Navigating Employee Safety and ESI: How to Protect Your Team on the Road?

Hello Seniors, I am Vinod, and I work in a start-up. Our work involves home delivery of products using the company's vehicles. I would like your support on the safety and health of the employees. Please help me with what kind of employee safety we need as we have an 8-person team.

Questions on Employee Safety and ESI

Please assist me with the following questions:

1. Do we need to register for ESI?
2. If yes, does ESI cover road injuries that occur while on duty and while using the company's vehicle?

Your advice is awaited. Thanks in advance!

Regards,
Vinod

Coverage Under the ESI Act

1. Sir, I think your establishment is based in Bangalore, Karnataka. As per the provisions of the ESI Act, 1948, and the rules/regulations framed thereunder, your said establishment will be covered as a "shop" if it employs or has employed 10 or more persons on any day. By 10 or more persons, we mean total employment, which will also include employees/officers of the company receiving wages more than the coverable wages (i.e., up to and including Rs. 15,000 per month). However, after your said establishment is covered, only the employees receiving wages up to the above coverable limit will be covered under the said Act. I think the employees/officers receiving wages exceeding the coverable limit will be covered under the Workmen's Compensation Act.

Ensuring Coverage Area

2. Before proceeding for coverage under the above Act, please also ensure that the area where your establishment is located falls in the implemented area as declared under section 1(3) of the said Act. You can get this information/confirmation from the nearest Branch Office of ESIC. From the Branch Office of ESIC, you can also seek other information regarding the procedure of coverage, including online registration/obtaining of a code number, etc.

Coverage of Road Injuries

3. With reference to your question (2) above, it is informed that such eventualities, i.e., road injuries on duty, are covered provided the conditions as laid down under section 51C and other sections of the said Act are satisfied.

Provisions of ESI are covered by other members. I would advise group insurance schemes, proper serviceable vehicles, helmets for two-wheelers, coordinated delivery to every location to avoid multiple trips, and adequate breaks for employees as driving is always strenuous in big cities. I suggest health checks once a year for employees engaged in daily driving duties.