ESI stands for Employee State Insurance. This is a government regulated Insurance scheme for employees and their family, as health insurance covering sickness, maternity, disability, etc.

Every shop, establishment, and factory having 10 or more employees requires to get register under Employees’ State Insurance.

Out of the total 6.5% amount that goes towards ESI, only 1.75% is deducted from the employee’s salary, rest is contributed by the employer.

The government has introduced various health care benefits for poor families. The families covered under NHPS scheme can access medical facilities via ESI Hospitals. Besides, employees covered under the ESI scheme are entitled to medical treatment for them and their dependents.

The ESI members are entitled to unemployment cash benefit, maternity benefit and allowance in case of female employees.   Besides, there is a disablement benefit also.

The employees covered under the ESI scheme are entitled to a family pension.

No, You don’t need to be physically present for the process, Compliance India is an online catering platform all you need is an internet connection  in your phone/computer and the required documents with you and we can get the job done no matters even if you are present at the remotest location of India

An employer shall apply for FORM 01 within 15 days after the act becomes applicable to a unit or establishment.

Yes, it is mandatory requirement for every employer who comes under this act to register their Factory/ Establishment.

Every employer covered under this act has to comply with various compliances such as deposit of monthly contribution, in order to file half yearly return and report to ESIC authorities if there is any change in business activity, address, ownership and the management, maintenance of registers and records etc.

No, right to receive any benefits under this act is not transferable.

It is a 17-digit unique identification number allotted to every registered establishment. This number is generated through the ESIC portal on submission of the required information by the employer or generated on receipt of a survey report from the Social Security Officer.

Once a factory or an Establishment is covered under the Act, it continues to be covered despite the fact that the number of covered employees employed at any time falls below the required limit or there is a change in the manufacturing activity.

No. Overtime is not included for calculating the wage ceiling limit for coverage of an employee. But, it is included for payment of contribution to cover the risk during the period of overtime work, and to enable receiving cash benefits at an enhanced rate also.

Contribution will be paid for an employee in to a bank duly authorised by the Corporation within 21 days of the last day of the month in which the contribution is due for any wage period.

An employer who doesn’t pay the contribution within the time limit, will be liable to pay simple interest at the rate of 12% per annum for each day of default or delay in payment of contribution.

Registration of employee is the necessary to identify the employee and to provide such employee the benefits under the Act which are related to the contributions paid by the employer on behalf of each of the insured persons.

Maternity benefit is cyclical payments to an insured female employee for specified period of absence from work, due to confinement, miscarriage or sickness out of pregnancy, premature birth of child or miscarriage or confinement. The amount of maternity benefit is equal to the standard benefit rate.

A lump sum amount not more than Rs. 15,000/- appropriated towards expenditure on the funeral of a deceased employee, is paid either to the eldest surviving member of the family or if he is without family or not living with his family at the time of death, then to the person who actually performs the funeral of the deceased employee.

Standard Benefit Rate means average daily wages calculated by dividing the total wages paid during the contribution period by the number of day for which these wages were paid.