Employee State Insurance (ESI) Registration

ESI or the Employee State Insurance scheme is regulated in India by the Employee State Insurance Corporation for the benefits of Indian Worker. Any Company having more than 10 employees (in some states it is 20 employees) who have a maximum salary of Rs. 15000/- has to mandatorily register itself with the ESIC. Some of the major benefits that comes up with the ESI registration for the employees include medical benefits, monetary benefits, funeral expenses benefits etc. Under the current system the covered employers contribute 4.75% of the wages payable to their employees to the ESIC scheme and covered employees contribute 1.75% of the wages received by them.

Employee State Insurance (ESI) Registration

Lawdef- Employee State Insurance (ESI) Registration

 What are the Documents Required for the ESI Registration?

  • Registration Certificate or License issued under Shops and Establishment Act or Factories Act.
  • Memorandum and Articles of Association or Partnership Deed or Trust Deed, depending upon the constitution of the ownership of the establishment.
  • Certificate of commencement of production and/or Registration No. of CST/ST, if available.
  • List of Partners or Directors
  • PAN Card and Address Proof of the Factory/Firm/Establishment
  • Evidence in support of the date of commencement of production /business
  • Copy of bank statement/ Cancelled cheque.

Which entities are covered under the ESI scheme?

All the below mentioned entities having more than 10 employees are mandatorily required to obtain ESI registration-

  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

What is the procedure to obtain ESI Registration?

  1. In order to obtain the ESI Registration the application should be made in form-1 to the relevant office. The form for ESI registration is available in PDF format on the official website and can be easily downloaded from there.
  2. A proper verification will be conducted for the details filled in the form in order to ensure that all the data filled is correct.
  3. After the successful verification a 17 digit unique code you will be given to the organization and all the ESI filings can only be done with the help of this number only.
  4. The ESI cards are issued to the employees after they submit a form along with the details of their families and the photograph.

Duration

Once the ESI registration is obtained it is for the lifetime of the company it is just required to update the details of employees in case of any change.