Hi Sir,
I am an Electrical Class 1 Contractor with a GST number and involved in electrical works for both private and government departments like BESCOM. I do not have any permanent laborers; I hire laborers on a daily wage basis depending on the work requirements. Currently, government departments are requesting PF and ESI registration.
I have a few questions that I would appreciate your guidance on:
1. How can I establish a salary structure for daily wage laborers?
2. On what basis should I make PF and ESIC payments?
3. What registers do I need to maintain?
4. What should be the salary structure for laborers?
I kindly request your assistance and any relevant supporting documents (Formats).
Thanks in advance.
Regards,
Kumar GH
7349199551
I am an Electrical Class 1 Contractor with a GST number and involved in electrical works for both private and government departments like BESCOM. I do not have any permanent laborers; I hire laborers on a daily wage basis depending on the work requirements. Currently, government departments are requesting PF and ESI registration.
I have a few questions that I would appreciate your guidance on:
1. How can I establish a salary structure for daily wage laborers?
2. On what basis should I make PF and ESIC payments?
3. What registers do I need to maintain?
4. What should be the salary structure for laborers?
I kindly request your assistance and any relevant supporting documents (Formats).
Thanks in advance.
Regards,
Kumar GH
7349199551
Following actions may be initiated to overcome the situation:
1. Maintain one employee register. Whoever joins the organization, record their name with the first date of joining.
2. Maintain an Attendance cum Wage register where actual attendance will be recorded. Wages will be paid based on the daily minimum wage rate of the State for the number of days actually worked.
3. Maintain an OT register and record the OT hours. Pay OT hours at double the ordinary rate of wages.
4. Obtain voluntary PF, ESI Code, and ensure compliance properly based on the actual wages processed every month.
S.K. Bandyopadhyay (WB, Howrah) CEO - USD HR Solutions
From India, New Delhi
1. Maintain one employee register. Whoever joins the organization, record their name with the first date of joining.
2. Maintain an Attendance cum Wage register where actual attendance will be recorded. Wages will be paid based on the daily minimum wage rate of the State for the number of days actually worked.
3. Maintain an OT register and record the OT hours. Pay OT hours at double the ordinary rate of wages.
4. Obtain voluntary PF, ESI Code, and ensure compliance properly based on the actual wages processed every month.
S.K. Bandyopadhyay (WB, Howrah) CEO - USD HR Solutions
From India, New Delhi
In addition to what is stated by learned SKB Sir, it is added that, since you are engaging the workers on a project basis, there is no need to have a salary structure. You comply with Minimum Wages as notified by the State Government from time to time and comply with PF, ESI, etc., based on the actual salary drawn. A salary structure will have different grades, increment rates, etc., which are not needed for limited period engagement like what you have stated.
From India, Mumbai
From India, Mumbai
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