Kozhikode

EPFO, ESIC directed to exempt start-ups from inspection

The Union Ministry of Labour has directed the Employees’ Provident Fund Organisation (EPFO) and the Employee’s State Insurance Corporation (ESIC) to exempt start-ups from inspection and filing returns for three years.

In line with Prime Minister Narendra Modi’s vision to nurture start-ups, the Ministry said in a set of directions last week that the new age ventures should be allowed to self-certify their compliance with nine labour laws. According to the Start Up India – Stand Up India (Administrator) of Local Circles, the Labour Secretary, Shankar Aggarwal, in a letter had said start-ups should not be inspected or asked to file returns for three years under nine laws including the Employees’ Provident Fund and Miscellaneous Provisions Act and the Employees State Insurance Act. Promoting start-ups would need special hand-holding and nurturing. Thus, such ventures may be allowed to self-certify compliance with the labour laws, he added.

They will be exempted from inspection under the Building and other Construction Workers (Regulation of Employment and Conditions of Service) Act, Inter-State Migrant Workmen (Regulation of Employment and Conditions of Service) Act, Payment of Gratuity Act and Contract Labour Act.

Start-ups will also be exempted from filing returns under the Industrial Disputes Act, Building and other Construction Workers Act, Inter-State Migrant Workmen Act, Contract Labour Act, EPF Act and ESI Act.


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Printable version | May 29, 2022 8:08:08 am | https://www.thehindu.com/news/cities/kozhikode/EPFO-ESIC-directed-to-exempt-start-ups-from-inspection/article14028607.ece