Employee State Insurance (ESI) is a social security and health insurance scheme governed by the Employees State Insurance Act, 1948. It is regulated by the Employees State Insurance Corporation (ESIC) under the Ministry of Labour & Employment, Government of India. The primary objective of ESI is to provide financial protection and medical benefits to employees and their dependents.
• Factories: All factories employing 10 or more workers must register for ESI.
• Establishments (Other than Factories):
o In some states, registration is required for 10 or more employees.
o In other states, the threshold is 20 or more employees.
States with 10 Employee Threshold
Jharkhand, Kerala, Orissa, Pondicherry, Punjab, Rajasthan, Tripura, Delhi, Karnataka, West Bengal, Andhra Pradesh, Bihar, Chhattisgarh, Gujarat, Haryana, Uttarakhand.
States with 20 Employee Threshold
All other states where the 20-employee limit applies.
ESI provides various benefits to employees and their dependents:
3.1 Medical Benefits
• Full medical care for employees and their families.
• Access to ESIC hospitals and dispensaries.
3.2 Sickness Benefits
• 70% of average daily wages for up to 91 days during a certified illness.
3.3 Maternity Benefits
• 100% of average daily wages for 26 weeks (extendable by 4 weeks).
3.4 Dependents’ Benefit
• Monthly payments to dependents in case of an employee’s death due to employment-related injury or disease.
3.5 Disablement Benefit
• Monthly payments in case of temporary or permanent disability caused due to workplace accidents.
3.6 Funeral Expenses
• A lump sum payment for funeral costs up to Rs. 15,000.
Steps for Registration:
a. Visit the ESIC Portal: Navigate to esic.in.
b. Sign Up/Login: Employers must register by creating an account.
c. Fill in Establishment Details:
Name, Address, Date of Incorporation
PAN, Type of Establishment
d. Provide Employee Details:
Employee Count, Salary Details, Aadhaar & PAN for IP Number
e. Upload Documents:
PAN Card of Proprietor/Partner/Director
Proof of Address (Electricity Bill, Water Bill, etc.)
Aadhaar Card
GST Certificate/Shop & Establishment Certificate
Digital Signature Certificate (DSC)
Bank Account Details
f. Submit Application
g. Receive ESIC Number: Post-verification, an ESIC number will be issued.
5.1 Contribution Requirements
• Employee Contribution: 0.75% of wages
• Employer Contribution: 3.25% of wages
5.2 Timely Compliance
• Monthly ESI returns must be filed online.
• Contributions must be deposited within 15 days of the following month.
This guide provides all the necessary information for ESI registration and compliance. For expert assistance, consult ReturnFilings.Com to ensure seamless compliance with all regulatory requirements. For professional assistance, reach out to us on email: info@returnfilings.com or on whatsapp: https://wa.me/919910123091.
