Municipal labour supply employees’ PF and ESIC payments under scrutiny

Chhatrapati Sambhajinagar:

Around 2,000 employees have been appointed in the municipal corporation through various labour supply agencies. The administration has initiated an inquiry to verify whether Provident Fund (PF) and ESIC contributions are being paid for these employees every month. Department heads have been instructed to conduct the inspection. Despite salaries being due for the third consecutive month, payments have been delayed, causing distress among employees. The local labour unions have remained silent, leaving employees surprised and concerned.

Ongoing issues with labour supply agencies

The issue of labour supply agencies in the municipal corporation has been under discussion for eight months. Initially, agencies were reportedly given additional payments. Subsequently, the administration started a new tender process to replace the three currently operating agencies. Eight agencies submitted their tenders, but no final decision has been taken. At present, 2,000 employees are working under the three agencies. Department heads have been directed to verify whether PF and ESIC contributions are being made regularly. Meanwhile, it is learnt that the administrator will hold direct discussions with some contractual employees.

Audit irregularities

Before making payments to labour supply agencies, the CSMC’s audit section reviews the bills. It was noted that PF and ESIC receipts for each employee were not attached with the bills. The administration is taking action based on this audit finding to ensure proper compliance.