DAILY NEWS ANALYSIS

GS-III : Economic Issues Labour

27 October, 2020
8 Min Read

ESI Scheme extended to Arunachal Pradesh

The ESI Scheme stands implemented in 568 districts in all the States and Union Territories, except Lakshadweep.
Recently, the central government has extended the Employees' State Insurance (ESI) Scheme to Arunachal Pradesh, with effect from 1st November 2020.
Employees' State Insurance (ESI) Scheme provides social protection to workers and their dependents, in the organised sector, in contingencies, such as sickness, maternity and death or disablement due to an employment injury or occupational hazard.

Provisions:

The ESI Act, 1948 is applicable to factories and notified establishments in an implemented area employing 10 or more employees for wages.
The "appropriate Government" State or Central is empowered to extend the provisions of the ESI Act to various classes of establishments, industrial, commercial or agricultural or otherwise.
Most State Governments have extended the ESI Act to a certain specific class of establishments, such as shops, hotels, restaurants, cinemas, preview theatres, motors transport undertakings and newspaper establishments etc., employing 10 or more persons.
However, the threshold for Coverage of establishments is still 20 Employees in Maharashtra.
Eligibility for Employees: The existing wage limit for coverage under the Act is Rs. 21,000 per month (Rs. 25,000 per month in the case of persons with disability).
Self-Financing Scheme: The ESI Scheme is financed by contributions from employers and employees.
In June 2020, the government reduced the rate of contribution under the ESI Act from 6.5% to 4% (employers’ contribution was reduced from 4.75% to 3.25% and employees’ contribution was reduced from 1.75% to 0.75%).
Employees, earning less than Rs. 137 a day as daily wages, are exempted from payment of their share of contribution.
Benefits: The covered employees and their dependents are eligible for a host of benefits including Cashless Medical Care Services, Sickness Benefit, Maternity Benefit, Employment Injury benefits and Dependant benefits in case of death due to employment injury, Unemployment Benefits etc.
The employees covered under ESI Scheme are also entitled to unemployment allowance. There are two unemployment allowance schemes namely Atal Beemit Vyakti Kalyan Yojna (ABVKY) and Rajiv Gandhi Shramik Kalyan Yojna (RGSKY).
Administration: It is administered by an apex corporate body called the Employees' State Insurance Corporation (ESIC). The Corporation is headed by the Union Minister of Labour, as its Chairman.

Source: PIB

Source: PIB

Join Our Telegram

Himalayan zone is Tectonically Active

PLACID Trials

Formation Day

03 Dec, 25
SHARE

On 1st November, eight Indian states—Andhra Pradesh, Chhattisgarh, Haryana, Karnataka, Kerala, Madhya Pradesh, Punjab, and Tamil Nadu—along with five Union Territories—Andaman and Nicobar Islands, Chandigarh, Delhi, Lakshadweep, and Puducherry—celebrate their Formation Day. This date marks an important milestone in India

Turtle (Kachhua) Wildlife Sanctuary

02 Dec, 25
SHARE

The Turtle Wildlife Sanctuary, also known as the Kachhua Sanctuary, is located in the Varanasi district of Uttar Pradesh. It is recognised as India’s first freshwater turtle wildlife sanctuary, established to conserve endangered turtle species and support the ecological health of the Ganga River. Location and Extent The sanctuary co

Introduction of AI and Computational Thinking (CT) in

02 Dec, 25
SHARE

The Ministry of Education plans to introduce Artificial Intelligence (AI) and Computational Thinking (CT) from Class 3 onwards in the 2026–27 academic year. This initiative is part of the National Curriculum Framework for School Education (NCF-SE) 2023 and aligns with the National Education Policy (NEP) 2020. The aim is to prepare student

Sal Tree

02 Dec, 25
SHARE

Scientists from the Environment Department of Himachal Pradesh University (HPU) in Shimla have recently revealed that the Sal tree (Shorea robusta) is the most effective natural air purifier for combating rising pollution levels. Their findings highlight the tree’s superior capacity to trap dust, absorb gases, and cleanse the air compared

US Resumes Nuclear Weapon Testing

02 Dec, 25
SHARE

The President of the United States has ordered the resumption of nuclear weapon testing after a gap of 33 years, the last test being in 1992. This decision marks a significant shift in global nuclear policy and has far-reaching implications for geopolitics, the environment, and international security. Status of Global Nuclear Weapon Testing

Quick Links Testimonials FAQ

Crash Course

Regular Modules 2024

Mains

Optional

ESI Scheme extended to Arunachal Pradesh

ESI Scheme extended to Arunachal Pradesh

Formation Day

Turtle (Kachhua) Wildlife Sanctuary

Introduction of AI and Computational Thinking (CT) in

Sal Tree

US Resumes Nuclear Weapon Testing

DNA

03 Dec,2025

Important GS Topics

Toppers

Search By Date

Top Editorials

UPSC Courses

Saarthi Mentorship Programme

Important Tags

Articles:Geography And Environment

Articles: History Culture Society

Articles: Governance & National Issues

Articles: IR & IO

Articles: Economic Development & Economic Issues

Articles: S&T Internal Security

Articles: Ethics & Others

Articles: Others

Newsletter Subscription

SMS Alerts

Important Links