Industrial Relations And Labour Laws
Statutory Complaince/labour & Employment
+3 Others

Thread Started by #bms

esi applicability for construction workers on contractual projects ?
if principal employer covers under esi and given a construction work to a sub contractor then the subcontractor employees are also eligible for esi?
24th October 2007 From India, Madras
Construction workers working at sites are not covered by ESI whereas workers who report to the office of the construction company are covered. Regards, Madhu.T.K
9th February 2011 From India, Kannur
to correct you there is circulation recently in January 2011 from Director ESIC, Panchdeep Bhawan, Delhi to all SO and ROs that now construction site worker shall be covered under ESI Act, and they can avail medical benefit. By this circulation ESI Authorities strucked down their own circular of Year 1999.
the survey for the same is undergoing and now coverage of such site work will be started
10th February 2011
But who is responsible to pay ESI, contractor or principal employer ? Regards, Avinash Pawar
9th March 2011 From India, Mumbai
Yes, the construction workers at site are also covered as per new policy of ESI.
The primary responsibility of coverage and payment of contribution is on the contractor but if the contractor does not pay it, the principal employer should pay it on behalf of contractor and can deduct the amount so paid from the amount payable to the contractor.
9th March 2011 From India, Kannur
What about in case worker keep on changing, on one day Ram is there for work on next sham was there for work, in this situation how it will be manageable this. even there is no particular of the worker.
9th March 2011
There is no practical way out but to engage a regular employee to do the work related to ESI whose primary, rather sole duty will be to call each new employee to the cabin and register him under ESI and take a printout of temporary Id card and hand it over to that employee. It is upto him to decide whether to continue in the site and if continuing to go to the ESIC with his family members to take photograph and get smart card. I do not think that these daily wagers will come with their photographs when they come for their work. If so, we are stuck. But one thing is there, that even if you do not register, we should be prepared to pay the contribution at the prescribed rate of 6.5% of wages paid. That's all.
10th March 2011 From India, Kannur
Sir, If we have EC (WC) Policy in place of ESI, then also are we mandatory liable to pay ESI Contribution. An Early reply is awaited. Regards, Sandeep K. Rai
19th May 2011 From India, Bangalore
Yes, even if you have WC policy, you have to ensure coverage of employees (eligible) under ESI. In fact, in respect of employees covered by ESI you need not take any WC policy because any liability in respect of such employees will be taken care by the ESIC.
19th May 2011 From India, Kannur
Dear Sanjeeb,

Sec. 53. Bar against receiving or recovery of compensation or damages under any other law.—An insured person or his dependents shall not be entitled to receive or recover, whether from the employer of the insured person or from any other person, any compensation or damages under the Workmen’s Compensation Act, 1923 (8 of 1923), or any other law for the time being in force or otherwise, in respect of an employment injury sustained by the insured person as an employee under this Act.

Therefore, Employee Compensation policy can not substitute ESIC Act, enforcement.


A.K. Sharma

5th October 2011 From India, Gurgaon
No matter what you have WC or EC eligible employees are always covered under ESI. WC is for those ho are not covered under ESI and met with an accident or death. Siddhartha Guhathakurta GM-HR
3rd September 2012 From India, Calcutta
Dear Sir
As per new ruling of supreme court were building association of india filed a case and they had got stay order till further notice , hence till the further notice come the construction worker had been excluded form ESIC contribution and benefit.
Kindly find notification for further references.
13th February 2019 From India, Korba

Attached Files
Membership is required for download. Create An Account First
File Type: pdf ESIC Stayed order Notification.pdf (194.0 KB, 34 views)

Reply (Add What You Know) Start New Discussion

Cite.Co - is a repository of information created by your industry peers and experienced seniors. Register Here and help by adding your inputs to this topic/query page.
Prime Sponsor: TALENTEDGE - Certification Courses for career growth from top institutes like IIM / XLRI direct to device (online digital learning)

About Us Advertise Contact Us
Privacy Policy Disclaimer Terms Of Service

All rights reserved @ 2019 Cite.Co™