Housekeeper to be added as employee in system -Pros and Cons

Dear Greytribe, Our organization is a financial services which has currently 12 employees. Till date the housekeeper salary was paid out as company expenses. Now we are considering his profile to be uploaded in GreytHR. What are the pros and cons for this situation in terms of monitoring attendance, salary payouts, additional cost to company, legal compliances etc. ?

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You can definitely take them on your payroll - But if the number of persons engaged by your company are 10 for ESI & 20 for PF, you have to apply for PF and ESI codes and pay the contribution for the Housekeepr aswell . You cannot avoid PF and ESI. Only if the number of employees are less than the numbers as above, you need not pay ESI and PF. Also once you take them on your rolls, then the contractor( 3rd party ) does not exist and the persons will be the direct employees of your company .


Thank you for sharing, Sanjit.

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