Is ESI Applicable in Madhya Pradesh? Seeking Clarity from Fellow HR Professionals

Hi everybody!

Can anyone please tell me if Madhya Pradesh is an ESI-applicable state or not?

Thanks & Regards,
Deepika Kamal
Sr. Exe. HR

Dear Deepika,

It's applicable to all over India except for some alterations for J & K state.

Regards,
Mahabir Singh
Asst. Manager HR

Of course...

Dear,

It is applicable all over India except Jammu & Kashmir with some special clause.

Hi,

Since you are in HR, whenever a legal question like the one you have asked comes to your mind, please make it a habit of referring to the concerned legislation. The very first paragraph will specify under the title "scope, applicability, and extent of the act." This will help you in the long run as well as strengthen this aspect of your function.

As informed by my other colleague, it is applicable to the state of MP as well.

Hi,

Can anyone please tell me if ESI is applicable in the below situation:

I have a manufacturing unit where I have 2 contractors who are earning more than Rs 10,000 a month on average. Both have 4 subcontractors who each have approximately 3 to 4 employees with salaries ranging from Rs 3,000 to Rs 4,000.

Hi Vipul,

Please clarify if the contractors are third-party or on your company's payroll. Manoj mentioned that it's mandatory for those with 20 or more employees.

Thanks,
Sanjeev

Dear Deepika,

All the employees employed directly or indirectly, engaged through a contractor or through the company are covered under the Act. Only you have to check the following:

1. Wages up to 15,000 PM: covered.
2. Also, check with the ESIC Authority if your unit is under the notified area or not. If it is, that's okay; otherwise, no. If the ESIC does not provide medical facilities or a dispensary nearby to your unit, you are not covered.

Regards,
Ajay Morolia

Wage Ceiling

Employees of covered units and establishments drawing wages up to Rs. 15,000 per month (excluding remuneration for overtime) come under the purview of the ESI Act, 1948 for multi-dimensional social security benefits.