ESIC Liability on Contract Work

[Pradeep Kaushik]

Dear All,

 The deduction of ESIC contribution is the liability of Contractee if the contractor is not registered in ESIC scheme. Please Explain with example.

 

Regards

Pradeep kaushik

 

 

[Rama Krishana]

It is the liability of the principal contractor to complete the ESIC formalities. Where the contractee (immediate employer) fulfills the provisions of ESIC, principal employers taken copies or details from the contractee.

I think Section 40, 41, 42 etc. of the ESIC would be helpful.

AI Summary

ESIC contribution liability: principal contractor must ensure deduction and compliance when the contractor is not registered under the scheme. ESIC contribution liability arises where a contractor is not registered under the scheme; the principal contractor/principal employer must ensure deduction, registration formalities and remittance for contract workers, relying on details provided by the contractee to fulfil ESIC compliance obligations.