Shall PF & ESIC Is Applicable For Who Is Working On Daily Wages Basis.

Dear all,

I would like to ask, is PF & ESIC applicable for those working on a daily wages basis? Due to the high turnover of employees, how can an employee access their benefits when changing jobs on a daily or weekly basis?

Thank you.

If you are engaging them on a daily wage basis continuously, you need to provide them with coverage.

B. Saikumar
HR and Labor Law Advisor
Mumbai

Agreed with the opinion of Mr. Saiseven. Once an establishment is covered under EPF or ESIC upon reaching the minimum number of workmen that attract provisions of the statutes, any single workman deployed since then will have to be covered as per provisions.

To overcome the problem of daily or weekly job changes, they may be engaged through a labor supply cooperative or agency that will maintain PF and other statutory documents as a contractor. The principal employer will monitor the compliance part for the period of engagement in his establishment only.

Yes, of course, P.F. shall be deducted from their daily wages. In our organization, even if it is a one-day job, we require the contractors to deduct and deposit the P.F. for those workers.

Please let me know if you need any further assistance.