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, with the main office located in New Delhi. However, the employees are working in other states. As a principal employer, how can I ensure that the employees are benefiting from ESIC?

Compliance checkpoints for ESIC

Kindly provide compliance checkpoints for ESIC to benefit its employees.

ESI Compliance in Notified Areas

First of all, confirm whether you are in an ESI notified area. If you are not, 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 an ESI membership card. Allow entry of non-members only after proper investigation and being satisfied that the laborer is covered.

Ensuring Contractor Compliance

Further, insist that every bill of the contractor is supported with an ESI challan and the list of persons covered therein. Direct your HR staff to do a random check of ESI compliance with contractor personnel.

Periodic Legal Compliance Audit

Another step is to undertake a periodic legal compliance audit by any external agency.

Ensuring ESIC Compliance for Employees in Different States

Sir, our area is notified under ESIC in West Bengal. The contractor, who has deployed staff in West Bengal from New Delhi, has attached the ESI Challan. However, I would like to know how to ensure that compliance has been met by the contractor. Some employees have complained that ESIC Siliguri mentioned benefits will only be provided in Delhi as the registration was done there.

Steps to Ensure Benefits in Siliguri

If this is the case, what steps should be taken to ensure that members can avail benefits from Siliguri only?

You should try to persuade the contractor to ensure compliance locally by highlighting the lack of benefits received by the local labor. Additionally, you can gather information on ESI members and contact the Siliguri office of ESI to access benefits locally. It is not beneficial to have benefits managed by the Delhi office.

Compliance and ESI Subcode Management

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

Ask the contractor to obtain one ESI Subcode at Siliguri, West Bengal, and continue to comply under the new Subcode. All facilities—treatment and cash benefits—will be available from Siliguri. Discontinue depositing contributions of those employees who are located at Siliguri at Delhi.

Regards, S K Bandyopadhyay (WB, Howrah) CEO-USD HR Solutions [Phone Number Removed For Privacy-Reasons] [Email Removed For Privacy Reasons] USD HR Solutions – To strive towards excellence with effort and integrity

As suggested by other friends, your contractor must have a subcontract in Siliguri. If he does not have a subcode in Siliguri, ask him to open a subcode account. He must do it; otherwise, no employee will be able to receive any benefits of ESI.

Regards, S. Kumar

Uniform Coverage Under ESIC

ESIC now has uniform coverage for any employee with an ESIC card or membership. They will not be denied medical treatment or coverage in any part of India (as long as a facility is available), regardless of where the registration was done.

Sub-code Requirement

The need for a sub-code is no longer necessary. Therefore, from a compliance standpoint, there is no issue. If needed, simply send someone to speak with the local ESIC officer in your area, and they will confirm if a sub-code is required.