Enhancement of maternity benefits under the esi act,1948. The employees state insurance act esi act was enacted with the object of introducing a scheme of health insurance for industrial workers. Esi act 1948 employees state insurance act, 1948 the employees state insurance act of 1948 has been enacted with the objective of securing financial relief in cases of sickness, maternity, disablement and for providing medical benefits to employees of factories and establishments, and their dependents. The esi act 1948 applies to non seasonal factories using power in and employing ten 10 or more persons. Shops or establishments that have 10 or more employees, drawing the wages of up to not exceeded rs. Dec 24, 2018 shops or establishments that have 10 or more employees, drawing the wages of up to not exceeded rs. Employee state insurance act, esi 1948 what is human. Aug 19, 2012 ppt on employee s state insurance act 1948 of india. Medical benefits under employees state insurance act, 1948. The workmens compensation act wca provided for a one time lump sum compensation to be given by the principal employer to the employee in case of disability or death due to an injury or disease sustained at the workplace. Besides full medical care for self and dependants, that is. A contribution period means a six month time span from 1st april stto 30th september stand 1 october to 31 march.
Almost all private limited companies must get themselves registered under the esi act of 1948. Enhancement in the wage ceiling for coverage under the esi act, for an employee under disability 15. The major objective of the act was to provide certain benefits to employees in case of sickness, maternity and injury during employment and for providing other benefits in relation to the main objectives. This act is designed to complete the task of protecting employees as defined in the esi act 1948, against the hazards of sickness, maternity, disablement or death due to employment injury and to provide full. People who earn up to inr 21,000 come under the coverage of esi act, in which employer pays 4. The employees state insurance act, 1948 employees state insurance scheme of india, is a multidimensional social security system tailored to provide socioeconomic protection to worker population and their dependants covered under the scheme. Eligible employees and employers get various benefits under the esi act by contributing a portion of the employees salary towards esi scheme. Workers earning less than 15,000month are covered under the act. The esi act is administered by employees state insurance corporation esic.
Further section 212 of the esi act 1948 defines the meaning of a factory as relevant to the act. The employees state insurance act,1948 slideshare uses cookies to improve functionality and performance, and to provide you with relevant advertising. Procedure of coverage under the esi act the social security officer sso of the esi corporation after inspecting a particular company and finding 10 or more employees drawing salary of less than rs. Ambulance service or reimbursement of conveyance charges for going to hospitals, diagnostic centres etc. The employees state insurance esic act, 1948 an overview. Sum paid to defray special expenses entailed by the nature of employment daily allowance paid for the period spent on tour. To provide for certain benefits to employees in case of sickness, maternity and employment injury and to make provisions for related matters. Sep 02, 2016 employee state insurance corporation covers a wide range of benefits to the employees and employers in accordance with the employees state insurance act, 1948. Esi act was formulated as a scheme to protect the employees during any situation of financial distress which arises out of various reasons. Be it enacted by parliament in the sixtieth year of the republic of india as follows.
Whereas it is expedient to provide for certain benefits to employees in case of sickness, maternity and employment injury and to make provision for certain other matters. A notice under form c11 is issued to the company seeking explanation to the company as to why the. Cash benefits under the scheme are generally liked with contributions paid. Pay in lieu of notice of retrenchment compensation benefits paid under the esi scheme. The promulgation of employees state insurance act, 1948 envisaged an integrated need based social insurance scheme that would protect the interest of. Esi act applicability, benefits, contribution, esi registration.
Which organizations, businesses, and industries are covered under. The scheme is administered by the employees state insurance corporation, set up under the esi act, 1948. The esi corporation can make following rules and regulation in payment and collection of contributions payable under this act. The appropriate government may, in consultation with the corporation and 5 where the appropriate government is a state government, with the approval of the central government, after giving 6 one months notice of its intention of so doing by notification in the official gazette, extend the provisions of this act or any of them, to any other establishment or class of establishments. An act to provide for certain benefits to employees in case of sickness, maternity and employment injury and to make provision for certain other matters in relation thereto. Esic and its applicability criteria and its benefits in india. Jun 27, 2018 people who earn up to inr 21,000 come under the coverage of esi act, in which employer pays 4. This act is designed to complete the task of protecting employees as defined in the esi act 1948, against the hazards of sickness, maternity, disablement or death due to employment injury and to provide full medical care to insured persons and their families. The corporation similar to board of governors the comprises of representatives of the. Whereas it is expedient to provide for certain benefits to. Contribution esi scheme is financed by contribution raised from employees covered under this scheme and their employers as a fixed percentage of wages. The report became the basis for the employment state insurance esi act of 1948.
How to claim esi benefits benefits to an insured person. The major objective of the act was to provide certain benefits to employees in case of sickness, maternity and injury. Employees of covered units and establishments drawing wages upto rs. Whereas it is expedient to provide for certain benefits to employees in case of sickness.
Esi act, 1948 free download as powerpoint presentation. Jun 19, 2009 enhancement in the scale of cash benefits under esi scheme 14. This was replaced by the esi act 1948, in areas and industrial units notified by the state governments. Adarkar was appointed by the government of india to create a report on the health insurance scheme for industrial workers. A contribution period means a six month time span from 1st april to 30th september and 1st october to 31st march. This scheme is a welfare measure for employees covered under section 29 of esi act, 1948, in the form of cash compensation upto 90 days, once in a lifetime, to be claimed after three months in one or more spells for being rendered unemployed, provided the employee should have completed two years of insurable. How esi act work, rules and regulation of esi act 3. If the employee is not covered under esi act, then the employer will pay pf. Ppt on employees state insurance act 1948 of india.
Apr 02, 2020 under the esi employee state insurance act, 1948, employee state insurance corporation esic was set up as a corporate body functioning under the ministry of labour and employment, government of india. The esi scheme is an integrated measure of social insurance come to the life through the employees state insurance act 1948, and is designed to complete the task of protecting employees as defined in the esi act 1948, against the hazards of sickness, maternity, disablement or death due to employment injury and to provide full. Which organizations, businesses, and industries are covered under esi act, 1948 4. If an employee is covered under esi, the employer is not liable to pay pf. The employees state insurance act, esi act for short, was enacted by the government of india in 1948. Informationbenefits employees state insurance corporation. Contribution paid by kthe employer to any pensionprovident fund or under esi act. Employees state insurance esic act, 1948 an overview. If you continue browsing the site, you agree to the use of cookies on this website. The employees state insurance act, 1948 is one of the most important laws that provide social security. Sickness benefit disablement benefit dependants benefit maternity benefit medical benefit section 56 1 of esi act, 1948 provides, an insured person or where such medical benefit is extended to his family a member of his family whose condition requires medical treatment and attendance shall be. Free supply of drugs dressings and artificial limbs, aids and appliances.
It is also expected that reduction in rate of esi contribution shall lead to improved compliance oflaw. Under section 46, subject to the provisions of this act, the insured persons, their dependants or the persons hereinafter mentioned, as the case may be, shall be entitled to. The employees state insurance act 1948 the esi act provides for medical, cash, maternity, disability and dependent benefits to the insured persons under the act. If they fail to obtain the required enrollment using esi registration procedure, then they are liable to face penal actions in due course of time. Integrated family welfare, immunisation and mch programme and other national health programme etc.
Benefits under esi scheme for eligible members wealthtechspeaks. Readers are advised to research further and consult a labour law expert to have more clarity on the topic. The esi scheme is financed by contributions from employers and employees. Under the esi employee state insurance act, 1948, employee state insurance corporation esic was set up as a corporate body functioning under the ministry of labour and employment, government of india.
Feb 15, 2009 the employees state insurance act, 1948 slideshare uses cookies to improve functionality and performance, and to provide you with relevant advertising. April, 1948 an act to provide for certain benefits to employees in case of sickness, maternity and employment injury and to make provision for certain other matters in relation thereto whereas it is expedient to provide for certain benefits to employees in case of. Benefits distributed in the case of the insured persons by the corporation. Employee state insurance scheme esi is one of the most useful schemes for the employees in india whose monthly gross salary is less than 2 rs. Who is responsible for the administration of the scheme. Maternity benefits act and esi act, employee benefit. So, adhering to the provisions of the esi act is in your best interest. Employee state insurance act, 1948 an overview introduction the employee state insurance act, esic 1948, is a piece of social welfare legislation enacted primarily with the object of providing certain benefits to employees in case of sickness, maternity and employment injury and also to make provision for certain others matters incidental.
Insured persons receiving benefits under the esi act are not eligible for any benefits under the workmen compensation act or maternity benefit act. Paul 1995, in her study, suggested that the esi act, 1948 and the rules may be amended, binding the employers to provide the employees with necessary information about the employment injury benefits available under the esi act, 1948 and the formalities for obtaining the. Employees covered under the esi act, are required to pay contribution towards the scheme on a monthly basis. Employee state insurance act 1948 is a social security scheme. Esi benefits to employees employees state insurance act. Under the esi scheme, both employee and family members of employees will get treatment in esic hospitals, not only treatment this scheme provides so many other benefits to the members and their family members. Esi benefits to employees employees state insurance act, 1948. This scheme is a welfare measure for employees covered under section 29 of esi act, 1948, in the form of cash compensation upto 90 days, once in a lifetime, to be claimed after three months in one or more spells for being rendered unemployed, provided the employee should have completed two years of insurable employment and has contributed not less than seventy eight 78 days in each of the four consecutive contribution periods immediately preceding to. Esi act, 1948 implications, benefits and procedure application of the act it is applicable to nonseasonal power using factories employing 10 or more persons and nonpower using factories employing 20 or more persons. Dec 23, 2018 why this esic act, 1948 came into force. Every insurable employee under the act gets medical benefits the day he becomes an employee. An act to provide for certain benefits to employees in case of sickness, maternity and employment injury and to make provision for certain other matters in relation theret o. Additional comments from admin manufacturing process includes pumping oil under section 2kii of the factories act 1948. Sep 12, 2015 procedure of coverage under the esi act the social security officer sso of the esi corporation after inspecting a particular company and finding 10 or more employees drawing salary of less than rs.
Recent amendments in esi act 1948 talentmoon blogs. All of these benefits must arise in the course of employment in order to enable workers to access them. Companies that have employed 10 or more workers are covered under the act. An act to provide for certain benefits to employees in case of sickness, maternity and employment injury and to make provision for. Jun 19, 2012 additional comments from admin manufacturing process includes pumping oil under section 2kii of the factories act 1948. Esi act, 1948 implications, benefits and procedure citehr. Employees state insurance abbreviated as esi is a selffinancing social security and health insurance scheme for indian workers.
Employee state insurance corporation covers a wide range of benefits to the employees and employers in accordance with the employees state insurance act, 1948. The fund is managed by the employees state insurance corporation esic according to rules and regulations stipulated in the esi act 1948. Government reduces the rate of esi contribution from 6. The scheme envisaged by it is one of compulsory state insurance providing for certain benefits in the event of sickness, maternity and employment injury to workmen employed in or in connection with the. Enhancement in the scale of cash benefits under esi scheme 14. Employees state insurance act, 1948 bare acts law library. The esi scheme is an integrated measure of social insurance come to the life through the employees state insurance act 1948, and is designed to complete the task of.