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Download VTU MBA 3rd Sem IR 5 Employees State Insurance Act, 1948 -Important Notes

Download VTU (Visvesvaraya Technological University) MBA 3rd Semester (Third Semester) IR 5 Employees State Insurance Act, 1948 Important Lecture Notes (MBA Study Material Notes)

This post was last modified on 18 February 2020

VTU MBA Lecture Notes - 1st Sem, 2nd Sem, 3rd Sem and 4th Sem || Visvesvaraya Technological University


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EMPLOYEES' STATE INSURANCE ACT 1948

ESI ACT PROVISIONS

Application:

  • In the first instance, it shall apply to all factories including govt factories other than seasonal factories and Establishments.

Factory

means where on ten or more employees being carried out the Mfg activity with the aid of power or where on 20 or more persons employed and being carried out the Mfg activity without the aid of power.

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Who is an Employee:

  • Means any person employed for wages and directly employed by the principal employer or employed by/ through immediate employer on the premises of the factory or establishment.
  • Any person whose wages are less than Rs. 6 (Fixed Allowances).

Family Means:

  • A Spouse
  • A minor Legitimate or adopted child
  • A child who is wholly dependent till he or she attains age of 21 yrs
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  • An Unmarried daughter
  • A child physically or mentally abnormality
  • dependent parents

Wages:

  • All remuneration paid or payable but does include PF & Gratuity payable of the discharge

Sickness:

  • A condition which required medical treatment attendance and necessitates abstention from work on medical grounds.
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Contribution:

  • The sum payable to the contribution by the principal employer in respect of an employee and employer
  • Employee Contribution is 1.75%
  • Employer's Contribution is 4.75%

Employment Injury

means a personal injury to an employee caused by accident or an occupational disease arising out of and in the course of employment.

Standard Benefit :

  • Means 50% of contributed daily wages (Average of six months contributions)
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BENEFITS

Sickness Benefit:

  • 91 days in any two consecutive benefit periods
  • (50% of Standard Benefit)
  • 124 days which may be extended to 309 days in TB, leprosy etc during a period of 3 yrs. (25% above the Std Benefit)
  • 7 days for vasectomy and 14 days for tubectomy
  • (Twice Std Benefit)
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  • No benefit for the first two days. (Waiting days)

Maternity Benefit: (Twice Std Benefit rate)

  • 12 weeks (84 Days)
  • 6 weeks in case of Mis-carriage (42 Days)
  • Additional one month if necessary.

Disablement Benefit (Employment Injury):

  • In case of temporary as long as incapacity lasts and for life in case of permanent disablement
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Dependant's Benefit (Employment Injury):

  • To widow/s for life or till remarriage
  • To children till they attain 18 yrs

Medical Benefit:

  • for Self and family members from the date of joining of insured person so long as in employment and there after for certain additional period ie till end of the benefit period

Funeral Benefit:

  • Rs. 2500/- be paid immediately by ESIC to meet the funeral expenses of Insured person

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