Navigating ESI vs. Workman's Compensation for Rural Companies: What Should I Do?

Respected Seniors, My HR head wants me to prepare Employee State Insurance for the company situated in the rural sector. Would ESI be applicable there, or will I have to prepare a workman's compensation policy? Please suggest.

Thanks and Regards,
Sunil

Dear Sunil,

In case the employees are to be deployed in ESIC exempted areas, you need to cover them with WC even if your office is situated in ESIC covered areas.

Regards,

We have our office in Mumbai, but our office in Jainpur, Uttar Pradesh, falls under ESIC non-implemented areas. The SRO in Varanasi informed us that we cannot obtain a subcode for Jainpur. What should we do now?

Dear Sunil,

With reference to your query, if your factory/establishment is situated in an area declared by the ESIC and you are employing 10 employees receiving a salary up to ₹15,000 per month, you are required to get registered with the ESI Corporation in accordance with the statutory provisions of the ESI Act, 1948.

Thanks,
Regards,
R B Yadav
Advocate