How is a Director of a private limited company paid? Do they get employment letter just like other employees? Do they get pay slips? Are they eligible for benefit like EPF?
From India, Kolkata
1From India, Kolkata
full time working directors, who attend the establishment work like an employee are covered in muster roll and draw salary also, they are also eligible for EPF/ESI and other perks like employees
Hi
It all depends on the work that has been entrusted to the 'director' in your organization. If he is just a signatory to the documents, he need not be given any employment letter etc nor the question arises of him/her joining the EPF. As rightly informed by one of the members earlier, if the director is a salaried employee, all the other rules have to be followed.
Also make sure that the KYC of the director is done as per the new rule of MCA [Ministry of Corporate Affairs] else the DIN of the director will be deactivated.
Thanks and Regards
From India, Hyderabad
It all depends on the work that has been entrusted to the 'director' in your organization. If he is just a signatory to the documents, he need not be given any employment letter etc nor the question arises of him/her joining the EPF. As rightly informed by one of the members earlier, if the director is a salaried employee, all the other rules have to be followed.
Also make sure that the KYC of the director is done as per the new rule of MCA [Ministry of Corporate Affairs] else the DIN of the director will be deactivated.
Thanks and Regards
From India, Hyderabad
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