Should an employee with Rs.20,000 fixed wages plus Rs. 500 - Rs. 2,000 incentive (gross Rs. 20,500 - Rs. 22,000) be covered under ESI?

The employee is covered under ESI. Since the fixed wages are ₹20,000 (below the ₹21,000 ceiling) and the incentive is variable (₹500–₹2,000), occasional crossing above ₹21,000 does not exclude him.

Shekar Ganagaluru's Books

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K. VITTALA RAO's HR Books