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The ESI Corporation has approved to enhance wage ceiling from Rs 10,000 per month to Rs15,000 per month for coverage of employees under the ESI Scheme in its 149th meeting held on Friday under the chairmanship of Union Minister of Labour and Employment Mallikarjun Kharge.

Union Minister of State for Labour and Employment Harish Rawat and the vice-chairman, ESIC, were also present in the meeting.

Keeping in view the increase in cost of living index and recommendations of the Parliamentary Standing Committee on Labour, the corporation increased the wage ceiling limit for coverage of the employees under the ESI Scheme.

This will help the corporation to provide social security net to more and more employees of the organised sector.

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0 Comments

  1. Pramod says:

    This is such a bad news, It is just a deduction from salary, becasue no body wants to have their treatment from any ESI hospital because of thier staff attitude and services provided by them, On behalf of so many employees I request you to take back this scheme ASAP.

  2. Prakash says:

    The FM should also learn something from ESIC and increase basic exemption limit of 160,0000 by 50 % and make it 240,000

    PT limit should also be made 10,000 from 5000

  3. S.Ramaswamy says:

    Further, it is suggested that any amendment (increase) in one statute to ensure that limit of other correlating statues is also amended (increased ) like EPF, Bonus Act, Min wages Act, Income Tax Act, Prof Tax Act.

    As all these statutes are for social security, all statues to be amended concurrently with relevant provisions under the tax laws also being amended correspondingly.

    It is also suggested that can we have a single law instead of so many laws called as the Social Security laws like the Direct Tax Code and the GST (which comprises of all direct and indirect tax) under one basket.

  4. francis says:

    we do not know whatfor this enhancement.in the competitve world manufacturing cost increases through raw material cost,power tarrif,petrol hike alongwith this our small and medium scale manufacturers cannot absorb this unproductive esclation.they will no more competive with reference to srilanka,bangaladesh,indonatia,china and phillipinos.
    let the govt reconsider this.

  5. Jai says:

    I really accept “anil and puti” says. What Govt. doing is not provide any befit to employee instead of give there company to get more befit then the salaried person. Why I am saying because if see the ESI hospital in all over India it not well clean and if you gone for any treatment u have to wait for hours to see the doctor, and even if you see then they will not give good treatment also, this is very bad move from Govt. if they want to do good for employee increase the PF amount and Tax amount. I India reach people are become richer and low class going lower. This is a BAD move from GOVT>>.

  6. Roy K Daly says:

    Does the number of employees employed remain at 20 (twenty) or has this been reduced to 10 (ten)in the case of establishments (Not a factory)using LT power only

  7. Arun says:

    Government of India has issued final notification giving effect to wage ceiling increase from Rs.10000/ to Rs.15000/. It will become effective from 1st May 2010.

    Notification is dated 20th April 2010. The impact of this amendment in ESI Act is that now employees drawing upto Rs.15000/ will be covered under ESI.

  8. Jitender Singh says:

    ITo be published in the Gazette of India. Part Il, Section 3, Sub-Section (i)]
    GOVERNMENT OF INDIA
    MINISTRY OF LABOUR AND EMPLOYMENT
    New Delhi, th~~ril, 2010
    NOTIFICA TION
    G.S.R. (E)- The following draft rules further to amend the Employees’ State Insurance
    (Central) Rules, 1950 were published as required under sub-section(l) of section 95 of the
    Employees’ State Insurance Act, 1948 (34 of 1948) in the notification of the Government of Indian
    in the Ministry of Labour & Employment vide No. G.S.R.164(E), dated the 26th February, 2010, in
    the Gazette of India, Part Il, Section 3, Sub-section (i), dated 27th February, 2010 for inviting
    objections and suggestions from all persons likely to be affected thereby till the expiry of the
    period of thirty days from the date on which the copies of the Gazette of India in which the said
    notification was published, were made available to the public;
    And whereas the copies of the said Gazette were made available to the public on 27th
    February, 2010;
    And whereas, objections and suggestions received from persons likely to be affected
    thereby have been considered by the Government;
    Now, therefore, in exercise of powers conferred by section 95 of the Employees’ State
    Insurance Act, 1948, the Central Government, after consultation with Employees’ State Insurance
    Corporation, hereby makes the following rules further to amend the Employees’ State Insurance
    (Central) Rules, 1950, namely:-
    1. These Rules may be called the Employees’ State Insurance (Central) Amendment Rules,
    2010.
    2. These shall come into force from the l ” day of May, 2010.
    3. In the Employees’ State Insurance (Central) Rules, 1950, in Rule 50, for the words “ten
    thousand”, wherever they occur, the words “fifteen thousand” shall be substituted.
    [F. No. S-38025/04/2010 -SS-I]
    ~~
    S.D. XAVIER
    Under Secretary
    ~~_I.
    ,

  9. Jitender Singh says:

    New ESIC ceiling will be effective from 1st May, 2010. In this regards a circular has been circulated. Circular attached for reference.

    Rgds/Jitender

  10. ASIM SAXENA says:

    Increase in ESI coverage is good but facility in ESI Hospitals needs to be improved.

    Further to this Income Tax Free limit should also be increased accordingly or
    Employee contribution towards ESI should be considered for income tax rebate.

  11. gulshan sharma says:

    till date, the authorities have not made any notification to this effect. It is being heard that certain unions have opposed the move. Hence, it is advisable to maintain status quo till formal notification is received.

  12. anil says:

    some companies are giving sufficient medical benefit to their employees who are receiving more than 10000/- salary/wages. for such employees this is a bad news. after the implementation of revised limit medical benefits will be stopped immediately on the other side burden of contribution will increased on employees and even employers also.

  13. vasumenon@yahoo,com says:

    can any body confirm whether,esic has notified the new amendment, whereby wage limit of coverage has been enhanced from 10000/- to 15000/-?

  14. vasumenon@yahoo,com says:

    pl. let us know the effective/amnded date of enhancement of wage ceiling, so that the employers can take further steps for implementation of the same.

  15. puti says:

    it is one of the method to collect the public money without giving sufficient benefits to the workers, in fact the Government should first increase the ceiling of Employees provident fund and minimum wages of the workers,
    instead of increasing the wage limit, the ESI ought to have expanded the minimum base covering all employees even of the establishment of three employees, this would have benefited more than covering the higher wage bracket. in social security low income group is required the benefits and not the higher income group.
    Puti Gaonkar- Trade Unionist- Goa

  16. Shivashankar says:

    Hi,
    let me know the Approx. date of implementation of celing of 10,000/-to 15,000
    and this is very bad, who enjoyed the benifit from the company.

  17. priya says:

    So what about employees who are already drawing a sal of 14k but not covered under ESIC..does the organization have to revise their salaries for existing employees?

  18. Ramesh Jamdhade says:

    This is great move towards the social secuirty scheme to the Labour and their families. what is the effective date for implementation.
    Ramesh Jamdhade- Sr Manager HR
    9970395615.

  19. Yogesh shah, Chartered Accountant says:

    The ESIC enhanced wage ceiling from Rs. 10000/- to Rs. 15000/- It will leads to get social security for more employees. But is not mentioned from which date it will be applicable. So in this regard clarification is required.

  20. c n suresh says:

    the date of effect of coverage under ESIC will be from the date of issue of notification by central government & it will be normally from prospective date.

  21. b.n. venkataramu says:

    welcome move to enchance the limit of ESI salary to 15000/-
    if they apply for same rule to
    EPF also as 15000/- it is ok
    and gratuity also from 350000/- to 700000/- and above
    it would be welcome move
    i hope concenred ministry will look into this
    regards
    venkataramu

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