Query On ESI

Dear All,
I have a query relating to ESI. Ours is a Power Project. We have many contractors working at our construction site. All the contractors have covered their workers under workmen compensation Act. Is it mandatory to Cover under ESI also if they have WC policy.We have ESI hospital in our area. Please advise whether both are mandatory.
Regards
Sunitha

If the are covered under ESI then Employee Comensation Act will not be applicable & if the area is not covered then Employee Comensation Act would be applicable.
Both Act cannot be applicable at a time.

Hi Sunitha,
Yes Both Act will have to be covered.
Both the Act cannot be clubbed together even though both the acts are for the welfare of the employee. Under Workmen Compensation Act it is made for compensating the employee if any any loss is caused to the employees during his employment.
For Example if an employee while working got his two hands amputed due to the accident during the employment then as per WC Act he is 100% disabled and he will get the compensation as per the equation under the said Act. But in ESIC Act the employee will only get the expense for the treatment incurred by him.

Dear Sir,
If the employees are getting 15000 or Below 15000 Gross salary they all are comes under ESI Act.
Rest of the employees comes under EC(Employee Compensation) Act.
If ESI is coverage Your area. u can follow above said matter.
Best Regards
M Suresh

Ms Basina is not right.An IP will get medical benefit and disablement benefit@150% of SBR from ESIC, if he/she suffers an employment injury .An employee covered under EC Act instead of ESI Act will get full medical expense and disablement benefit from the employer for employment injury.If accident in not employment injury the IP will get only medical benefit.
Regards,
VARGHESE MATHEW .TVPM

Hi,
Sunitha,
As per ESIC Act - the zones covered are mentioned - If Your work place falls in that Esic Is mandatory.
As regards to WC Policy - It is mandatory for areas whwere Esic Facility Doesn't Exist.
Alternatively both the acts are for Employee Welfare.But It is not mandatory from the statutory compliance point of view to have both.
Also if need be arised you can opt for any other medical cum insurance policies instead of esic or wc and avail exemptions against the same.
Pls Refer ESIC ACT FOR MORE DETAILS
Thanks
Bijay

Dear All
I just want to add one thing , ESIC has a cap of 15000/-, so if a Person gets Gross Salary/Wages >15000.00 , he can be covered under WC policy . Because his medical insurance or any Accident needs to be covered.
Mostly , in Construction site , Construction people are covered under EC(WC) policy.
Regards