Employees State Insurance Corporation (ESIC)Registration
The EMPLOYEES STATE INSURANCE ACT,1948 applies to All the Factories (even Government Factories) except Seasonal Factories.Registration with ESIC is mandatory for establishments employing 10 or more employees. However, it can also be taken on the voluntary basis with the consent of its employees. The Principle Employer’s responsibility to deposit his own as well as employee’s contribution in respect of all employees and there is no provision to waive the contribution, damages and the interest.
The employer is required to contribute at the rate of 4.75% of the wages and the employees are required to contribute at the rate of 1.75% of their wages expect the salary is equal to or less than Rs 40.
The employers is obligated to submit an Accident Report to the Local office/ ESI Dispensary concerned immediately in disablement and within 24 hours of its occurrence and Minor accidents which do not cause absence from work need not be reported.
HMJG LEGAL ESERVICE will assist you to obtain registration with ESIC at most reasonable fees
The Following benefits are provided under ESIC
- Sickness Benefit
- Maternity Benefit
- Disablement Benefit
- Medical Benefit
- Dependents Benefit
- Funeral Expenses
ESI Due Dates
ESI Payment Due Date 21st of Every Month
ESI Return Half Yearly Due Date 11th Nov for period of April to September
12th May for period of Oct to March
Frequently Ask Questions on ESIC:
Employees’ State Insurance Scheme of India is a multi-dimensional Social Security Scheme tailored to provide Socio-economic protection to the ’employees’ in the organized sector against the events of sickness, maternity, disablement and death due to employment injury and to provide medical care to the insured employees and their families.
The scheme provides full medical care to the employee registered under the ESI Act, 1948 during the period of his incapacity, restoration of his health and working capacity. It provides financial assistance to compensate the loss of his/ her wages during the period of his abstention from work due to sickness, maternity and employment injury. The scheme provides medical care to his/her family members also.
In an area notified u/s 1(3) by Central Govt. all factories where 10 or more persons are employed attract coverage under Section2(12) of ESI Act. Further, according to the notification issued by the appropriate Government (Central/State) under Section 1(5) of the Act, the following establishments employing 10 or more persons attract ESI coverage.
- Hotels or restaurants not having any manufacturing activity, but only engaged in ‘sales’.
- Cinemas including preview theaters;
- Road Motor Transport Establishments;
- News paper establishments.(that is not covered as factory under Sec.2(12));
- Private Educational Institutions (those run by individuals, trustees, societies or other organizations and Medical Institutions (including Corporate, Joint Sector, trust, charitable, and private ownership hospitals, nursing homes, diagnostic centers, pathological labs).
- In some states coverage is still for 20 or more persons employed under sec 1(5). A few State Governments have not extended scheme to Medical & Educational Institutions.
Registration is the process, by which every factory/ establishment, to which the Act applies, gets itself registered online for compliance. Otherwise when a factory/ establishment is identified by ESIC, it is asked to get itself registered under the Act.
Contribution shall be paid in respect of an employee in a bank duly authorized by the Corporation within 15 days of the last day of the calendar month in which the contribution falls due for any wage period.
The Corporation may levy and recover damages under Reg. 31C at the following rates, not exceeding the amount of contribution payable for default or delay in payment of the contribution. Period of delay Rate of damages in % p.a. i) Less than 2 months 5 % ii) 2 to 4 months 10 % iii) 4 to 6 months 15 % iv) 6 months and above 25 % The employer is liable for prosecution under Section 85(a) for the first time, Whoever, having been convicted by a court of an offence punishable under the Act, commits the same offence shall, for every such subsequent offence, liable for enhanced punishment under section 85 A of the Act.
Medical benefit means the medical attendance and treatment to the insured persons covered under the Act and their families as and when needed. This is the only benefit provided in kind through the State Governments including Model Hospitals run by ESI Corporation (except in Delhi), and uniformly to all as per their requirement without linking it to their wages and contributions.
An Insured person who superannuates or retires under a voluntary Retirement Scheme or takes premature retirement, after being an insured person for not less than 5 years, shall be eligible to receive medical benefit for himself and his spouse subject to production of proof thereof, and payment of a nominal contribution of rupees one hundred and twenty for one year. In case the insured person expires his spouse shall continue to receive medical benefit under Rule 61 on payment of contribution as mentioned above.
We use the latest technology on the internet which helps us in delivering accurately and within minimal time to those who avail our services because we don’t compromise on the quality of our service.
To deliver professional services at an economical rate and on timely basis because we value your precious time. We aim at helping small businesses to compete effectively in the market. We wish to be known by the quality of services we provide.
We have people who are very particular about there work ethic. In our entity, work comes first. We have staff who are highly qualified. We also run a CA firm from the past 30 years.
In general we have expertise in all our fields of work but our compliance work is what gives us an edge over the other companies. We are very thorough with our follow ups resulting in everything being done well in advance, thus avoiding unnecessary delay.