The government has given employees and employers more time to submit their monthly insurance contribution by relaxing provisions of the Employees’ State Insurance Act in view of the Covid-19 outbreak.
It has given 45 days, instead of 15 days as mandated under the Act, for submission of insurance contribution for February and March. The average monthly contribution to ESI Corporation (ESIC) by its subscribers is ₹1,300 crore. “Keeping in view the pandemic in the form of Coronavirus (Covid-19) in the country, the director general has relaxed the provisions as entered in regulation 26 and 31 of the Employees’ State Insurance (General) Regulations, 1950,” ESIC said in a notification on Monday.
“The ESI contribution for the month of February 2020 and March 2020 can be filed and paid up to April 15, 2020 and May 15, 2020 instead of March 15, 2020 and April 15, 2020 respectively,” it said.
The ESIC is a social security organisation which provides comprehensive social security benefits like reasonable medical care and a range of cash benefits in times of need such as employment injury, sickness and death.
The ESI Act applies to premises or precincts where 10 or more persons are employed. Employees drawing wages up to ₹21,000 a month are entitled to health insurance cover and other benefits under this law.
The Act applies to more than 1.21 million factories and establishments across the country, benefiting about 34.9 million family units of workers, with total beneficiaries of the ESI scheme numbering more than 135.6 million.
Source : Economic Times