But there is a recent government notification which now gives the option to employees to continue participating in ESIC even if their wages exceed INR 21000.

Steps to be followed

1. On Payroll > Employee Details > Pending Activities tab you would be able to see the list of employees who will be moving out of ESI. The list will be populated after September or March payroll has been run.

Click on Review button

2. The list of employees who are moving out of ESI and their current wages will come in a popup as shown

3. Select the records you want to retain and click on "Retain in ESI" button, these records will be removed from the list.

This action updates a parameter "Continue in ESI on crossing threshold" on Employee Payroll Details but you need not wait for September / March payroll, you can update the parameter from Payroll > Employee Details > Payroll Details page. The parameter is visible only if employee is included in ESI scheme.

Payroll Process

When the Payroll Manager runs the payroll for October or April system will show the list of employees which would be moved out of ESIC due to increase wages at the time April and October payroll run. You can download employee list in excel.

If employee's monthly wages are more then INR 21000 his name will come in the employee list which can be downloaded. To retain them in ESI by clicking on "Retain in ESI" button.

List of employees which have been updated as Yes to continue in ESI even on crossing the threshold can be checked from Payroll > Summary Report > Payroll Master Data.