ESI Employer Registration

Request a Call Back





ESI Registration-Employer, Easily and Fast with VenueTax | Kolhapur

ESI Employer Registration

Employees’ State Insurance (abbreviated as ESI) is a self-financing social security and health insurance scheme for Indian workers. This fund is managed by the Employees’ State Insurance Corporation (ESIC) according to rules and regulations stipulated in the ESI Act 1948. ESIC is an autonomous corporation by a statutory creation under Ministry of Labour and EmploymentGovernment of India.[1]

This scheme is started for Indian workers. The workers are provided with a huge variety of medical, monetary and other benefits from the employer. Any Company having more than 10 employees (in some states it is 20 employees) who have a maximum salary of Rs. 15000/- has to mandatory register itself with the ESIC.

Under this scheme, the employer needs to contribute an amount of 4.00% of the total monthly salary payable to the employee whereas the employer needs to contribute only 1.00% of his monthly salary every month of the year. The only exemption to the employee in paying his contribution is whose salary is less than Rs. 100/- per day*

Employees’ State Insurance Corporation (ESIC), established by ESI Act, is an autonomous corporation under Ministry of Labour and EmploymentGovernment of India. As it is a legal entity, the corporation can raise loans and take measures for discharging such loans with the prior sanction of the central government and it can acquire both movable and immovable property and all incomes from the property shall vest with the corporation.[6] The corporation can set up hospitals either independently or in collaboration with state government or other private entities, but most of the dispensaries and hospitals are run by concerned state governments.

ESIC Registration : Things to Know

For all employees earning ₹21,000 (US$290) or less per month as wages, the employer contributes 4.75% and the employee contributes 1.75%, total share 6.5%. This fund is managed by the ESI Corporation (ESIC) according to rules and regulations stipulated there in the ESI Act 1948, which oversees the provision of medical and cash benefits to the employees and their family. ESI scheme is a type of social security scheme for employees in the organised sector.

he employees registered under the scheme are entitled to medical treatment for themselves and their dependents, unemployment cash benefit in certain contingencies and maternity benefit in case of women employees. In case of employment-related disablement or death, there is provision for a disablement benefit and a family pension respectively. Outpatient medical facilities are available in 1418 ESI dispensaries and through 1,678 private medical practitioners. Inpatient care is available in 145 ESI hospitals and 42 hospital annexes with a total of 19,387 beds. In addition, several state government hospitals also have beds for the exclusive use of ESI Beneficiaries. Cash benefits can be availed in any of 830 ESI centres throughout India.

Recent years have seen an increasing role of information technology in ESI, with the introduction of Pehchan smart cards as a part of Project Panchdeep. In addition to insured workers, poor families eligible under the Rashtriya Swasthya Bima Yojana can also avail facilities in ESI hospitals and dispensaries. ESI Corporation also runs medical, nursing and paramedical schools in some ESI hospitals across India, Some of them are:

1. Sickness benefits at the rate of 70% (in the form of salary), in case of any certified illness certified and which lasts for a maximum of 91 days in any year

2. Medical Benefits to an employee and his family members

3. Maternity Benefit to the women who are pregnant (paid leaves)

4. If the death of the employee happens while on work – 90% of the salary is given to his dependents every month after the death of the employee

5. Same as above in case of disability of the employee

6. Funeral expenses

7. Old age care medical expenses

As per the government notification dated Sec 1(5) of the ESI Act the following entities are covered:

1. Shops

2. Restaurants or Hotels only engaged in sales.

3. Cinemas

4. Road Motor Transport Establishments;

5. Newspaper establishments (which is not covered under the factory act)

6. Private Educational Institutions

ESI contributions must be made by the employer for all employees having a salary of less than Rs.21,000 per month. The employer must contribute 4.75% and employee must contribute 1.75% of the wages for ESI.

Organizations under ESI coverage must file annual return showing the changes if any during the preceding year. Return of contributions enclosing copy of all ESI contributions paid must be submitted once every six months.

ESI Employer Registration

Employees’ State Insurance Corporation (ESIC), established by ESI Act, is an autonomous corporation under Ministry of Labour and EmploymentGovernment of India. As it is a legal entity, the corporation can raise loans and take measures for discharging such loans with the prior sanction of the central government and it can acquire both movable and immovable property and all incomes from the property shall vest with the corporation. The corporation can set up hospitals either independently or in collaboration with state government or other private entities, but most of the dispensaries and hospitals are run by concerned state governments.

Employee’s State Insurance(ESI) is a self-financing social security and health insurance scheme for Indian workers. For all employees earning INR 21000 or less per month as wages, the employer contributes 4.75 percentage and employee contributes 1.75 percentage, total share 6.5 percentage. This fund is managed by the ESI Corporation (ESI) according to rules and regulations stipulated therein the ESI Act 1948, which oversees the provision of medical and cash benefits to the employees and their family through its large network of branch offices, dispensaries and hospitals throughout India. ESI is an autonomous corporation under Ministry of Labour and Employment, Government of India. But most of the dispensaries and hospitals are run by concerned state governments.

Employees registered under the ESI enjoy a range of benefits under the scheme. Employee enjoy medical attendance and treatment for the person insured and their families including full range of medical, surgical and obstetric treatment, supply of all drugs, ambulance services, super-specialty consultation, etc., In addition, to the medical care, insured persons also enjoy sick pay benefits. Registration with ESI provides the employee with tremendous benefits and improves worker morale and retention.

Best GST Software
Trusted by over 9,00,000+ Businesses, CAs, Tax Professionals
Billing, Accounting, Inventory Software.

After the registration ESI Returns have to be filed twice a year. The following documents are required for the filing of the returns:

1. Register of Attendance of the Employees

2. Form 6 – Register

3. Register of wages

4. Register of any accidents which have happened on the premises of the business

5. Monthly returns and challans

ESI is a comprehensive Social Security Scheme designed to provide social protection to the employees against sickness, disablement and death due to employment injury and other events. The fund is self financing where employer and employee contribute on monthly basis and the amount can be utilised towards reimbursing expenses incurred on health of employee and his family members.

Yes.It is the Statutory responsibility of the employer to register the Factory/Establishment under the ESI Scheme within 15 days from the day of its applicability.

  • When an employee joins insurable employment, he has to fill in a Declaration Form (form1) and submit a family photo in duplicate to the employer.
  • The employer then submits the documents to the ESI Branch Office.
  • The employee is then allotted an insurance number, the same number is then used for the purpose of his identification under the scheme. He is further issued a temporary identity card for availing medical benefit for self and family for a period of three months.
  • Thereafter, he is provided with a permanent photo identity card. A person once registered need not register again in case of change of employment. The same registration can be transferred from one place to the other.
  • Employee gets full medical care during the period of his incapacity for restoration of his health and working capacity.
  • He get financial assistance to compensate the loss of his/ her wages during the period of his abstention from work due to sickness, maternity and employment injury.
  • Provision of Artificial Limbs, hearing aids, etc as a part of medical treatment when required.
  • Medical care benefit is extended to his/her family members also.
  • In case of death of insured employee due to employment injury, the spouse, widowed mother and children are entitled to Dependent’s benefit.
Subscribe to our mailing list !
Get all news and updates right in your inbox.

Would you like to start a project with us?