Employees State Insurance Act, 1948

Employees State Insurance Act, 1948

The promulgation of Employees' State Insurance Act, 1948 envisaged an integrated need based social insurance scheme that would protect the interest of workers in contingencies such as sickness, maternity, temporary or permanent physical disablement, death due to employment injury resulting in loss of wages or earning capacity. the Act also guarantees reasonably good medical care to workers and their immediate dependants.
Following the promulgation of the ESI Act the Central Govt. set up the ESI Corporation to administer the Scheme. The Scheme, thereafter was first implemented at Kanpur and Delhi on 24th February 1952. The Act further absolved the employers of their obligations under the Maternity Benefit Act, 1961 and Workmen's Compensation Act 1923. The benefit provided to the employees under the Act are also in conformity with ILO conventions.

  • Applicability
  • All factories employing 10 or more persons
    Shops & commercial establishments employing 20 or more coverable employees

  • Employee’s eligibility
  • Employee (Direct / Contractual) who’s wages / salary rate is upto Rs.15,000/- pm
    Disabled employee who’s wages / salary rate is upto Rs. 25,000/- pm

  • Contributions
  • 1.75% from employees and 4.75% from employer on gross earned wages

  • Liabilities & consequences
  • Employer is liable for both the shares of past periods
    Contractor’s employees liability is on principal employer
    Delay / Defaults in payments of contributions and charges leads to levy of damages, interest
    Provisions of imprisonment and fine are there
    Time barred for more than 5 yrs.

Services We Offer

  • Registration work for ESIC code number.
  • Obtaining Sub-code for branch offices
  • Providing day to day consultancy on matters pertaining to ESI Act
  • Online Registration of Employees and issue of TIC
  • Online Generation of ESI Challan

Central & State Specific Labour Laws & Rules

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