ESI Coverage Confusion in Construction: Are Subcontractors Really Included?

oberoi.tanuj
We are working in a construction company. As ESI is not applicable to workers in a construction company, our principal employer is saying that they are covered under the ESI Act and they have been assigned an ESI number. It is necessary for their subcontractors to be covered under the ESI Act as well. Please help me with this matter.
somya_das
It is mandatory to take ESIC coverage if the Principal Employer is covered under the same act. However, alternatively, there is an option to take a W/C Policy for your workers if the principal employer doesn't have any objection to that. In this regard, your company would come under the BOCW Act as well.

Regards,
BSSV
Definitely, it is covered under the Building and Construction Workers Act. Both contractors and subcontractors are entitled to the benefits, not under ESI.
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