Press Information Bureau
Government of India
Ministry of Labour & Employment
23-November-2016

Threshold Limit for Coverage under ESIC 

The Government, in principle, decided to enhance the threshold limit of wage for coverage under the Employees’ State Insurance (ESI) Act, 1948 from existing Rs.15,000/- pm to Rs. 21,000/- pm. For this purpose, a Notification had been issued on 06.10.2016 inviting suggestion/objections from all stakeholders.As on 31.03.3016, the number of Insured Persons(IPs) under ESI Scheme were 2.14 crores. The additional number of IPs on account of wage revision are estimated to be 35 Lakhs.

The ESI Corporation has taken a number of decisions to absorb the increased number of workers under its net like-

Increasing hospital bed strength of ESI Hospitals by 50%, if the bed occupancy of the concerned hospital has been consistently more than 70% in last three financial years.

Up-gradation of its dispensaries into 6 & 30 bedded hospitals in a phased manner.

Partnering with private medical practitioners & private clinics for providing healthcare facilities in those areas where ESI does not have them.

This information was given by Shri Bandaru Dattatreya, the Minister of State (IC) for Labour and Employment, in reply to a question in Rajya Sabha today.

Benefits to Workers in More Sectors under ESIC & EPF

So far as benefits under Employees’ State Insurance (ESI) Scheme are concerned, the ESI Corporation has already launched/approved two separate schemes to provide medical facilities to selected category of self-employed workers like Auto-rickshaw drivers and domestic workers and their family members on pilot basis at Delhi/Hyderabad. Construction workers in offices of the construction agency situated in the implemented areas were already covered under ESI Scheme. Subsequently, w.e.f. 01.08.2015, ESI Scheme has also been extended to the construction site workers deployed in implemented areas.

With regard to Employees Provident Fund, the EPF & MP Act, 1952 is applicable to notified industry/establishment employing 20 or more persons. Auto-rickshaw drivers generally fall under unorganized sector and majority of them are self-employed persons. The said Act has been extended to establishments engaged in Building and Construction Industries w.e.f. 31.10.1980. The workers engaged by these establishments are extended EPF benefits subject to the provisions of EPF & MP Act, 1952.

Further, for extending the social security benefits to Scheme workers like Anganwadi, ASHA and Mid-day Meal workers, a Committee has been set up under the Chairpersonship of Secretary (Labour & Employment).

This information was given by Shri Bandaru Dattatreya, the Minister of State (IC) for Labour and Employment, in reply to a question in Rajya Sabha today.


Notification inviting comment on Proposal to increase limit of wage for coverage under ESIC   from existing Rs.15,000/- pm to Rs. 21,000/- pm.

MINISTRY OF LABOUR AND EMPLOYMENT
NOTIFICATION
New Delhi, the 6th October, 2016

G.S.R. 957(E).—Whereas certain draft rules further to amend the Employees’ State Insurance (Central) Rules, 1950 which the Central Government, after consultation with the Employees’ State Insurance Corporation, proposes to make in exercise of the powers conferred by section 95 of the Employees’ State Insurance Act, 1948 (34 of 1948), is hereby published as required by sub-section (1) of the said section for information of all persons likely to be affected thereby and notice is hereby given that the said draft rules will be taken into consideration after expiry of a period of thirty days from the date on which the copies of the Official Gazette in which this notification is published, are made available to the public;

The Objections or suggestions, which may be received from any person in respect of these draft rules within the period specified above, will be considered by the Central Government;

Objections and suggestions, if any, may be addressed to Shri Ajay Malik, Under Secretary, Ministry of Labour and Employment, Shram Shakti Bhawan, Rafi Marg, New Delhi-110001.

DRAFT RULES

(1) These rules may be called the Employees’ State Insurance (Central) Amendment Rules, 2016.

(2) In the Employees’ State Insurance (Central) Rules, 1950, in rule 50, for the words “fifteen thousand”, wherever they occur, the words “twenty-one thousand” shall be substituted. .

[F.No.S-380 12/02/2013-SS-I]

RAJEEV ARORA, Jt. Secy.

Note : The principal rules were published in the Gazette of India vide notification number S.R.O.212, dated the 22nd June, 1950 and lastly amended vide notification number G.S.R. 598(E), dated the 14th June, 2016.

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Category : Income Tax (27923)
Type : News (13807)
Tags : EPF (291) EPFO (258) ESIC (29) Provident Fund (226)

2 responses to “Limit for Coverage under ESIC & More Sectors under ESIC & EPF”

  1. Ms. Pillay says:

    Instead of increasing the limit, Government should first ensure to give better facilities, as at present with the corruption and the treatment / facilities that are being given are almost ZERO. Also reimbursement has become a big pain, wherein bribe eats up almost everything along with deductions, or else it is prolonged. I have seen two of our workers who are uneducated, had to wait for almost for more than two years, and though they had left our organization as we had shut our business in their locality and they could not relocate, I had to get their money back, and literally I had to follow up for more than two years, and the reimbursement was given after deducting 25 – 30%, as per their rules. Hence, this is just waste of money for employer as well as employees, as no one prefers to take the benefit from ESIC due to poor services, mental torture and poor facilities. Hence my humble request is to first upgrade your systems, eradicate corruption and then increase the limits, wherein we can opt for this facility without any tension. Also, we should have to the right to opt for Mediclaim too, as we feel this to be more easier and more beneficial.

  2. Ganeshram says:

    The ESI is a waste organization , where you wont find Doctors in the ESI clinic.
    If the ESI insured employee goes there , they are rude and ask for bribe to recommend to the Big ESI hospital.
    The Inspectors harrass the Employer and say even if your accounts is 100% perfect , we have to put some min fine, otherwise our superiors will say that I have taken bribe, which is the fact.
    The Employer should be given the freedom to Choose other Mediclaim Insurers.
    My employees have not received Smart Card in spite of follow up with ESI authorities for the last 5 Years.
    This is the real state of affairs at ESI .
    Hope Honble Minister will take stern action on the officials of ESI

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