EPF and ESIC

In India, statutory employee welfare schemes like the Employees’ Provident Fund (EPF) and the Employees’ State Insurance Corporation (ESIC) play a central role in promoting social security, financial stability, and health benefits for workers. Both schemes are mandated under national labour laws and are essential components of employer compliance. Understanding the nuances of these schemes and navigating the registration and compliance landscape can be complex — but doing so correctly is vital for legal adherence, employee trust, and sustainable business growth. 

At Helios Global, we specialize in offering complete support for EPF and ESIC registration, compliance management, contribution handling, and advisory services that take the struggle out of regulatory compliance, letting you focus on your core business objectives.

• Retirement Corpus:

Employees can withdraw the accumulated amount upon retirement, provided they meet service requirements. 
This ensures long-term financial independence after retirement, giving employees a stable source of funds when they need it most. 

• Partial Withdrawals:

Under specified conditions such as medical emergencies, home purchase, education, or marriage, partial withdrawals are permitted. 
These flexible withdrawal options act as a financial safety net, supporting employees during urgent or major life events. 

• Universal Account Number (UAN):

Every employee is assigned a UAN which remains constant across employers, ensuring portability of EPF accounts throughout their career. 
It simplifies account management by enabling employees to check balances, download passbooks, and track contributions online at any time. 

• Maternity Benefits 

Female employees receive financial support and job security during maternity leave. 
The benefit ensures both prenatal and postnatal care, promoting the well-being of mother and child during this crucial period. 

• Disability and Death Benefit

In case of work-related injuries or occupational hazards leading to disability or death, financial assistance is provided to the employee or their dependents. 
These safeguards offer long-term stability and essential compensation to families during unforeseen tragedies. 

• Comprehensive Coverage 

ESIC extends benefits beyond individual employees to include family members in defined categories, ensuring broader social security protection. 
This holistic coverage enhances overall welfare by supporting dependents with medical and financial assistance when needed. 

ESIC Applicability 

Under the ESI Act, businesses with 10 or more employees (20 in certain states like Maharashtra and Chandigarh) must register for ESIC if at least one worker earns a gross wage of ₹21,000 or less per month (₹25,000 for persons with disability). Once applicable, all eligible employees must be enrolled. 

Employers may choose to register voluntarily for EPF and ESIC even below these thresholds, but once registered, full compliance becomes mandatory.

ESIC Contributions 

• Employer Contribution: 3.25% of gross wages. 

• Employee Contribution: 0.75% of gross wages. 

• Filing: Monthly contributions must be paid by the 21st of the following month, and employees eligible for ESIC must be registered with unique Insured Person (IP) numbers within 10 days of joining. 

Both schemes require accurate payroll records, attendance and wage registers, inspection books, and periodic returns as part of statutory compliance.

Employer Benefits 

Legal Compliance 

• Meeting EPF and ESIC obligations helps avoid penalties, prosecution, and legal demands for backdated dues. 
  It also safeguards employers during inspections and statutory audits by maintaining transparent and accurate compliance records. 

Employee Trust 

• Offering EPF and ESIC benefits enhances employer branding, making your company more attractive for talent recruitment and retention.
  This builds long-term loyalty, reduces attrition rates, and creates a more motivated, secure, and productive workforce. 

Government Contracts & CSR 

• Compliance is often a prerequisite for government tenders, CSR project eligibility, and institutional partnerships.
  Businesses with proper EPF and ESIC compliance gain higher credibility, improving eligibility for large-scale projects and collaborations. 

Reduced Financial Risk 

• EPF and ESIC reduce employer liability by transferring responsibility for employee welfare to statutory schemes.
  This minimizes unexpected financial burdens related to medical claims, workplace injuries, or employee welfare payments. 

Improved Organizational Efficiency 

• Having structured EPF and ESIC systems ensures smooth payroll management and reduces administrative disputes.
  This streamlines HR operations and helps the organization maintain workforce satisfaction and operational stability. 

Backdated Liabilities 

Authorities may retroactively enforce registration, demanding past contributions with interest and penalties, leading to significant financial burdens.

Employee Grievances and Inspections 

Employees denied benefits can lodge complaints directly with EPFO or ESIC, triggering surprise inspections and audits and potentially damaging your reputation. 

Tender and Contract Disqualification 

Non-compliance can disqualify your enterprise from participating in government projects, CSR tenders, and institutional contracts that require proof of statutory compliance.

ESIC Registration 

1. Threshold Assessment: Ensure you meet the employee count and wage criteria. 
2. Submit ESIC Form 1: File within 15 days of becoming liable. 
3. Registration Confirmation: Receive establishment and employee IP numbers. 

On successful registration, employers must regularly upload employee information and submit monthly contributions on the respective portals.

To stay compliant: 

• Maintain up-to-date attendance and wage registers and contribution challans.

• Enroll eligible employees promptly after joining. 

• Reconcile payroll data with statutory records regularly. 

• File monthly returns and contributions on time to avoid interest charges. 

• Respond proactively to inspection notices from EPFO or ESIC.

Registration Assistance 

Our experts assist in registering your organization and eligible employees on EPFO and ESIC portals, handling document preparation, submission, and regulatory liaison to ensure timely approval.

Compliance & Contribution Support 

We ensure accurate payroll deductions, monthly contribution calculation, ECR filing, and record submission to public authorities. This includes monitoring statutory updates and helping you remain fully compliant with changing regulations. 

Employee Training & Awareness 

Helios Global conducts training sessions that educate employees on their rights, benefits, withdrawal procedures, and how to access EPF and ESIC services — increasing awareness and utilization of benefits. 

Ongoing Advisory & Updates 

We provide continuous updates on regulatory changes, contribution rate revisions, and new compliance requirements, enabling proactive planning and risk mitigation.

2. Registration Assistance

Helping employers register their organizations and employees under EPF and ESIC.
Our team handles documentation, portal submissions, and end-to-end follow-ups to ensure quick and hassle-free registration.

We also guide you in preparing mandatory records and digital credentials to ensure a smooth onboarding experience for your workforce.

3. Compliance Support

Ensuring adherence to regulations and timely contributions to EPF and ESIC.
We monitor monthly filings, track deadlines, and maintain error-free records to protect your business from penalties and audits.

Our experts also resolve portal issues, reconcile contribution mismatches, and offer support during inspections or statutory audits.

4. Employee Training

Educating employees about their rights and benefits under EPF and ESIC schemes.
Our training modules empower employees with knowledge on claims, withdrawals, benefits access, and digital portal usage.

These sessions strengthen employee trust and help create a more aware, compliant, and financially secure workforce. 

EPF and ESIC are vital tools in India’s social security framework, providing employees with retirement savings, health coverage, and financial protection while ensuring employers meet statutory duties under labour laws. Compliance with these schemes strengthens your business’s legal standing, builds employee morale, and enhances corporate reputation.

With professional support from Helios Global, you can navigate the complexities of registration, compliance, reporting, and employee education with confidence. Our comprehensive services ensure legal adherence, strategic payroll management, and peace of mind for you as an employer, enabling a productive and compliant workforce. 

Furthermore, partnering with Helios Global ensures your organization remains updated with every regulatory amendment, contribution rate change, and digital portal upgrade introduced by EPFO or ESIC. Our expert-driven approach minimizes administrative burdens, eliminates compliance risks, and allows employers to focus on core business functions. By creating a transparent, well-managed social security environment, we help both employers and employees benefit from seamless EPF and ESIC operations—ultimately supporting long-term stability, workforce satisfaction, and sustainable organizational growth.