Dear Friends,
Pertaining to ESI gross salary of employees has increased with effect from April and August for some employees in our company. As gross salary has increased in middle of contribution period we should continue deductions till end of contribution period. At this juncture I want to know whether we should continue ESI deductions till March 2015 or should we stop deductions in September 2014 itself.
Please clarify
Regards,
From India, Mumbai
7Pertaining to ESI gross salary of employees has increased with effect from April and August for some employees in our company. As gross salary has increased in middle of contribution period we should continue deductions till end of contribution period. At this juncture I want to know whether we should continue ESI deductions till March 2015 or should we stop deductions in September 2014 itself.
Please clarify
Regards,
From India, Mumbai
We have two contribution periods, ie, April to September and October to March. For those salary was increased in April, you can stop contribution with Sept salary and for those whose salary is going to be increased after Sept , you may continue contribution till next March salary.
Madhu.T.K
From India, Kannur
Madhu.T.K
From India, Kannur
[QUOTE=Madhu.T.K;2184683]We have two contribution periods, ie, April to September and October to March. For those salary was increased in April, you can stop contribution with Sept salary and for those whose salary is going to be increased after Sept , you may continue contribution till next March salary.
Sir,
What about employees who are given increment letters with effect from March, May, July, August?
Please clarify.
Regards,
From India, Mumbai
Sir,
What about employees who are given increment letters with effect from March, May, July, August?
Please clarify.
Regards,
From India, Mumbai
It is not the effective date but the date on which it is given is considered. Suppose an employee has been given increment in May but the increment has effect from March. He will be covered till September because already April contribution has been paid and once contribution has started in a contribution period it should continue till the end of that contribution period. Similarly, if an employee has been given salary increment in November but with effect from August, then again he would be covered for the period October to March and contribution would have been paid for October and therefore, he should be covered till March of the following year.
Madhu.T.K
From India, Kannur
Madhu.T.K
From India, Kannur
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ESI contribution rates lowering.pdf