PF and ESIC Deduction is mandatory for new Private limited firm

A New private limited company have 19 employees and every employee have 22000 to 25000 salary . Then ESI and EPF Deducting is mandatory for employer or not.

Hi @Amisha,

Deducting ESI is not compulsory for private limited companies, the compulsion only applies to units that are covered under factory act and shops and establishment act, and where 10 or more people are employed irrespective of their monthly earnings.

While EPF is a compulsory and contributory fund under “The Employees’ Provident Fund and the minimum criteria is a monthly earning of 15000/- for employees.

Hope this helps.

EPF and ESI in both the employee limit is 20 in states, the employee limit is more then 20 then after the EPF is mandatory and ESI is Maximum 21000/- of employee salary
yes or no