The full form or meaning of the ESI is Employee State Insurance. ESI is handled by an autonomous body known as Employee State Insurance Corporation. This autonomous body comes under the Ministry of Labour and Employment of the Indian government, and it is created by the law. For the Indian workers, ESI scheme is initiated.
Under the scheme of the ESI, the employer offered to the workers a wide variety of monetary, medical and various benefits. All those companies which are having more than ten employees (in some states it is greater than twenty employees) and the employee’s maximum salary is Rs. 15,000 needs to necessary register themselves with the Employee State Insurance Corporation.
Under the scheme of the ESI, the employer requires to contribute 4.75% of the total monthly salary given to the employee. In each month in the year, the employee requires to contribute 1.75% of his total monthly salary. Those employees whose salary is less than 100 rupees each day are exempted from paying the contribution.
What are the advantages of the ESI Registration?
The advantages of the ESI registration are following:
Medical expenses for old age care
Expenses of funeral
If an accident is happened with the employee during the work, then after his disability, 90% of his salary is given to his family or dependents
If during the work employee is died, then 90% of the employee salary is given to his family or dependents after his or her death
Paid leaves or maternity benefit to the woman employee if they are pregnant
Medical benefits provided to the employee and his or her family members
Benefits of sickness at 70% rate of salary, if the employee illness is certified and if during a year, his or her illness lasts for 91 days maximum
What Is Included In Our Package?
What are the entities ESI covered?
The following entities are covered under the ESI as per the notification of the government under the Sec 1 (5) of the ESI act.
What are the documents needed for ESI registration?
The documents needed for the ESI registration are following:
Attendance registers of the employees
Shareholders list of the company
Directors list of the company
Cancelled cheque of the company bank account
Employees compensation details
Employees list of the company
Articles of Association and Memorandum of Association of the company
PAN card of the entity of the business and the employees working under the business entity
Certification of registration received under the shops and establishment act or the factories act
In case of a partnership, partnership deed is required and in case of a company, registration certification is required
After collection of the documents mentioned above, the following method is applied for the ESI registration:
Registration form of the employers (Form No 1) is downloaded and filled.
After the PDF version of the form is downloaded and filled, it requires to submitted on the portal itself along with the documents mentioned above.
What is the method after the verification of the form?
After the form is verified, a 17-digit unique number is issued by the government.
Under this scheme all those employees who are registered require to provide the photographs of their family members along with the filled form for the registration and after the registration, they received the ESI card.
Any modification in the employees or the company is informed to the ESIC.
After the registration is finalized, how many returns are filed each year?
After the registration the returns of the ESI need to filed two times in a year. For filling the return, the following documents are needed.