Contract labor service - if the salary structure can be changed by contract owner?

prithvi-kumar1
Hi All, I have started a Contract labor service and I want to know whether we have to pay the exact amount for PF and ESI which is paid from the company as their salary structure to employee PF and ESI account without changing Basic salary, and anyone please suggest me if the salary structure can be changed by contract owner!
consultme
As a Contractor, you are the employer of all your employees and Employer - Employee relationship is between your organization and employees and not with the client (Principal Employer). As Principal Employer is accountable if you do not stay compliant with the CLRA and many legislations, may be the Principal Employer has drafted the salary structure on behalf of you. It is not recommended to tamper with the calculations yourself. If you have some confusion over workings, or suggestions, better to check with the Principal Employer as well.

Also recommending to refer compliance calendar for Tamil Nadu. https://qr.ae/pGMg8Q
HR professional
Ms. Pritvi kumari,

Yes, you to pay PF&ESIC
contributions without any changes

Regards
If you are knowledgeable about any fact, resource or experience related to this topic - please add your views. For articles and copyrighted material please only cite the original source link. Each contribution will make this page a resource useful for everyone. Join To Contribute