Covering All the Labourers under Medical and ESI Scheme

Ministry of Labour & Employment

Covering All the Labourers under Medical and ESI Scheme

The Employees’ State Insurance Act, 1948 applies to employees of factories employing 10 or more persons and certain specified establishments such as shops, hotels and restaurants, cine and preview theatres, road-motor transport undertakings, newspaper establishments, educational and private medical institutions employing 20 or more persons located in areas where the scheme is in force. 14 States have also extended coverage to shops and establishments employing 10 or more persons. Employees of factories and establishments covered under the scheme drawing monthly wages upto Rs. 15,000/- are covered under the scheme. As on 31.03.2011, the scheme is in force in 790 industrial centres in the country covering 1.55 crore insured persons. The total number of beneficiaries including family members of insured persons who are entitled to medical care under the scheme is 6.02 crore.

The scheme is in force in all States and Union Territories except Arunachal Pradesh, Mizoram, Manipur, Sikkim, Andaman and Nicobar Islands and Lakshadweep. Similarly, under the provisions of the Employees’ Provident Funds & Miscellaneous Provisions Act, 1952, establishments employing 20 or more persons are coverable. The establishments which are not coverable statutorily could be covered on voluntary basis if a majority of the employees and employer are willing.

For the purpose of coverage under ESIC and Employees Provident Fund, there is no criterion whether the establishment falls under organized or unorganised sector. Hence, no such separate details of the number of unorganised sector workers covered under the Employees’ Provident Funds Scheme, 1952 or Employees State Insurance Scheme are available. The total number of workers in 6,60,546 establishments have 6,15,88,670 members’ accounts under Employees’ Provident Fund Organization.

The Union Labour & Employment Minister Shri Mallikarjun Kharge gave this information in reply to a written question in Rajya Sabha today.



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