Compliances under ESIC - main office in New Delhi. However, employees are working in some other states

One of the Contractors has taken registration under ESIC having his main office in New Delhi. However, his employees are working in some other states.
As a principal employer how I will ensure that his employees are getting benefitted under ESIC.

Kindly provide checkpoints for compliance of ESIC to its employees.

First of all confirm whether you are in ESI notified area, if you are not in it then there is no issue of ESI compliance. If you are in the notified area, then pass orders that entry will be allowed to contractor personnel with ESI membership card. Allow entry of non-members only after proper investigation and being satisfied that the labourer is covered. Further insist that every bill of the contractor is supported with ESI challan and the list of persons covered therein. Direct your HR staff to do random check of ESI compliance with contractor personnel. Yet another step is to undertake periodic legal compliance audit by any external agency.

Sir yes, our area is notified under ESIC in West Bengal. the contractor is in New Delhi deployed staff in West Bengal. He has attached ESI Challan. But want to know how I will ensure that Compliance has been done by the contractor. some employees complained that ESIC, Siliguri says that benefits will be provided in DELHI only as registration made there. Is it so sir, then what to do so that members may get benefits from Siliguri only.

You shall try to persuade the contractor to ensure compliance locally stating the non-reeceipt of benefits to the local labour. You may also collect details of ESI members and approach the Siliguri office of ESI for availing benefits locally. There is no point in having the benefits administered by Delhi.

If compliance is made at Delhi code, only treatment will be available at Siliguri but cash benefit and others to be obtained from Delhi only.

Ask the contractor to obtain one ESI Sub code at Siliguri West Bengal and continue to comply under the new Sub Code. All facilities - Treatment and cash benefit will be available from Siliguri. Discontinue depositing contribution of those employees who are located at Siligury at Delhi.

S K Bandyopadhyay ( WB, Howrah)
CEO-USD HR Solutions
+91 98310 81531
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Dear,

As suggested by other friends your contractor must have a sub contract at Siliguri .If he have not a sub code in Siliguri ask him to open a sub code account. He have to do it must otherwise no employee will be able to receive any benefit of ESI.

S.KUMAR

ESIC is now having uniform coverage for any employee having a EISC card or membership. he will not be denied medical treatment or coverage in any part of india (as long as there is a facility available) irrespective of where the registration was done.

The need for a sub-code is no longer a necessity. Therefore, from compliance point of view, it is not a problem. If you need, just send someone to speak to the local officer in ESIC in your area and they will confirm if there is a need for a sub-code

On another issue, I would like to have your valuable comments.

1. Is a Contractor can be contract labor in the contract awarded to his company?

2. Being contract labor of some contract can he take other service contracts in his name i.e, as an employer.