The Employee State Insurance Corporation vide its notification dated 23rd October 2020 has notified the phased programme for the implementation of the ESI Scheme for the year 2020-21.
Since the code of security has been notified and the code subsumes ESI Act 1948 along with 8 other central enactments in the field of social security and once it is notified the entire area of the country shall be implemented for the purpose of ESI scheme.
ESI Corporation bears the entire medical expenditure on the medical care for a period of 3 years for the implementation of scheme to new areas. The ceiling expenditure for the medical care for the insured persons has been enhance from 2150 Rs. To 3000 Rs. Per IP per annum.
Further, the rate of ESIC contribution has been reduced from 6.5% to 4% on wages as well.
