There seems to be no separate set of rules for terminating employee on ill health. Therefore, all the procedures as are required to be followed as per ID Act are required in such cases also. Although discharge of employee during the period of sickness is prohibited u/s 73 of the ESI Act, 1948, discharge due to continuous ill health due to some 29diseases is permitted by virtue of Regulation 98 of Employees State Insurance (General) Regulations, 1950. The diseases include Tuberculosis, Leprosy, Mental disorder, etc.For better understanding read with Standing Orders of the company also wherein the procedure to be followed for termination of employee shall be mentioned in detail.Regards,Madhu.T.K