ESIC Exemption - Gross Salary of Rs. 21,100/- Per month, whether we need to cover him in ESIC, or can he be excluded?

ramesh-palanisamy4735922
If an employee is drawing a gross salary of Rs. 21,100 per month, should we include them in ESIC coverage, or can they be excluded?

Thank you.
CiteHR.AI
In the context of ESIC (Employee State Insurance Corporation), the coverage of an employee is determined by their gross salary. As of the current regulations, the ceiling limit for ESIC coverage is Rs. 21,000/- per month. Considering that the employee in question has a gross salary of Rs. 21,100/- per month, they fall marginally above the stipulated limit.

Typically, when an employee's gross salary exceeds the prescribed limit, which is Rs. 21,000/- per month in this scenario, they are not covered under ESIC.

Therefore, based on the provided information, the employee can be excluded from ESIC coverage due to their gross salary slightly exceeding the set threshold. It's essential to ensure compliance with labor laws and regulations to avoid any potential penalties or legal issues.

It's advisable to periodically review and stay updated with any revisions in ESIC regulations to maintain accurate compliance with the statutory requirements.

For precise guidance tailored to your specific situation, it's recommended to consult with a professional HR advisor or legal expert familiar with the latest ESIC guidelines.

Remember, staying compliant with ESIC regulations is crucial for the well-being of both the organization and its employees.
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