Hi,
Actually I belong to a Façade Industry who is having his own manufacturing set up and at same time we also do the various kind of job work at construction site through sub contractors.
Our factory is covered under the ESI and we pay contribution as per law. But since we also work at construction site so don't pay their ESI contribution as construction site are not covered under ESI.We are also registered under BOCW act and also having the WC for all our labors
Now during the ESI inspection, they raised the penalty of Rs.10 lacs in lieu of this non contribution of ESI of construction labor who are deployed by us for various kind of job work like installation of glass and other related work.
Now I request you all to give your valuable suggestion in this regard other we will have to bear huge amount of penalty.
In my personal hearing I contested the same but as per them we fall under ESI.
Looking forward for support.
Thanks and Regards.
From India, New Delhi
1Actually I belong to a Façade Industry who is having his own manufacturing set up and at same time we also do the various kind of job work at construction site through sub contractors.
Our factory is covered under the ESI and we pay contribution as per law. But since we also work at construction site so don't pay their ESI contribution as construction site are not covered under ESI.We are also registered under BOCW act and also having the WC for all our labors
Now during the ESI inspection, they raised the penalty of Rs.10 lacs in lieu of this non contribution of ESI of construction labor who are deployed by us for various kind of job work like installation of glass and other related work.
Now I request you all to give your valuable suggestion in this regard other we will have to bear huge amount of penalty.
In my personal hearing I contested the same but as per them we fall under ESI.
Looking forward for support.
Thanks and Regards.
From India, New Delhi
Sir,
Please indicate following particulars of your unit in respect of which claim has been made by ESIC so that we are in a position to offer any comments:-
1. Name pf city where main office of your construction company is located. Whether it is located in implemented area ?
2. Name of city/area where the Construction site is situated. Whether, the construction site is located in implemented area ?
3. What type of work is being done or undertaken at your construction site.
4. Whether you informed ESIC authorities that constructions sites labour /workers are not covered under ESI Act ? If so, what is their reply/opinion on the basis of which such claim is treated by them as justified/legally valid ?
From India, Noida
Please indicate following particulars of your unit in respect of which claim has been made by ESIC so that we are in a position to offer any comments:-
1. Name pf city where main office of your construction company is located. Whether it is located in implemented area ?
2. Name of city/area where the Construction site is situated. Whether, the construction site is located in implemented area ?
3. What type of work is being done or undertaken at your construction site.
4. Whether you informed ESIC authorities that constructions sites labour /workers are not covered under ESI Act ? If so, what is their reply/opinion on the basis of which such claim is treated by them as justified/legally valid ?
From India, Noida
Please indicate following particulars of your unit in respect of which claim has been made by ESIC so that we are in a position to offer any comments:-
1. Name pf city where main office of your construction company is located. Whether it is located in implemented area ?
Ans:-Our manufacturing unit is situated at Manesar, Distt Gurgaon,Haryana.
2. Name of city/area where the Construction site is situated. Whether, the construction site is located in implemented area ?
Ans:-NCR, Kolkata, Mumbai : Yes implemented area
3. What type of work is being done or undertaken at your construction site.
Ans:- Installation of Glass, Façade,ACP works,Fabrication etc.
4. Whether you informed ESIC authorities that constructions sites labour /workers are not covered under ESI Act ? If so, what is their reply/opinion on the basis of which such claim is treated by them as justified/legally valid ?
Ans:-We have not informed ESI about this since we were not aware about it.
attribution https://www.citehr.com/509607-esi-ap...#ixzz3HKaRQCs3
From India, New Delhi
1. Name pf city where main office of your construction company is located. Whether it is located in implemented area ?
Ans:-Our manufacturing unit is situated at Manesar, Distt Gurgaon,Haryana.
2. Name of city/area where the Construction site is situated. Whether, the construction site is located in implemented area ?
Ans:-NCR, Kolkata, Mumbai : Yes implemented area
3. What type of work is being done or undertaken at your construction site.
Ans:- Installation of Glass, Façade,ACP works,Fabrication etc.
4. Whether you informed ESIC authorities that constructions sites labour /workers are not covered under ESI Act ? If so, what is their reply/opinion on the basis of which such claim is treated by them as justified/legally valid ?
Ans:-We have not informed ESI about this since we were not aware about it.
attribution https://www.citehr.com/509607-esi-ap...#ixzz3HKaRQCs3
From India, New Delhi
Dear Dhirender Singh ji,
Applicability of ESIS in construction work site, there are number of discussions in this forum including of my mine.
You are requested to read a circular by ESIC New Delhi - construction 4/99 dated 14.06.1999 very carefully.
On reading this circular, if your contention is ESI is not applicable to Construction Site in totality then you are wrong. Most of the people including employers engaged in constructions, consultants as well ESI officers have misunderstood this circular.
In your case, the ESI inspector is very correct in demanding contribution on labours who are deployed by you at construction sites for various kind of job work like installation of glass and other related work, according to my view.
From India, Mumbai
Applicability of ESIS in construction work site, there are number of discussions in this forum including of my mine.
You are requested to read a circular by ESIC New Delhi - construction 4/99 dated 14.06.1999 very carefully.
On reading this circular, if your contention is ESI is not applicable to Construction Site in totality then you are wrong. Most of the people including employers engaged in constructions, consultants as well ESI officers have misunderstood this circular.
In your case, the ESI inspector is very correct in demanding contribution on labours who are deployed by you at construction sites for various kind of job work like installation of glass and other related work, according to my view.
From India, Mumbai
Sir,
1. I agree with the views of Sh. Korgaonkarji and it is clear that the contribution in respect of the claims made by ESIC is payable by the company.
2. This is based on the reason that the firm/company from which contribution has been claimed is not a construction company, but a firm manufacturing glass etc. Only the employees of Construction establishments working at construction sites are not coverable.
3. However, the company/firm can reduce its liability by making payment of contribution on actual basis, if in the case the claims are raised by ESIC on total amounts paid for "Installation of Glass, Façade,ACP works,Fabrication etc." and that too within the period, the final order is not passed by the competent authority.
From India, Noida
1. I agree with the views of Sh. Korgaonkarji and it is clear that the contribution in respect of the claims made by ESIC is payable by the company.
2. This is based on the reason that the firm/company from which contribution has been claimed is not a construction company, but a firm manufacturing glass etc. Only the employees of Construction establishments working at construction sites are not coverable.
3. However, the company/firm can reduce its liability by making payment of contribution on actual basis, if in the case the claims are raised by ESIC on total amounts paid for "Installation of Glass, Façade,ACP works,Fabrication etc." and that too within the period, the final order is not passed by the competent authority.
From India, Noida
Dear Dhirender Singh ji,
Please find a link below contains good stuff to understand on applicability of ESI to construction activity. You need to read all the posts very carefully before making your inference.
https://www.google.com/url?q=https:/...LYMOdp6RVH51Xg
From India, Mumbai
Please find a link below contains good stuff to understand on applicability of ESI to construction activity. You need to read all the posts very carefully before making your inference.
https://www.google.com/url?q=https:/...LYMOdp6RVH51Xg
From India, Mumbai
Dear Dhirender Singh ji,
I appreciate the comments given by Sh Keshav Korgaonkar Sir that you have to critically eamined the implication of the circular issued by ESIC New Delhi vide their no. 4/99 dated 14.06.1999 (Copy attached) and decide whether to what extent the order is applicable in your case.
BS Kalsi
From India, Mumbai
I appreciate the comments given by Sh Keshav Korgaonkar Sir that you have to critically eamined the implication of the circular issued by ESIC New Delhi vide their no. 4/99 dated 14.06.1999 (Copy attached) and decide whether to what extent the order is applicable in your case.
BS Kalsi
From India, Mumbai
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ESI - Construction site workers.pdf
ESI- Construction workers.doc