Dear Seniors, If a region is covered under ESI, why WC/EC shouldn’t be applicable is there is any specific rule for this? Kindly guide me. Thanks & Regards, B.Saravanan
From India, Chennai
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4From India, Chennai
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Understanding ESIC and Employee Compensation Act
The Employees' State Insurance Corporation (ESIC) Act states that employees covered under ESIC are not covered under the Employee Compensation Act. This is because ESIC already has provisions for compensation. The law will not allow you to claim compensation twice for the same accident.
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Regards,
From India, Mumbai
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The Employees' State Insurance Corporation (ESIC) Act states that employees covered under ESIC are not covered under the Employee Compensation Act. This is because ESIC already has provisions for compensation. The law will not allow you to claim compensation twice for the same accident.
I have corrected the spelling, grammar, and punctuation errors in the text and adjusted the paragraph formatting for better readability. If you have any further questions or need more assistance, feel free to ask.
Regards,
From India, Mumbai
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However for those with gross salary above 15000 per month there is no ESIC cover so naturally thode employees are covered by employees compensation act
From India, Mumbai
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From India, Mumbai
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Dear Sir, Can you please exactly tell me where it is mentioned in ESIC or WC laws
From India, Chennai
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From India, Chennai
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Dear professionals, I want to learn about statutory reports handling I need each & every information about ESI act could some one help me ?
From India
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From India
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In an IT organization where the gross salary is above Rs. 15,000, ESIC is not applicable, and even WC is also not opted for. In that case, the company has opted for GPA and GMC through an insurance company. Is that valid?
Regards,
Pranab Chakraborty
From India, Delhi
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Regards,
Pranab Chakraborty
From India, Delhi
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There is no law that provides for compulsory insurance cover for WCA (now called ECA). However, given that compensation can be as high as ₹16 lakhs, and insurance cover costs only about ₹1000 per year per person, it makes sense to take that cover. If not, the company runs the risk of having to pay it on its own and therefore exposing itself to a huge impact on profit and cash flow.
Difference Between Group Accident Policy and WC Policy
Group accident policy is not the same as WC policy. The amount of the group accident policy goes directly to the employee. It belongs and accrues to the employee even if the money is paid through the company. The employee or their kin can sue the insurance company for the money if they don't receive it.
WC Compensation, on the other hand, is independent. The company is liable to pay it to the employee or their kin. This will always be in addition to any insurance the employee has either directly or through the company. The WC policy is the amount given by the insurance company to the employer to cover any compensation order the court gives.
Risks for IT Companies
IT companies are also complacent, thinking they are in non-hazardous jobs. However, the employee can get compensation for an accident in the course of work, including, for example, a road accident on the way to a client's office, or to the bank, anywhere that can be connected to their work. So, they are running huge risks.
Dear Saswata, In an IT organization where the gross salary is above Rs. 15000/-, ESIC is not applicable, and even WC is also not opted for. In that case, the company has opted for GPA and GMC through an insurance company. Is that valid?
Regards,
Pranab Chakraborty
From India, Mumbai
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Difference Between Group Accident Policy and WC Policy
Group accident policy is not the same as WC policy. The amount of the group accident policy goes directly to the employee. It belongs and accrues to the employee even if the money is paid through the company. The employee or their kin can sue the insurance company for the money if they don't receive it.
WC Compensation, on the other hand, is independent. The company is liable to pay it to the employee or their kin. This will always be in addition to any insurance the employee has either directly or through the company. The WC policy is the amount given by the insurance company to the employer to cover any compensation order the court gives.
Risks for IT Companies
IT companies are also complacent, thinking they are in non-hazardous jobs. However, the employee can get compensation for an accident in the course of work, including, for example, a road accident on the way to a client's office, or to the bank, anywhere that can be connected to their work. So, they are running huge risks.
Dear Saswata, In an IT organization where the gross salary is above Rs. 15000/-, ESIC is not applicable, and even WC is also not opted for. In that case, the company has opted for GPA and GMC through an insurance company. Is that valid?
Regards,
Pranab Chakraborty
From India, Mumbai
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