How Will the New ESI Scheme Impact Employees Earning Between Rs. 15,000 and Rs. 25,000?

Labour Law Consultants (PF, ESIC, MLWF, PF, etc.)

In a bid to widen the social security safety net, the Labour Minister, Mr. Sis Ram Ola, has announced that people drawing a salary up to Rs. 25,000/- shall be covered under the ESI Scheme. Currently, the benefit is available to people drawing a salary up to Rs. 15,000/- only. The decision to extend the coverage was made on Thursday, 19th September 2013. The last increase in the salary ceiling for ESI was in May 2010 when it was raised to Rs. 15,000/- from Rs. 10,000/-.

This change will impact the take-home salary of employees currently in the salary bracket of Rs. 15,000/- to Rs. 25,000/-. Additionally, it will increase the ESI contribution and compliance requirements for employers.

No official notification on the date of applicability has been made yet. It is likely to start in October or on November 13.

It will affect the company as the slab changes from ₹15,000/- to ₹25,000/-.

Team, can you please share with me once you receive the notification from ESIC regarding the revised ceiling of Rs. 25,000?

Thank you.

Please help me with the E.S.I slab, which is between 15,000 to 25,000. Can any of my friends send me the notification?

The announcement about the increase in the salary cap from Rs. 15,000/- to Rs. 25,000/- for ESIC has been made. However, the official notification about its applicability and the date of applicability is yet to be made. Until an official notification is made on this, ESIC calculation is to be done considering Rs. 15,000/- as the salary cap.

My name is Swami, Senior Officer HR from Pune. As per the feedback from all 1,700 employees and top management, it is very bad news for us. No one is happy in my organization due to this bad decision taken by the government, and I believe every HR professional is well aware of this. "Fight for Right."