EMPLOYEES STATE INSURANCE

The Employees’ State Insurance (ESI) is a social security and health insurance scheme in India that provides financial and medical benefits to employees and their families. The Employees’ State Insurance Corporation (ESIC) manages and administers this scheme.

  1. Coverage:
    • The ESI scheme applies to employees earning up to a specified wage limit, which is subject to periodic revision. As of my knowledge cutoff in January 2022, the wage limit for coverage is ₹21,000 per month.
  2. Contributions:
    • Both employees and employers contribute to the ESI fund. The employer’s contribution is a percentage of the employee’s wages, while the employee’s contribution is a fixed percentage of their wages.
  3. Benefits:
    • The ESI scheme provides a range of benefits, including:
      • Medical Benefits: Free medical treatment for the employee and their family members.
      • Sickness Benefit: Cash benefits during periods of illness.
      • Maternity Benefit: Paid leave for female employees during pregnancy and childbirth.
      • Disablement Benefit: Financial assistance in case of temporary or permanent disablement due to employment injury.
      • Dependent’s Benefit: Financial assistance to dependents in case of the death of an insured person due to employment injury.
      • Funeral Expenses: Financial assistance for the funeral