ESIC Registration

ESIC Registration

Employees’ State Insurance Corporation, a need based social insurance scheme incorporated under Employees” State Insurance Act in order to assure better medical care to the employees or workers and their immediate dependants. The scheme protects the interest of employees during incidents and emergencies which includes maternity, sickness, demise due to employment injury or harm, permanent or temporary physical disablement and everything that affects the earning capacity. The act also gives relaxation to the employers of their duties or responsibilities under the Workmen Compensation Act 1923 and Maternity Benefit Act, 1961. As ESIC registration is a must for availing the incredible benefits that an employee receives under ESI Act, it needs to be taken care that you only rely upon experts for the same. Our specialized experts take care of every single step in the ESIC Registration and provide you step by step guidance.

Social Security benefits of ESIC registration

  • In the private sector, Central Govt. pays the employers contribution for 3 years
  • A worker or his dependants who perform last rites receives an amount of Rs 10000/-
  • Physical rehabilitation is provided to the employee during injury or physical disablement
  • Retired and permanently disabled persons and their spouses can also receive good medical car
  • Insured employee and his family members receive good medical care without spending high on the treatment.
  • Under Rajiv Gandhi Shramik Yojna, vocation training is given to the employee who became unemployed due to closure of factory.

Important points for ESIC Registration

  • ESIC Coverage: Every establishment employing over 10 employees or if in past has employed more than 10 employees then the establishment is compulsorily required to register itself and provide benefits of ESIC to its employees.
  • Wages Limit: The employees drawing total wages of up to Rs. 21,000/- only is eligible for the ESIC coverage, however, for the purpose of counting the number of employees for the establishment, all employees are covered.
  • Contribution Rate: The employer has to contribute 3.25% of the total wages paid to employees, while employee contribution shall be 0.75% of his total wages. The responsibility to deduct the employee contribution is on the employer.
  • ESIC Payment & Return: The employer covered under ESIC has to file Monthly ESIC Return on or before the 21st day of the following month. The return period is of six months starting from April to September in a financial year.

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