ESIC – Step By Step ESI Registration Procedure Online in India

ESI stands for Employee State Insurance and it provides self-financing security social security and health insurance scheme for Indian workers. ESI is an autonomous body under the Ministry of Labour and Employment, Government of India. Registration of ESI is mandatory for entities and establishment covered under the ESI Act and having 10 or more persons employed in such an establishment whose salary does not exceed Rs 21,000 per month. ESIC registration is the statutory responsibility of the employer and can be obtained through Enterslice.

ESI returns are filed on a half-yearly basis on the 11th of November and May. ESI contribution is deposited on a monthly basis on the 15th of every month. The purpose of ESI is to provide medical benefits to employee and their families and to provide monthly income to dependent in case of employee death on duty. Once registered under ESI, the registration cannot be canceled even if the number of employees reduces from 10. Once registered will remain active till the lifetime of the entity.

Anybody working in an organization (factory / private school /shop / hospital etc) whose pay (basic pay + dearness allowance if any) is less than / equal to 21000 per month is eligible for enrollment for ESIC. After enrollment 1.75% of your salary will be deducted as esic fee/contributions. Your employer will also have to pay 4.75% of salary. That's why some dishonest employers try to deny esic enrollment to their employees. Esic not only provides health insurance, it provides disability insurance, maternity benefits and unemployment benefits. However, being a govt sceme sometimes it may be some hassle to avail of all the benefits.

For the record, legally speaking ESIC is mandatory if you fulfill eligibility criteria and your establishment(factory/ office) is situated in a ESIC notified area. Neither the employee nor the employer can refuse esic enrollment, even if they wish to.

Also Read: Why ESI Registration is Mandatory?

Without employees, companies could hardly function let alone meet requirements. Hence, companies compensate their efforts by giving benefits and entitled severance pay.

Benefits are things of value other than salary given in return for good job performance. Employee benefits basically include, but are not limited to, the following:

• Insurance
• Retirement plans
• Stock ownership
• Leaves
• Vacation and holiday pay
• Bonuses

Benefits are not mandatorily given unless provided by federal or state law. Moreover, the range and options of benefits vary and are changing rapidly because they are increasingly expensive for companies to provide.

Documents required for ESIC registration include License or Registration Certificate issued under Shops and Establishment Act or Factories Act, if available, Partnership Deed or Memorandum and Articles of Association or Trust Deed, depending upon the constitution of the ownership of the establishment, Registration No. and/or Certificate of commencing of production of CST/ST, if available, List of Directors or Partners, Address Proof of the Factory/Firm/Establishment and PAN Card, Evidence in support of the date of commencement of business/ production, Copy of bank statement/ Cancelled cheque. Any Establishment or Factory required to obtain ESIC Registration or Factories which are voluntary obtaining ESIC registration can obtain ESIC registration online.

1. Once the documents that are required for the Online Esic registration process or Esi Registration Procedure are prepared and certified, the organization can apply for registration by presenting the Employer’s Registration (Form-1).
2. A PDF format of the Esic Online application form is accessible on the site. Fill in the form and submit it to ESIC for Esi registration on the ESI Online Portal.
3. Once checked, an Esic registration number, a 17-digit exceptional character will be given to the association. The ESI filings should be possible once you get the 17-digit number.
4. Employees enrolled under the scheme get an ESI card in the wake of presenting a form with photos and subtle elements of relatives.
5. Despite the fact that the Esi online registration is perpetual, and the number is substantial for the lifetime of the organization, any new changes, for example, employee augmentations should be suggested to the ESI.

Companies under ESIC coverage mandatorily need to file the annual return, showing the changes if any made in the previous year. You must also submit the return of contributions enclosing a copy of all ESI contributions paid once every six months. Furthermore, Organisations under ESIC Registration must maintain the following records:

• Attendance Register
• Wages Register
• Form-6 Register
• Accident Register
• Inspection Book
• The file containing all monthly challan& returns submitted

For any additional information regarding ESIC Registration, please visit Enterslice.