We are having trainees in our co, who come for 3 to 4 months & we pay 5000-6000 to them pm. is ESI appliable for these trainees ? presently co is applying ESI to them
05 August 2010
Gujrat High Court had decided in ESIC vs.Arvind mills 2009 case that apprentices either appointed under the apprentices act or engaged under certified standing orders are both excluded from definition of 'Employee" under sec. 2(9) of ESI Act. For brining apprentice engaged under certified standing orders, out of ESI, one should have the specific category of Apprentice/Trainee approved under standing orders. This judgment will have far recahing consequences because this category has already been declared excluded by courts from EPF act.So, Now the trainee or apprentice is out from ESI and PF both.