ESI Registration Services.
At Gubera Consultancy, we understand the importance of ensuring the well-being of your workforce. That’s why we offer seamless ESI registration services to help you provide valuable health benefits to your employees. With our expert team by your side, you can simplify the process of registering for Employee State Insurance (ESI) and ensure compliance with labor regulations.
Don’t let the complexities of ESI registration overwhelm you. Contact Gubera Consultancy today and let us take care of the entire process for you. Our friendly team is ready to assist you and ensure that your employees receive the health benefits they deserve. Trust us to simplify your ESI registration and provide you with peace of mind.
Don’t worry we can customize the Package based on your Requirements as well . Let’s Start your Business Journey Now.
Expert Assistance for ESI Registration.
Employee State Insurance (ESI) registration is a mandatory compliance requirement for businesses in India. It is governed by the Employee State Insurance Corporation (ESIC). This scheme provides social security and health insurance benefits to Indian workers who earn a specified monthly wage, and it typically extends to their dependents as well.
The ESI scheme operates under the ESI Act of 1948, which is a government scheme designed to provide social security benefits to workers. The administration of this scheme falls under the purview of the Employee State Insurance Corporation (ESIC). Employers are required to formally register their establishments with ESIC and furnish worker details for inclusion in the program.
Definition and Scope of Establishments under the ESI Act
The Employee State Insurance (ESI) Act categorizes an establishment as any organized entity involving men or women, regardless of its physical location. This includes retail outlets and commercial shops, which are mandated to enroll in the ESI scheme if they employ 10 workers or 20 in certain states. These employees must earn up to Rs. 21,000 per month, or Rs. 25,000 for individuals with disabilities.
Benefits of ESI Registration
ESI registration offers several benefits to both employers and employees. Here are some of the key advantages:
Healthcare Benefits
ESI registration ensures that employees and their dependents have access to quality healthcare services. It covers medical expenses, including hospitalization, maternity benefits, and treatment for various illnesses and injuries.
Financial Security
ESI provides financial security to employees in times of need. It offers disability benefits, which include cash compensation for temporary or permanent disabilities resulting from employment-related injuries or accidents.
Unemployment Allowance
In case of involuntary unemployment due to closure of the establishment or retrenchment, employees registered under ESI are eligible for unemployment allowance. This provides them with a source of income during the period of unemployment.
Funeral Expenses
ESI also covers funeral expenses in the unfortunate event of an employee’s death. It provides financial assistance to the dependents to cover the costs associated with the funeral.
Maternity Benefits
ESI registration ensures that female employees receive maternity benefits, including paid leave and medical expenses during pregnancy and childbirth. This helps to support working mothers and promotes a healthy work-life balance.
Process of ESI Registration
The process of ESI registration involves the following steps:
1. Obtain Employer’s Registration Code
Employers need to obtain an Employer’s Registration Code from the Regional Office of ESIC. This code is unique to each establishment and is required for registration.
2. Gather Required Documents
Employers must gather the necessary documents for registration, including proof of address, proof of incorporation, and details of employees such as Aadhaar cards, salary registers, and attendance records.
3. Submit Application
Employers need to submit the completed application form along with the required documents to the Regional Office of ESIC. The application will be processed, and if approved, the establishment will be issued an ESI registration number.
4. Display ESI Notice
Once registered, employers are required to display the ESI notice at a prominent location within the establishment. This notice informs employees about their rights and benefits under the ESI scheme.
Eligibility for ESI Registration
According to the official notice, the following state government-affiliated entities fall under the scope of the ESI Act according to Section 1(5):
- Retail outlets
- Dining establishments or hotels solely involved in sales
- Movie theatres, including preview facilities
- Establishments related to road transportation
- Newspaper organisations (exempt from the Factory Act)
- Private healthcare facilities
- Private educational institutions
- Casual workers employed by municipal corporations or bodies
These entities are required to register with the Employees’ State Insurance Corporation (ESIC) if they have a workforce of 10 or more individuals.
Furthermore, the central government has expanded the ESI Act’s Section 1(5) coverage to include the following central government-related entities:
- Retail outlets
- Hotels and dining establishments
- Establishments related to road transportation
- Cinemas, including preview theatres
- Newspaper organisations
- Businesses involved in insurance
- Non-banking financial companies (NBFCs)
- Port trusts
- Airport authorities
- Warehousing
For these central government-associated entities, mandatory ESIC registration is required when employing 20 or more individuals.
Eligibility Criteria for ESI Registration
The eligibility criteria for ESI registration are as follows:
- Employees in establishments, factories, or shops with more than 10 employees are eligible for ESI benefits under Section 2(12) of the ESI Act, 1948.
- All workers and their dependents across various industries and sectors can receive ESI medical benefits from ESIC-run hospitals and dispensaries.
- Women employees earning less than Rs. 21,000 per month and individuals with disabilities earning less than Rs. 25,000 per month are eligible for maternity benefits under the ESI Act. This includes medical and cash benefits, as well as paid leave for various conditions such as pregnancy (pre and post-delivery), medical termination, miscarriage, and adoption.
Documents Required for ESI Registration.
When applying for ESI (Employee State Insurance) registration, there are certain documents that you need to provide. These documents should be submitted in a digital or electronic format for online registration on the ESIC website. The online registration process eliminates the need for physical document submission, making it convenient for businesses.
Business Registration Proof: During the online registration process, you will need to upload proof of your business registration. The specific document required depends on the type of business you have:
- Factories Act Registration Certificate
- Shops and Establishment Act Registration Certificate
- Establishment Incorporation Certificate (applicable as per the entity type)
- Company Registration Certificate for companies
- Partnership Deed for partnership firms
- Goods and Services Tax (GST) Registration Certificate of the establishment
Company’s Founding Documents: Additionally, you will need to provide the company’s founding documents:
- Memorandum of Association (MOA)
- Articles of Association (AOA)
Establishment’s Address Proof: Proof of the establishment’s address is also required. You can provide one of the following documents:
- Recent utility bill (electricity, gas, or telephone) not older than three months
- Rental agreement for the establishment’s premises
- Property tax receipt for the establishment’s location
Employee Details: As part of the registration process, you will need to provide a comprehensive list of all employees at your establishment. This includes their personal details and employment information.
PAN Cards: You will also need to provide PAN (Permanent Account Number) details of both the business and all employed individuals. PAN cards are important for tax purposes and are required for ESI registration.
Employee Compensation Details: Information on the salary or wages of all employees is necessary for ESI registration. This includes details such as the amount paid, frequency of payment, and any other relevant compensation information.
Banking Information: During the registration process, you will be asked to provide banking information. This includes a cancelled cheque from the company’s bank account. The bank account should be in the name of the establishment.
Company Leadership Details: Lastly, you will need to provide a list of the company’s directors and shareholders. This information helps establish the ownership and leadership structure of the business.
Employee Attendance Register: It is important to maintain a record of employee attendance. This register should be regularly updated and made available for inspection when required.
By ensuring that you have all the necessary documents ready for ESI registration, you can streamline the process and avoid any delays. Remember to provide the documents in the required digital or electronic format when applying online on the ESIC website.
Compliances after ESIC Registration.
After Employee’s State Insurance (ESI) registration, an establishment must adhere to specific compliances and file requisite ESI returns. These obligations are crucial for ensuring seamless operation and adherence to regulatory standards. The mandatory compliances include:
Attendance Register Maintenance: The establishment must diligently maintain an attendance register to record the attendance of all employees. This serves as a fundamental document for compliance and internal record-keeping.
Register of Wages: A comprehensive register of wages for workers should be meticulously maintained. This register is vital for transparent documentation of salary details and ensures compliance with ESIC regulations.
Inspection Book: An inspection book must be kept to record any inspection on the premises. This facilitates transparency and regulatory compliance during official inspections.
Monthly Return and Challan Submission: The establishment must submit monthly returns and challans within the first 15 days of the succeeding month. This includes providing details of employees, their attendance, and the corresponding contributions to the ESIC.
Accident Register: A register documenting accidents on the premises is mandatory. Accurate recording of accidents is essential for compliance and facilitates a proactive approach towards workplace safety.
ESIC Registration Process: The process for ESIC registration has shifted from a manual to a completely online system, making it more accessible and efficient. Businesses looking to register under ESIC can now complete the entire process through the official ESIC portal.