Provident fund & ESI

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

23 June 2010 If an employee is under a purview of ESI & PF act and after wards his salary is increased , then whether he will be still under ESI & PF act .
Eample
Mr. X salary
Basic Rs.6000/-
HRA Rs.2000/-
at present he is under ESI & PF act

now suppose
his Salary is increased to
Basic Rs.8000/-
HRA Rs. 3000/-
Is now Mr.X is under purview of ESi & PF act. Is compnay still liable to deduct ESi & PF.

CMA Ramesh Krishnan

CMA Ramesh Krishnan (Expert)
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23 June 2010 For ESI if the salary is increased the applicable limit currently Rs.15000/- the employee out of the ESI purview

But PF there is no such provision even salary increase at any level still PF applicable

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