EPF and ESI

ER-1: Quarterly Return to the Employment Exchange

Applicable Section/Rules:

The Employment Exchanges (Compulsory Notification of Vacancies) Act 1959 applies to establishment in public as well as private sectors.

Establishment in public sector means an establishment owned, controlled or managed by—

 

(1) the Government or a department of the Government

(2) a Government company as defined in section 617 of the Companies Act, 1956

(3) a corporation (including a co-operative society) established by or under a Central, Provincial or State Act, which is owned, controlled or managed by the Government

(4) a local authority.

Establishment in private sector means an establishment which is not an establishment in public sector and where ordinarily twenty-five or more persons are employed to work for remuneration.

Act not to apply for certain vacancies:

The Employment Exchanges (Compulsory Notification of Vacancies) Act 1959 does not apply in relation to the following vacancies:

  • in any employment in agriculture (including horticulture) in any establishment in private sector other than employment as agricultural or farm machinery operatives
  • in any employment in domestic service
  • in any employment the total duration of which is less than three months
  • in any employment to do unskilled office work
  • in any employment connected with the staff of Parliament
  • Unless the Central Government otherwise directs by notification in the Official Gazette in this behalf, this Act shall not also apply in relation to –
    1. vacancies which are proposed to be filled through promotion or by absorption of surplus staff of any branch or department of the same establishment or on the result of any examination conducted or interview held by, or on the recommendation of, any independent agency, such as the Union or a State Public Service Commission and the like
    2. vacancies in an employment which carries a remuneration of less than sixty rupees in a month.

Section 5 of the Employment Exchanges (Compulsory Notification of Vacancies) Act 1959 provides that the employer in every establishment in public sector in a State or area shall furnish such information or return as may be prescribed in relation to vacancies that have occurred or are about to occur in that establishment, to such employment exchanges as may be prescribed.

The appropriate Government may, by notification in the Official Gazette, require that from such date as may be specified in the notification, the employer in every establishment in private sector or every establishment pertaining to any class or category of establishments in private sector shall furnish such information or return as may be prescribed in relation to vacancies that have occurred or are about to occur in that establishment to such employment exchanges as may be prescribed, and the employer shall thereupon comply with such requisition.

Submission of returns:

(Rule 6 of Employment Exchanges (Compulsory Notification of Vacancies) Rules 1960

An employer shall furnish to the local Employment Exchange quarterly returns in form ER-I and biennial returns in form ER-II. Quarterly returns shall be furnished within 30 days of the due dates, namely, 31st March, 30th June, 30th September and 31st December, biennial returns shall be furnished within 30 days of the due date as notified in the Official Gazette.  

Information to be provided in Form ER 1:

  • Name and address of the employer
  • Whether Head Office /Branch Office
  • Nature of business/principal activity
  • Total number of persons (men and women) including working proprietors/partners/commission agents/contingent paid and constructional workers on the pay rolls of the establishment excluding part-time workers and apprentices (The figure should include every person whose wage or salary is paid by the establishment) as on the last working day of the previous quarter and the quarter under Report.
  • Main reasons for any increase or decrease in employment if the increase or decrease is more than 5 per cent during the quarter
  • Vacancies carrying total emoluments of Rs. 60 or over per month and of over 3 month’s duration.
  • Number of vacancies occurred and notified during the quarter and the number filled during the quarter
  • Reasons for not notifying all vacancies occurred during the quarter under report
  • Vacancies/posts unfilled because of shortage of suitable applicants.

Due date of submission of ER1:

Penalty:

If any person—

(a) required to furnish any information or return—

(i) refuses or neglects to furnish such information or return, or

(ii) furnishes or causes to be furnished any information or return which he knows to be false, or

(iii) refuses to answer, or gives a false answer to, any question necessary for obtaining any information required to be furnished under section 5; or

(b) impedes the right of access to relevant records or documents or the right of entry conferred by section 6,

 

he shall be punishable for the first offence with fine which may extend to two hundred and fifty rupees and for every subsequent offence with fine which may extend to five hundred rupees.

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