E.S.I.Act
Querist :
Anonymous
(Querist) 18 March 2011
This query is : Open
Sirs,
We have 200 employees in our factory. Out of them 190 employees are drawing more than Rs. 15,000/- w.e.f. 1.5.2000.
Rest 10 are Trainees drawing a lumpsum salary of Rs. 8000/-.
ESI Authorities raised demand notice and show caused for all 200 employees on an assumed salary of Rs. 8500/- and demanded @ 6.5% per month from 1.5.2010.
My query is since 190 employees are drawing more than Rs. 15,000/- the statutory limit fixed under ESI Rules, upon production of proof of salary payment, can the demand be reduced to the balance 10 trainees on their salary of Rs. 8000/- @ 6.5% on the number of months.
If the trainees, gives a declaration that they are provided superior medical/hospital facilities, can ESI drop the demand for these 10 Trainees, or still they can insist for payment for these 10 trainees.
Thankful for kind guidance in the matter.
