Insurance Coverage for Construction Workers
We have outsourced our construction to a vendor, and he has deputed his workers at our construction site. He says he has covered their insurance through an insurance policy under the Workmen Compensation Act. But is it not mandatory for him to cover his workers through ESIC if they fall below minimum wages?
Please help me with your expert inputs to explain.
From India, Mumbai
Acknowledge(0)
Amend(0)
2We have outsourced our construction to a vendor, and he has deputed his workers at our construction site. He says he has covered their insurance through an insurance policy under the Workmen Compensation Act. But is it not mandatory for him to cover his workers through ESIC if they fall below minimum wages?
Please help me with your expert inputs to explain.
From India, Mumbai
Acknowledge(0)Amend(0)
ESI and EC Act Applicability
ESI applies only in notified areas under the ESI Act, 1948. If your construction site falls within the notified area, then the contract workers falling within the definition of the term 'employee' should be covered under the ESIA.
The EC Act, 1923 would apply to those falling within the definition of the term 'employee' under section 2(dd) read with the list enumerated under Schedule II of the Act. Check these facts and decide accordingly.
From India, Salem
Acknowledge(2)
Amend(0)
ESI applies only in notified areas under the ESI Act, 1948. If your construction site falls within the notified area, then the contract workers falling within the definition of the term 'employee' should be covered under the ESIA.
The EC Act, 1923 would apply to those falling within the definition of the term 'employee' under section 2(dd) read with the list enumerated under Schedule II of the Act. Check these facts and decide accordingly.
From India, Salem
Acknowledge(2)Amend(0)CiteHR is an AI-augmented HR knowledge and collaboration platform, enabling HR professionals to solve real-world challenges, validate decisions, and stay ahead through collective intelligence and machine-enhanced guidance. Join Our Platform.
The Workmen's Compensation Act 1923.pdf
Workmen's Compensation Act 1923.doc