ESIC

(Employee’s State Insurance Corporation)

Introduction

ESIC (Employee’s State Insurance Corporation) registration is a mandatory registration that all factories, companies and establishments that have ten (10) or more employees need to take. In some states and Union Territory, the threshold for getting ESIC Registration has been increased to twenty (20) from ten (10). This is also known as ESI (Employee State Insurance) and ESIC Registration is governed by the Employee’s State Insurance Corporation. Employee’s State Insurance Corporation is a body governed under the Ministry of Labour and Employment. ESIC is a social security scheme that is made for the welfare of employees.

What is ESIC (Employee's State Insurance Corporation) Registration?

ESIC registration provides various important benefits to the employees which include medical care, cash benefits during sickness, maternity and disability, and pension to the family members and legal heirs of employees who die during their employment with the organization. Employers are required to register themselves and their employees under ESIC and make contributions towards the scheme. Once registered, employers need to file monthly and annual returns and maintain records of their employees.
ESIC registration makes sure that every employee will receive all types of security and protection against physical or financial difficulties arising from unexpected calamities that include any kind of illness or disability. It also provides security and safety for the family and parents of employees who die during their employment with the organization. ESIC Registration is a scheme where both employer and employee take efforts.

Eligibility Criteria for the ESIC (Employee's State Insurance Corporation) Registration

Eligibility Criteria for Organizations
ESIC (Employee’s State Insurance Corporation) registration is mandatory for all factories, companies and establishments that have ten (10) or more employees. In some states and Union Territory, the threshold for getting ESIC Registration has been increased to twenty (20) from ten (10).

If any industry has the kind of work which involves chances of injury and health issues and all employees who earn up to rupees 21,000 need to get the ESIC registration.
Those organizations need to get the ESIC (Employee’s State Insurance Corporation) registration within fifteen days from the date when they crossed the threshold of the minimum number of employees.

Eligibility Criteria for Employees
Employees with a salary of up to Rupees 21, 000 can ask their employer to avail of the facility and benefit of the ESIC (Employee’s State Insurance Corporation) registration.

Procedure to get the ESIC (Employee's State Insurance Corporation) Registration

Following below-mentioned steps need to be followed in order to get the ESIC (Employees’ State Insurance Corporation) registration online :
Step 1: Visit the official website of ESIC (Employees’ State Insurance Corporation):
Firstly you need to visit the official website of the Employees’ State Insurance Corporation.
Step 2: Login/ Sign-Up on to the ESIC website
After starting the website, you will see the homepage. On the homepage you need to click on the button Employer login. After that, you will see the “Sign-Up” button at the top right corner of the website, click on it and make your account by filling in the required details.
Step 3: Verify your registered Email ID:
After signing up, You will get a confirmation email and text on the registered email and registered mobile number. Click on the verification link provided in the email to verify your email ID. Please do not ignore it as it will contain the user name and password for the registration of ESIC (Employees’ State Insurance Corporation) as employer and employee.
Step 4 log in to your ESIC account by putting the username and password received on the registered email:
After getting the username and password on the email, please log in to the account on ESIC Portal by clicking on the button “employer login”.
Step 5: Fill in the employer registration form number-1
After logging in to the account, you will be directed to the new page having the option of “new employee registration”. Now you need to fill in all the required details such as the name of the organization, the name of the employer, the registered address of the organization, the nature of the business that the employer is providing, and the number of employees in the organization. After filling in all the details, click on the “Submit” button that you will see at the bottom of the screen.
Step 6: Upload the required documents
After filling out the employee registration form or the ESIC (Employees’ State Insurance Corporation) registration, upload the necessary documents such as a PAN card, incorporation certificates if any company is taking ESIC Registration, shop establishment certificate if a shop is taking the ESIC Registration, details of bank account, and address proof.
Step 7: Payment of the registration fee
After submitting the employee registration form, you will see the option for payment by the title of “Payment of Advance Contribution”. Pay the required fee. As a process, you need to pay an advance of six months.
Step 8: Submit the application and get the registration form:
After paying the advance payment of six months, the employer will get the registration letter for the ESIC (Employees’ State Insurance Corporation) registration from the ESIC (Employees’ State Insurance Corporation) department. The registration letter comes in form of (C-11). The registration letter is compulsory as it is an important document for a valid proof.

Documents Required for the ESIC (Employees' State Insurance Corporation) Registration

The following below-mentioned documents are required in order to get the ESIC (Employees’ State Insurance Corporation) registration online:

1. Registration or certificate of the incorporation

Certificate of incorporation of the company or Certificate of incorporation of the LLP (Limited Liability Partnership) or registration of partnership deed if any partnership firm is getting the ESIC registration.

2. Certification of Registration under the Shops and Establishment Act or The Factories Act, if any factory or shop is getting the ESIC registration. Enter the CIN (corporate entity number), If the ESIC registration is getting registered for the LLP (Limited Liability Partnership) Firms, Private Limited companies, Public Limited Companies.

3. Copy of the PAN card of the company or partnership firm or LLP or proprietor or partner

4. Copy of the Cancelled cheque of the company

5. A detailed and complete list and details of all employees along with the date of joining, their salary, and bank account details

6. Detail and copy of the Bank statement of the company or partnership firm or LLP or proprietor or partner whichever entity that is taking the ESIC registration for the last six months

7. Details of the address of the applicant firm or company or any organization. Copy of the address proof of the firm is required. For that purpose, the applicant can add a copy of the electricity bill or rent agreement or sale deed or Lease Deed or Partnership Deed.

8. Copy of the charter documents that are Memorandum of Association (MOA) and Articles of Association (AOA) of the LLP (Limited Liability Partnership) Firms, Private Limited companies, and Public Limited Companies.

9. Copy of the Aadhar Card or Voter ID of the individual who is applying and of the individual who is the authorized signatory.

10. Enter the GSTIN of the firm or company or the LLP (Limited Liability Partnership) Firms, Private Limited companies, and Public Limited Companies.

11. Copy of the PAN card of the employees working in the company or firm or LLP.

12. Copy of the list of the name of the directors working in the company or firm or LLP.

13. Copy of the list of the name of the shareholders in the company or firm or LLP.

What are the Benefits of Getting ESIC (Employee's State Insurance Corporation) Registration?

ESIC registration provides various important benefits to the employees which include medical treatment and care, monetary assistance during sickness, maternity and in case of any physical injury or disability, and pension to the dependant members and family members and legal heirs of the deceased employees who die during their employment with the establishment. The important benefits of getting the ESIC (Employee’s State Insurance Corporation) registration are given below:

1. Medical benefits for the employees who has ESIC (Employee’s State Insurance Corporation) registration: Employee’s State Insurance Corporation) registration gives various medical benefits to employees, including medical treatment free of cost for the employees and and family members and legal heirs.

2. Sickness benefits for the employees who has ESIC (Employee’s State Insurance Corporation) registration: If the employee gets sick suffers from any kind of temporary disability, he or she becomes entitled to receive cash benefits of up to 70% of their wages that he or she gets from the establishment.

3. Maternity benefits for the employees who has ESIC (Employee’s State Insurance Corporation) registration: Employee’s State Insurance Corporation) registration gives maternity benefits of up to 26 weeks of paid leave to the female employees.

4. Various Disability benefits: Employees who become disabled permanently during their employment with the establishment registered under the ESIC Registration due to any physical injury related to work are entitled to receive monthly payments.

5. Life insurance Benefits: Employee’s State Insurance registration gives life insurance benefits the employee if he or she dies during the employment due to injuries or accidents related to work.

6. Reduction in cost of compliance: Employee’s State Insurance registration benefits the businesses by reducing their compliance costs by eliminating the need to provide medical benefits and insurance coverage to employees registered under the Employee’s State Insurance registration.

7. Improvement in the loyalty and morale of employees: If the establishment provides any kind of benefit to the employees, they give trust, loyalty and morale in return. By giving various medical benefits, maternity benefits and life insurance coverage to employees, Employee’s State Insurance registration can improve employee morale and loyalty towards the establishment.

In total, Employee’s State Insurance registration provides various benefits to both employers and employees, hence every employee and employer who are required to get the Employee’s State Insurance registration shall get it.

What Compliances an Establishment Needs to Make After Getting the ESIC (Employee's State Insurance Corporation) Registration

After an establishment gets registered under the Employees’ State Insurance Corporation (ESIC), there are some compliances that an establishment needs to do. Some of these compliances are given below:

Contribution to the ESIC Fund by the employer establishment.

Maintenance of the attendance Register of the employees

Maintenance of the register of wages

Maintenance of the Register of the contribution towards the ESIC Fund

Maintenance of the register of the accidents

Submission of the monthly and yearly ESIC Returns

What Returns or Form Filing an Establishment Needs to File after Getting the ESIC (Employee's State Insurance Corporation) Registration

After an establishment gets registered under the Employees’ State Insurance Corporation (ESIC), there are some compliances that an establishment needs to do. Apart from those compliances the establishment is required to file various returns under the Employee’s State Insurance Act, of 1948. Some of the returns that an establishment needs to file after getting ESIC registration are:

1. ESIC Return that is the details of the employees: An ESIC return is a return to be filed twice in a year and it needs to be filed by the employer. It contains complete details of the employees covered under the ESIC scheme, their wages, and the amount of contribution paid.
2. Register of the employees
3. Registration of Accident: In case of any accident that occurs on the premises of the establishment, an accident report needs to be filed with the ESIC.
4. Declaration Forms on behalf of the employees by the employer: The employer requires to file a declaration form for each new employee who joins the establishment and is eligible for the ESIC scheme.
5. Register of Inspection: The employer needs to maintain a register of Inspection comprising of all the inspections conducted by any officers of ESIC.
All those filings are mandatory and it is important to file them as it escapes the establishment from paying the penalties.

Who are Sheris Adviors ?

Sheris Advisors is a platform that helps people in filing online legal forms. It provides a full range of Regulatory certifications, etc. It also helps in registering companies and provides professional assistance. You can get any legal advice or if you want to get your company registered then we are just one call or text away.

Why should one choose Sheris Advisors?

Sheris Advisors provides professional assistance, for example, Company Secretary, etc.
Client access and track the progress of work at any time
We try our best to provide you with smooth client counselling
We provide free legal advice as well on the initial consulting level. It includes basic advice and not professional assistance.
We provide our service time-bound manner so that the money and time of the client can be saved.
We provide a money-back guarantee too if expected work is not provided.
For any inquiries or advice, you can reach out to us at 7982338272 or email us at sherisadvisors@gmail.com.
If you want to get our professional assistance and get a better understanding of our services then please visit our website at sherisadvisors.com.
In case if you want to visit our office, then please visit at A-36, Jawahar Park, GALI NO-2, SAHIBABAD, Ghaziabad, Ghaziabad, Uttar Pradesh, 201006.

Conclusion

Now a days, everyone wants to start big companies and entities that will flourish on national and international level. But it is not that easy to do business on national and international level without any hassle. Before expanding the business, some licenses and approvals need to be taken and apart from that there are many licenses, compliances and registrations that an establishment needs to take before starting a business and hiring people a certain number of employees.

You are just one step away from getting your ESIC (Employee’s State Insurance Corporation) registration, you can reach out to us 7982338272 or email us at sherisadvisors@gmail.com.

FAQs Regarding ESIC Registration

1. What is ESIC (Employee's State Insurance Corporation) Registration?

ESIC (Employee's State Insurance Corporation) registration is a mandatory registration for companies and establishments in India with 10 or more employees. This is also known as ESI (Employee State Insurance). In some states and Union Territory, the threshold for getting ESIC Registration has been increased to twenty (20) from ten (10).

2. What is ESIC (Employee's State Insurance Corporation) ?

Employee's State Insurance Corporation is a body governed under the Ministry of Labour and Employment. ESIC Registration is governed by ESIC (Employee's State Insurance Corporation).

3. Who needs to take ESIC (Employee's State Insurance Corporation) Registration ?

Organizations with ten or more employees need to get the ESIC (Employee's State Insurance Corporation) registration but in some states and Union Territory, the threshold for getting ESIC Registration is twenty (20) and not ten (10). Apart from that if any organization is registered with Employees Provident Fund Organisation (EPFO).
Employees with a salary of up to Rupees 21,000 can ask their employer to avail of the facility and benefit of the ESIC (Employee's State Insurance Corporation) registration.

4. Which law governs the ESIC (Employee's State Insurance Corporation) registration?

ESIC (Employee's State Insurance Corporation) registration is governed by the Employee's State Insurance Act, of 1948.

5. What is the contribution on behalf of the employer and employee in the ESIC (Employee's State Insurance Corporation) registration?

The total contribution on behalf of the employer and employee in the ESIC (Employee's State Insurance Corporation) is 6.5% of the gross salary of the employee. The separate distribution for the employee and the employer is given below:
1. The employer needs to contribute 4.75% towards the ESIC (Employee's State Insurance Corporation
2. The employee needs to contribute 1.75% towards the ESIC (Employee's State Insurance Corporation.

6. What will be the consequences if the number of employees got reduced to less than ten (10) in the organisations covered under the Employee's State Insurance Act of 1948 ?

If the number of employees got reduced to less than ten (10) in the organisations covered under the Employee's State Insurance Act, of 1948.

7. Is it mandatory to get the ESIC (Employee's State Insurance Corporation) registration by the employees?

Yes, it is mandatory to get the ESIC (Employee's State Insurance Corporation) registration by the employees.

8. Employees’ State Insurance Fund

The money that comes under the ESIC (Employee's State Insurance Corporation) registration paid by the employers or corporation and money received under the Employee's State Insurance Act, of 1948 needs to be submitted to the Employees’ State Insurance Fund. Employees’ State Insurance Fund manages and administers all that money and utilises it to fulfil the purpose of the Employee's State Insurance Act, of 1948.

9. What I the full form of ESIC?

The full form of ESIC is Employee's State Insurance Corporation

10. How to check the ESIC (Employee's State Insurance Corporation) registration number of any employee working under the establishments having the ESI (Employee's State Insurance) Registration?

Any employee working under the establishments having the ESI (Employee's State Insurance) Registration can check their ESIC (Employee's State Insurance Corporation) registration number by putting their Insurance number issued by the Employee's State Insurance Corporation at the time of ESIC Registration. Those employees working under the establishments having the ESI (Employee's State Insurance) Registration can go to the website of the ESIC and can check their ESIC (Employee's State Insurance Corporation) registration number by clicking on the button “Insured Person Login”.

11. What is the ESIC (Employee's State Insurance Corporation) Registration Code?

The ESIC (Employee's State Insurance Corporation) registration Code is a seventeen 17 digit number that is issued after filing the ESIC (Employee's State Insurance Corporation) registration form to the employee.
12. What will be the consequences if the employer or the employee do not contribute to the ESIC (Employee's State Insurance Corporation) registration?
Whether the employer or the employee does not contribute to the ESIC (Employee's State Insurance Corporation) registration, in both cases, the employer will be liable to pay 12% per annum as simple interest. Even if the employer or the employee delays the contribution in the ESIC (Employee's State Insurance Corporation) registration, even in that case, the employer needs to pay 12% per annum as simple interest for the delayed days.