Dear all; I have read that WC is applicable where there is no ESI but i have a doubt if salary exceed 15000 then employee will be out of ESI then can employee be a part of WC. Is it necessary for company to have statutory policy either ESI or WC?
I mean can the same company have ESI and WC together.
From India, Mumbai
I mean can the same company have ESI and WC together.
From India, Mumbai
1. Sir, if in a unit the provisions of ESI Act, 1948 are applicable then the employees covered under ESIS will not be coverable under provisions of Employees' Compensation Act, 1923. ECA is a general law and its applicability is governed by the provisions contained therein.(Pl see Schedule II of said Act. Employees getting wages exceeding to Rs.15000/- per month i.e. getting wages more than coverage limit will be coverable under ECA.
2. For more information please see sections 53 and 63 of ESI Act, 1948.
From India, Noida
2. For more information please see sections 53 and 63 of ESI Act, 1948.
From India, Noida
It is right WC is applicable where the ESI is not available or the employee wages is more than maximum ceiling.
Now point is whether you should cover the employee under WC or not. That depends upon the nature of job.
If the employee is working in Risk prone area, used to go on field work regularly, any other factor which could cause any happening.
Than you should cover the employee under WC. That will cover him and his family in Social Security System.
Moreover, in case of Death or Disability of the employee the organisation will not be bound to pay any extra compensation.
Same will be paid by the insurance co. (depend upon the situtation and actual scenerio).
Although it is advisable to cover all ESI excluded employee under WO Policy.
From India, Delhi
Now point is whether you should cover the employee under WC or not. That depends upon the nature of job.
If the employee is working in Risk prone area, used to go on field work regularly, any other factor which could cause any happening.
Than you should cover the employee under WC. That will cover him and his family in Social Security System.
Moreover, in case of Death or Disability of the employee the organisation will not be bound to pay any extra compensation.
Same will be paid by the insurance co. (depend upon the situtation and actual scenerio).
Although it is advisable to cover all ESI excluded employee under WO Policy.
From India, Delhi
Dear colleagues,
ESI is applicable to a notified area to employees who draw wages upto Rs.15,000/ month. In case your establishment is situated in a area which is not notified, esi is not applicable , there Employees compensation Act (Workmen Compensation Act got new name as Employees Compensation Act in 2010) is applicable. Employees under EC Act, will be they who are drawing any salary/ wages but for benefit under EC Act, their salary will be treated Rs.8000/ month or if it is less than Rs.8000/ month then actual wages for benefit purposes..
You can cover any employee , any cadre under EC policy whereas if ESI is there implementable, then you may take EC policy for those who are out of ESI coverage, but taking EC policy is not in anyway compulsory to cover employees out of ESI cover .
Regds,
RDS Yadav
LABOUR LAW ADVISER
DIRECTOR-FUTURE INSTT OF MNGMNT AND TECHNOLGY
From India, Delhi
ESI is applicable to a notified area to employees who draw wages upto Rs.15,000/ month. In case your establishment is situated in a area which is not notified, esi is not applicable , there Employees compensation Act (Workmen Compensation Act got new name as Employees Compensation Act in 2010) is applicable. Employees under EC Act, will be they who are drawing any salary/ wages but for benefit under EC Act, their salary will be treated Rs.8000/ month or if it is less than Rs.8000/ month then actual wages for benefit purposes..
You can cover any employee , any cadre under EC policy whereas if ESI is there implementable, then you may take EC policy for those who are out of ESI coverage, but taking EC policy is not in anyway compulsory to cover employees out of ESI cover .
Regds,
RDS Yadav
LABOUR LAW ADVISER
DIRECTOR-FUTURE INSTT OF MNGMNT AND TECHNOLGY
From India, Delhi
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