed in the industrial establishment including the name of the trade union, if any, to which they belong.
c) Subject to such conditions as may be prescribed, a group of employers in similar industrial establishments may submit a joint draft of standing orders under this section.


Text of the standing orders shall be prominently posted in English and in the language understood by the majority of his workmen on special boards to be maintained for the purpose at or near the entrance through which the majority of the workmen enter the industrial establishment and in all departments thereof where the workmen are employed.


Checklist-Industrial Disputes Act
1. This Act applies to workers carrying out manual, unskilled, technical, operational or supervisory work and does not apply to workers earning more than Rs.1,600 per month carrying out managerial work. In addition, the worker must have had continuous service of at least one year
2. Industrial dispute means any dispute or difference between employers and employers, or between employers and workmen, or between workmen and workmen, which is connected with the employment or non-employment or the terms of employment or with the conditions of labour, of any person. Industrial disputes include cases of unfair dismissal.
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rajesh said...

Very good contribution

MrKarankaith said...

Great Help...Thanks:)

MrKarankaith said...

Great Help.....Thank you so much

MrKarankaith said...

Great Help...Thanks:)