Eligibility criteria for ESI registration
The eligibility criteria for ESI registration are as follows:
- Employees in establishments, factories, or shops with more than 10 employees are eligible for ESI benefits under Section 2(12) of the ESI Act, 1948.
- All workers and their dependents across various industries and sectors can receive ESI medical benefits from ESIC-run hospitals and dispensaries.
Women employees earning less than Rs. 21,000 per month and individuals with disabilities earning less than Rs. 25,000 per month are eligible for maternity benefits under the ESI Act. This includes medical and cash benefits, as well as paid leave for various conditions such as pregnancy (pre and post-delivery), medical termination, miscarriage, and adoption.
Advantages of ESIC Registration
ESIC registration offers employees a comprehensive suite of benefits, safeguarding their health, income, and family. Key benefits include:
- Sickness Benefit: Employees are entitled to receive 70% of their wages for up to 91 days a year during certified sickness periods.
- Extended Sickness Benefit: Employees can receive an extended benefit at 80% of their wages for up to two years for certain long-term and severe diseases.
- Enhanced Sickness Benefit: Full wage compensation is provided for employees undergoing sterilisation, with 7 days for Vasectomy and 14 days for Tubectomy.
- Medical Benefits: Comprehensive medical care is available to employees and their families, ensuring their well-being.
- Retired Medical Benefits: Retired employees and their spouses are eligible for continued medical benefits upon paying an annual premium of Rs. 120.
- Maternity Benefit: Pregnant women are entitled to total wages as maternity benefit for 26 weeks, extendable by a month, ensuring financial stability during childbirth.
- Dependents’ Benefit: In the unfortunate event of an employee’s death due to employment injury, 90% of the employee’s wages are provided to their dependents as a monthly payment.
- Temporary Disablement Benefit: Employees suffering from an employment injury receive 90% of their wages as a benefit until the disability lasts.
- Permanent Disablement Benefit: In cases of permanent disability, employees are entitled to a monthly payment of 90% of their wages based on the loss of earning capacity as assessed by a Medical Board.
- Funeral Expenses: A fixed sum of Rs. 15,000 is provided to the dependents or the individual conducting the last rites, assisting with funeral expenses.
Documents Required for ESI Registration
The following documents are required for ESI (Employee State Insurance) Registration, and they should be provided in digital or electronic format for online registration on the ESIC website:
For the ESIC registration online process, businesses are not required to submit physical documents. The necessary documents to be uploaded during the online registration include
- Business Registration Proof: One of the following based on the business type:
- Factories Act Registration Certificate.
- Shops and Establishment Act Registration Certificate.
- Establishment Incorporation Certificate, applicable as per the entity type:
- Company Registration Certificate for companies.
- Partnership deed for partnership firms.
- Goods and Services Tax (GST) Registration Certificate of the establishment.
- Company�¢??s Founding Documents:
- Memorandum of Association (MoA).
- Articles of Association (AoA).
- Establishment�¢??s Address Proof: One of the following can be provided:
- Recent utility bill (electricity, gas, or telephone not older than three months).
- Rental agreement for the establishment’s premises.
- Property tax receipt for the establishment’s location.
- Employee Details: A comprehensive list of all employees at the establishment.
- PAN Cards: PAN details of the business and all employed individuals.
- Employee Compensation Details: Information on the salary/wages of all employees.
- Banking Information: A cancelled cheque from the company’s bank account.
- Company Leadership Details:
- List of the company’s directors.
- List of the company�¢??s shareholders.
- Employee Attendance Register: Maintaining a record of employee attendance.
Compliances After ESIC Registration
After ESI (Employee�¢??s State Insurance) registration, an establishment must adhere to specific compliances and file requisite ESI returns. These obligations are crucial for ensuring seamless operation and adherence to regulatory standards. The mandatory compliances include:
- Attendance Register Maintenance: The establishment must diligently maintain an attendance register to record the attendance of all employees. This serves as a fundamental document for compliance and internal record-keeping.
- Register of Wages: A comprehensive register of wages for workers should be meticulously maintained. This register is vital for transparent documentation of salary details and ensures compliance with ESIC regulations.
- Inspection Book: An inspection book must be kept to record any inspection on the premises. This facilitates transparency and regulatory compliance during official inspections.
- Monthly Return and Challan Submission: The establishment must submit monthly returns and challans within the first 15 days of the succeeding month. This includes providing details of employees, their attendance, and the corresponding contributions to the ESIC.
- Accident Register: A register documenting accidents on the premises is mandatory. Accurate recording of accidents is essential for compliance. It facilitates a proactive approach towards workplace safety.
ESIC Registration Online Process
The process for ESIC registration has shifted from a manual to a completely online system, making it more accessible and efficient. Businesses looking to register under ESIC can now complete the entire process through the official ESIC portal. For those who find navigating online registration a challenge, Creative Groups offers expert assistance. Our team is well-versed in the intricacies of the ESIC online portal and can guide you through each step, ensuring a smooth and successful registration for your business.