Under ESI, only those employees are covered who are drawing up to ₹15,000. Employees who are drawing more than ₹15,000 per month are covered under the Employee Compensation Act as they are not covered under ESI.
Please guide.
From India, Shimla
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1Please guide.
From India, Shimla
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Not necessary.If those drawing salary above Rs 15000/-pm are employees as defined under the EC Act,then only they will be covered under EC Act. VARGHESE MATHEW 09961266966
From India, Thiruvananthapuram
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From India, Thiruvananthapuram
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Then employees drawing more than Rs. 15000 are not covered under any act i.e neither under ESI nor under EC ?
From India, Shimla
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From India, Shimla
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Do they get compensation in some other way in case of accident, death, disease?
From India, Shimla
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From India, Shimla
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Mr Karun, On what basis you are saying so?.If you have any authoritative reference please share. VARGHESE MATHEW
From India, Thiruvananthapuram
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From India, Thiruvananthapuram
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I just want to know when ESI becomes applicable to a particular area/industry and EC ceases to exist. Then, if there is some other provision to compensate those employees who are drawing more than Rs. 15,000 per month.
From India, Shimla
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From India, Shimla
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Dear Sirs,
I would like to take part in this discussion and submit as follows:
Section 53 of the Employees' State Insurance Act, 1948 debars only the Insured Persons or their dependants as covered under the said Act to claim compensation under the Employees' Compensation Act, 1923 from the employers. It does not exclude the operation of the Employees' Compensation Act, 1923 totally from any establishment/factory, which are also covered under Employees' State Insurance Act, 1948.
However, the definition of "employee" as mentioned in Section 2(1)(dd) of the Employees Compensation Act, 1923 along with Schedule-II of the same is a long list of occupations, which includes factories/establishments defined as "factories" or "mines" in respective Acts.
Therefore, in my opinion, all employees working in occupations as defined in section 2(1)(dd) & Schedule-II of the Employees' Compensation Act, 1923 are entitled to compensation under EC Act, as mentioned above (except insured persons and their dependants who are covered under the Employees' State Insurance Act, 1948).
Further under the Employees' Compensation Act, 1923, I have not found any wage ceiling restricting coverage of a particular set of employees getting wages only up to some wage ceiling. If I am not wrong, the employees getting wages exceeding Rs. 15,000 per month (not covered under ESI Act, 1948) are coverable under the Employees' Compensation Act, 1923, if otherwise defined as an "employee" under said Act.
Further, the coverage under the Employees' State Insurance Act, 1948 is restricted only to implemented areas and to employees getting wages up to the coverable wage limit (presently Rs. 15,000 per month), whereas the provisions of the Employees' Compensation Act, 1923 (as mentioned above) extend to the whole of India.
Perhaps, members will correct me if I am wrong in any way.
With regards;
From India, Noida
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I would like to take part in this discussion and submit as follows:
Section 53 of the Employees' State Insurance Act, 1948 debars only the Insured Persons or their dependants as covered under the said Act to claim compensation under the Employees' Compensation Act, 1923 from the employers. It does not exclude the operation of the Employees' Compensation Act, 1923 totally from any establishment/factory, which are also covered under Employees' State Insurance Act, 1948.
However, the definition of "employee" as mentioned in Section 2(1)(dd) of the Employees Compensation Act, 1923 along with Schedule-II of the same is a long list of occupations, which includes factories/establishments defined as "factories" or "mines" in respective Acts.
Therefore, in my opinion, all employees working in occupations as defined in section 2(1)(dd) & Schedule-II of the Employees' Compensation Act, 1923 are entitled to compensation under EC Act, as mentioned above (except insured persons and their dependants who are covered under the Employees' State Insurance Act, 1948).
Further under the Employees' Compensation Act, 1923, I have not found any wage ceiling restricting coverage of a particular set of employees getting wages only up to some wage ceiling. If I am not wrong, the employees getting wages exceeding Rs. 15,000 per month (not covered under ESI Act, 1948) are coverable under the Employees' Compensation Act, 1923, if otherwise defined as an "employee" under said Act.
Further, the coverage under the Employees' State Insurance Act, 1948 is restricted only to implemented areas and to employees getting wages up to the coverable wage limit (presently Rs. 15,000 per month), whereas the provisions of the Employees' Compensation Act, 1923 (as mentioned above) extend to the whole of India.
Perhaps, members will correct me if I am wrong in any way.
With regards;
From India, Noida
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Hi,
Is ESI applicable to all firms, or are there any restrictions regarding the number of employees? For example, if a firm has only one employee earning below 15k, can that firm register for ESI for that one employee?
Thanks,
JD
From India, Mumbai
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Is ESI applicable to all firms, or are there any restrictions regarding the number of employees? For example, if a firm has only one employee earning below 15k, can that firm register for ESI for that one employee?
Thanks,
JD
From India, Mumbai
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Seniors, Please through further light on what Rohit ji said.
From India, Shimla
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From India, Shimla
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I am fully in agreement with Mr. Harsh Kumar Mehta. The parental or universally applicable act is the EC Act, where the employer has been put under a liability to pay compensation to his employees in case there is any employment injury and because of which the employee has lost his earning capacity.
When the ESI Act has been made applicable to any area and the employer has been registered under the ESI Scheme, the liability of the employer is just taken by the ESI Corporation, and thus all the employees drawing a salary up to Rs. 15,000 stand covered under ESI. However, in respect of those employees who are drawing more than the ESI limit, the employer has a liability to pay compensation for the employment injury. Section 53 of the ESI Act has significance in this respect. This section debars a dual claim but does not exclude the application of the EC Act to non-covered employees.
I am, therefore, of the view that let the ESI Scheme cover all employees irrespective of salary, but for allowing benefits and contributions, a certain sum can be prescribed. However, there is no response from the ESI Corporation.
From India, Kolhapur
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When the ESI Act has been made applicable to any area and the employer has been registered under the ESI Scheme, the liability of the employer is just taken by the ESI Corporation, and thus all the employees drawing a salary up to Rs. 15,000 stand covered under ESI. However, in respect of those employees who are drawing more than the ESI limit, the employer has a liability to pay compensation for the employment injury. Section 53 of the ESI Act has significance in this respect. This section debars a dual claim but does not exclude the application of the EC Act to non-covered employees.
I am, therefore, of the view that let the ESI Scheme cover all employees irrespective of salary, but for allowing benefits and contributions, a certain sum can be prescribed. However, there is no response from the ESI Corporation.
From India, Kolhapur
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ESI Covered Employees given the option of maintaining the membership after Crossing the Celiling.pdf