SectionsParticulars
Chapter IPreliminary
1Short title, extent, commencement and application
(1) This Act may be called the Employees' State Insurance Act,1948.(2) It extends to the whole of India 1[***].(3) It shall come into force on such 2date or da...
2Definitions
In this Act, unless there is anything repugnant in the subject or context,-(1) "appropriate government" means, in respect of establishments under the control ...
2ARegistration of factories and establishments
Every factory or establishment to which this Act applies shall be registered within such time and in such manner as may be specified in the regulations made i...
Chapter IICorporation, Standing Committee And Medical Benefit Council
3Establishment of Employees' State insurance Corporation
(1) With effect from such date25 as the Central Government may, by notification in the Official Gazette, appoint in this behalf, there shall be established fo...
4Constitution of Corporation
The Corporation shall consist of the following members, namely:-26[(a) a Chairman to be 27[appointed] by the Central Government;(b) a Vice-Chairman to be 27[ap...
5Term of office of members of the Corporation
(1) Save as otherwise expressly provided in this Act, the term of office of members of the Corporation other than 34[the members referred to in clauses (a), (...
6Eligibility for re-nomination or re-election
An outgoing member of the Corporation, the Standing Committee, or the Medical Benefit Council shall be eligible for 36[re-appointment] or re-election as the c...
7Authentication of orders, decisions, etc.
All orders and decisions of the Corporation shall be authenticated by the signature of the Director General of the Corporation and all other instruments issue...
8Constitution of Standing Committee
A Standing Committee of the Corporation shall be constituted from among its members, consisting of-(a) A Chairman, 38[appointed] by the Central Government;(b)...
9Term of office of members of Standing Committee
(1) Save as otherwise expressly provided in this Act, the term of office of a member of the Standing Committee, other than a member referred to in clause (a) ...
10Medical Benefit Council
(1) The Central Government shall constitute a Medical Benefit Council consisting of-(a) the Director General, Health Services, ex officio, as Chairman;(b) a D...
11Resignation of membership
A member of the Corporation, the Standing Committee or the Medical Benefit Council may resign his office by notice in writing to the Central Government and hi...
12Cessation of membership
49[(1)] A member of the Corporation, the Standing Committee or the Medical Benefit Council shall cease to be a member of that body if he fails to attend three...
13Disqualification
A person shall be disqualified for being chosen as or for being a member of the Corporation, the Standing Committee or the Medical Benefit Council-(a) if he i...
14Filling of vacancies
(1) Vacancies in the office of 48[appointed] or elected members of the Corporation, the Standing Committee and the Medical Benefit Council shall be filled by ...
15Fees and allowances
Members of the Corporation, the Standing Committee and the Medical Benefit Council shall receive such fees and allowances as may from time to time be prescrib...
16Principal officers
50[(1) The Central Government may, in consultation with the Corporation, appoint a director general and a financial commissioner.](2) The director general shal...
17Staff
(1) The Corporation may employ such other staff of officers and servants as may be necessary for the efficient transaction of its business provided that the s...
18Powers of the Standing Committee
(1) Subject to the general superintendence and control of the Corporation, the Standing Committee shall administer the affairs of the Corporation and may exer...
19Corporation's power to promote measures for health, etc. of insured persons
The Corporation may, in addition to the scheme of benefits specified in this Act, promote measures for the improvement of the health and welfare of insured pe...
20Meetings of Corporation, Standing Committee and Medical Benefit Council
Subject to any rules made under this Act, the Corporation, the Standing Committee and the Medical Benefit Council shall meet at such times and places and shal...
21Supersession of the Corporation and Standing Committee
(1) If in the opinion of the Central Government, the Corporation or the Standing Committee persistently makes default in performing the duties imposed on it b...
22Duties of Medical Benefit Council
The Medical Benefit Council shall-(a) advise 60[the Corporation and the Standing Committee] on matters relating to the administration of medical benefit, the ...
23Duties of 61[Director General and the Financial Commissioner]
The 61[director general and the financial commissioner] shall exercise such powers and discharge such duties as may be prescribed. They shall also perform suc...
24Acts of Corporation, etc. not invalid by reason of defect in constitution, etc.
No act of the Corporation, the Standing Committee or the Medical Benefit Council shall be deemed to be invalid by reason of any defect in the constitution of ...
25Regional Boards, Local Committees, Regional and Local Medical Benefit Councils
The Corporation may appoint regional boards, local committees and regional and local Medical Benefit Councils in such areas and in such manner, and delegate t...
Chapter IIIFinance And Audit
26Employees' State Insurance Fund
(1) All contributions paid under this Act and all other moneys received on behalf of the Corporation shall be paid into a fund called the Employees' State Ins...
27Grant by the Central Government
[Omitted by Act No. 44 of 1966, section 12 (w.e.f. 17th., June, 1967)]...
28Purposes for which the fund may be expended
Subject to the provisions of this Act and of any rules made by the Central Government in that behalf, the Employees’ State Insurance Fund shall be expended on...
28AAdministrative expenses
The types of expenses which may be termed as administrative expenses and the percentage of the income of the Corporation which may be spent for such expenses ...
29Holding of property, etc.
(1) The Corporation may, subject to such conditions as may be prescribed by the Central Government, acquire and hold property both movable and immovable, sell...
30Vesting of the property in the Corporation
All property acquired before the establishment of the Corporation shall vest in the Corporation and all income derived and expenditure incurred in this behalf...
31Expenditure by Central Government to be treated as a loan
[Omitted by Act No. 44 of 1966, section 12 w.e.f. 17th., June, 1967.]...
32Budget estimates
The Corporation shall in each year frame a budget showing the probable receipts and the expenditure which it proposes to incur during the following year and s...
33Accounts
The Corporation shall maintain correct accounts of its income and expenditure in such form and in such manner as may be prescribed by the Central Government. ...
34Audit
(1) The accounts of the Corporation shall be audited annually by the Comptroller and Auditor-General of India and any expenditure incurred by him in connectio...
35Annual report
The Corporation shall submit to the Central Government an annual report of its work and activities....
36Budget, audited accounts and the annual report to be placed before 43[Parliament]
The annual report, the audited accounts of the Corporation 44[together with 65[the report of the Comptroller and Auditor-General of India thereon and the comm...
37Valuation of assets and liabilities
The Corporation shall, at intervals of five years, have a valuation of its assets and liabilities made by a valuer appointed with the approval of the Central ...
Chapter IVContributions
38All employees to be insured
Subject to the provisions of this Act, all employees in factories or establishments to which this Act applies shall be insured in the manner provided by this ...
39Contributions
(1) The contribution payable under this Act in respect of an employee shall comprise contribution payable by the employer (hereinafter referred to as the empl...
40Principal employer to pay contributions in the first instance
(1) The principal employer shall pay in respect of every employee, whether directly employed by him or by or through an immediate employer, both the employer'...
41Recovery of contributions from immediate employer
(1) A principal employer, who has paid contribution in respect of an employee employed by or through an immediate employer, shall be entitled to recover the a...
42General provisions as to payment of contributions
(1) No employee's contribution shall be payable by or on behalf of an employee whose average daily wages 72[during a wage period are below 73[such wages as ma...
43Method of payment of contribution
Subject to the provisions of this Act, the Corporation may make regulations for any matter relating or incidental to the payment and collection of contributio...
44Employers to furnish returns and maintain registers in certain cases
(1) Every principal and immediate employer shall submit to the Corporation or to such officer of the Corporation as it may direct such returns in such form an...
45Inspectors, their functions and duties
(1) The Corporation may appoint such persons as Inspectors, as it thinks fit, for the purposes of this Act, within such local limits as it may assign to them....
45ADetermination of contributions in certain cases
(1) Where in respect of a factory or establishment no returns, particulars, registers or records are submitted, furnished or maintained in accordance with the...
45BRecovery of contributions
Any contribution payable under this Act may be recovered as an arrear of land revenue....
45CIssue of certificate to the Recovery Officer
(1) Where any amount is in arrears under this Act, the authorized officer may issue, to the Recovery Officer, a certificate under his signature specifying the...
45DRecovery Officer to whom certificate is to be forwarded
(1) The authorized officer may forward the certificate referred to in section 45C to the Recovery Officer within whose jurisdiction the employer-(a) carries o...
45EValidity of certificate and amendment thereof
(1) When the authorized officer issues a certificate to a Recovery Officer under section 45C, it shall not be open to the factory or establishment or the prin...
45FStay of proceedings under certificate and amendment or withdrawal thereof
(1) Notwithstanding that a certificate has been issued to the Recovery Officer for the recovery of any amount, the authorized officer may grant time, for the ...
45GOther modes of recovery
(1) Notwithstanding the issue of a certificate to the Recovery Officer under section 45C, the Director General or any other officer authorized by the Corporat...
45HApplication of certain provisions of the Income Tax Act
The provisions of the Second and the Third Schedules to the Income Tax Act, 1961 and the Income Tax (Certificate Proceedings) Rules, 1962, as in force from ti...
45IDefinitions
For the purposes of sections 45C to 45H:(a) "authorized officer" means the Director General, Insurance Commissioner, Joint Insurance Commissioner, Regional Dir...
Chapter VBenefits
46Benefits
(1) Subject to the provisions of this Act, the insured persons, 82[their dependants or the persons hereinafter mentioned, as the case may be,] shall be entitl...
48When person deemed available for employment [Omitted by Act No. 44 of 1966]
49Sickness benefit
The qualification of a person to claim sickness benefit, the conditions subject to which such benefit may be given, the rates and period thereof shall be such...
50Maternity benefit
The qualification of an insured woman to claim maternity benefit, the conditions subject to which such benefit may be given, the rates and period thereof shal...
51Disablement benefit
Subject to the provisions of this Act 92[* * * *](a) a person who sustains temporary disablement for not less than three days (excluding the day of accident) s...
51APresumption as to accident arising in course of employment
For the purposes of this Act, an accident arising in the course of an insured person's employment shall be presumed, in the absence of evidence to the contrar...
51BAccidents happening while acting in breach of regulations, etc.
An accident shall be deemed to arise out of and in the course of an insured person's employment notwithstanding that he is at the time of the accident acting ...
5ICAccidents happening while traveling in employer's transport
(1) An accident happening while an insured person is, with the express or implied permission of his employer, traveling as a passenger by any vehicle to or fr...
51DAccidents happening while meeting emergency
An accident happening to an insured person in or about any premises at which he is for the time-being employed for the purpose of his employer's trade or busi...
52Dependants' benefit
(1) If an insured person dies as a result of an employment injury sustained as an employee under this Act (whether or not he was in receipt of any periodical ...
52AOccupational disease
(1) If an employee employed in any employment specified in Part A of the Third Schedule contracts any disease specified therein as an occupational disease pec...
53Bar against receiving or recovery of compensation or damages under any other law
An insured person or his dependants shall not be entitled to receive or recover, whether from the employer of the insured person or from any other person, any...
54Determination of question of disablement
Any question-(a) whether the relevant accident has resulted in permanent disablement; or(b) whether the extent of loss of earning capacity can be assessed pro...
54AReferences to Medical Boards and appeals to Medical Appeal Tribunals and Employees' Insurance Courts
(1) The case of any insured person for permanent disablement benefit shall be referred by the Corporation to a medical board for determination of the disablem...
55Review of decisions by Medical Board or Medical Appeal Tribunal
(1) Any decision under this Act of a medical board or a medical appeal tribunal may be reviewed at any time by the medical board or the medical appeal tribuna...
55AReview of dependants' benefit
(1) Any decision awarding dependants' benefit under this Act may be reviewed at any time by the Corporation if it is satisfied by fresh evidence that the deci...
56Medical benefit
(1) An insured person or (where such medical benefit is extended to his family) a member of his family whose condition requires medical treatment and attendan...
57Scale of medical benefit
(1) An insured person and (where such medical benefit is extended to his family) his family shall be entitled to receive medical benefit only of such kind and...
58Provision of medical treatment by State Government
(1) The State Government shall provide for insured persons and (where such benefit is extended to their families) their families in the State reasonable medic...
59Establishment and maintenance of hospitals, etc. by Corporation
(1) The Corporation may, with the approval of the State Government, establish and maintain in a State such hospitals, dispensaries and other medical and surgi...
59AProvision of medical benefit by the Corporation in lieu of State Government
(1) Notwithstanding anything contained in any other provision of this Act, the Corporation may, in consultation with the State Government, undertake the respo...
60Benefit not assignable or attachable
(1) The right to receive any payment of any benefit under this Act shall not be transferable or assignable.(2) No cash benefit payable under this Act shall be ...
61Bar of benefits under other enactments
When a person is entitled to any of the benefits provided by this Act, he shall not be entitled to receive any similar benefit admissible under the provisions...
62Persons not to commute cash benefits
Save as may be provided in the regulations, no person shall be entitled to commute for a lump sum any 104[disablement benefit] admissible under this Act....
63Persons not entitled to receive benefit in certain cases
Save as may be provided in the regulations, no person shall be entitled to sickness benefit or disablement benefit for temporary disablement on any day on whi...
64Recipients of sickness or disablement benefit to observe conditions
A person who is in receipt of sickness benefit or disablement benefit (other than benefit granted on permanent disablement)-(a) shall remain under medical trea...
65Benefits not to be combined
(1) An insured person shall not be entitled to receive for the same period-(a) both sickness benefit and maternity benefit; or(b) both sickness benefit and di...
66Corporation's right recover damages from employer in certain cases
[Omitted by Act No. 44 of 1966, section 29, w.e.f. 17th., June, 1967]...
67Corporation's right to be indemnified in certain cases
[Omitted by Act No. 44 of 1966, section 29 w. e.f. 17th., June, 1967]...
68Corporation's rights where a principal employer fails or neglects to pay any contribution
(1) If any principal employer fails or neglects to pay any contribution which under this Act he is liable to pay in respect of any employee and by reason ther...
69Liability of owner or occupier of factories, etc. for excessive sickness benefit
(1) Where the Corporation considers that the incidence of sickness among insured persons is excessive by reason of-(i) in sanitary working conditions in a fac...
70Repayment of benefit improperly received
(1) Where any person has received any benefit or payment under this Act when he is not lawfully entitled thereto, he shall be liable to repay to the Corporati...
71Benefit payable up to and including day of death
108[ If a person dies], during any period for which he is entitled to a cash benefit under this Act, the amount of such benefit up to and including the day of...
72Employer not to reduce wages, etc.
No employer by reason only of his liability for any contributions payable under this Act shall, directly or indirectly, reduce the wages of any employee, or e...
73Employer not to dismiss or punish employee during period of sickness, etc.
(1) No employer shall dismiss, discharge, or reduce or otherwise punish an employee during the period the employee is in receipt of sickness benefit or matern...
Chapter V-ATransitory Provisions
73AEmployer's special contribution
(1) For so long as the provisions of this Chapter are in force, every principal employer shall, notwithstanding anything contained in this Act, pay to the Cor...
73BSpecial tribunals for decision of disputes or questions under this Chapter where there is no Employees' Insurance Court
(1) If any question or dispute arises in respect of the employer's special contribution payable or recoverable under this Chapter and there is no Employees' I...
73CBenefits under Chapter V to depend upon employee's contribution
The payment of the employee's contribution for any week in accordance with the provisions of Chapter IV in any area where all the provisions of that Chapter a...
73DMode of recovery of employer's special contribution
The employer's special contribution payable under this Chapter may be recovered as if it were an arrear of land revenue....
73EPower to call for additional information or return
Without prejudice to the other provisions contained in this Act, the Corporation may, for the purpose of determining whether the employer's special contributi...
73FPower to exempt to be exercised by Central Government alone in respect of employer's special contributions
Notwithstanding anything contained in this Act, the Central Government may, having regard to size or location of, or the nature of the industry carried on, in...
73GApplication of certain provisions of this Act to employer's special contribution
Save as otherwise expressly provided in this Chapter, the provisions of Chapter IV, section 72 and Chapter VII and any rules and regulations made under this A...
73HPower to remove difficulties
73-IDuration of Chapter VA
The Central Government may, by [notification in the Official Gazette, (vide SO No. 173(E) dated 26th., March, 1973)] direct that the provisions of this Chapte...
Chapter VIAdjudication Of Dispute And Claims
74Constitution of Employees' Insurance Court
(1) The State Government shall, by notification in the Official Gazette, constitute an Employees' Insurance Court for such local area as may be specified in t...
75Matters to be decided by Employees' Insurance Court
(1) If any question or dispute arises as to-(a) whether any person is an employee within the meaning of this Act or whether he is liable to pay the employee's ...
76Institution of proceedings, etc.
(1) Subject to the provisions of this Act and any rules made by the State Government, all proceedings before the Employees' Insurance Court shall be institute...
77Commencement of proceedings
(1) The proceedings before an Employees' Insurance Court shall be commenced by application.11[(1A) Every such application shall be made within a period of thr...
78Powers of Employees' Insurance Court
(1) The Employees' Insurance Court shall have all the powers of a Civil Court for the purposes of summoning and enforcing the attendance of witnesses, compell...
79Appearance by legal practitioners, etc.
Any application, appearance or act required to be made or done by any person to or before an Employees' Insurance Court (other than appearance of a person req...
80Benefit not admissible unless claimed in time
[Omitted by Act No. 44 of 1966, section 34, w.e.f. 28th., January, 1968.]...
81Reference to High Court
An Employees' Insurance Court may submit any question of law for the decision of the High Court and if it does so shall decide the question pending before it ...
82Appeal
(1) Save as expressly provided in this section, no appeal shall lie from an order of an Employees' Insurance Court.(2) An appeal shall lie to the High Court fr...
83Stay of payment pending appeal
Where the Corporation has presented an appeal against an order of the Employees' Insurance Court, that Court may, and if so directed by the High Court shall, ...
Chapter VIIPenalties
84Punishment for false statements
Whoever, for the purpose of causing any increase in payment or benefit under this Act, or for the purpose of causing any payment or benefit to be made where n...
85Punishment for failure to pay contributions, etc.
If any person-(a) fails to pay any contribution which under this Act he is liable to pay, or(b) deducts or attempts to deduct from the wages of an employee th...
85AEnhanced punishment in certain cases after previous conviction
Whoever, having been convicted by a court of an offence punishable under this Act, commits the same offence shall, for every such subsequent offence, be punis...
85BPower to recover damages
(1) Where an employer fails to pay the amount due in respect of any contribution or any other amount payable under this Act, the Corporation may recover 126[f...
85CPower of Court to make orders
(1) Where an employer is convicted of an offence for failure to pay any contribution payable under this Act, the Court may, in addition to awarding any punish...
86Prosecutions
(1) No prosecution under this Act shall be instituted except by or with the previous sanction of the Insurance Commissioner 39[or of such other officer of the...
86AOffences by companies
(1) If the person committing an offence under this Act is a company, every person, who at the time the offence was committed was incharge of, and was responsi...
Chapter VIIIMiscellaneous
87Exemption of a factory or establishment or class of factories or establishments
The appropriate government may, by notification in the Official Gazette and subject to such conditions as may be specified in the notification, exempt any fac...
88Exemption of persons or class of persons
The appropriate government may, by notification in the Official Gazette and subject to such conditions as it may deem fit to impose, exempt any person or clas...
89Corporation to make representation
No exemption shall be granted or renewed under section 87 or section 88, unless a reasonable opportunity has been given to the Corporation to make any represe...
90Exemption of factories or establishments belonging to government or any local authority
The appropriate government may, 44[after consultation with the Corporation,] by notification in the Official Gazette and subject to such conditions as may be ...
91Exemption from one or more provisions of the Act
The appropriate government may, with the consent of the Corporation, by notification in the Official Gazette, exempt any employees or class of employees in an...
91AExemptions to be either prospective or retrospective
Any notification granting exemption under section 87, section 88, section 90 or section 91 may be issued so as to take effect either prospectively or retrospe...
91BMisuse of benefits
If the Central Government is satisfied that the benefits under this Act are being misused by insured persons in a factory or establishment, that Government ma...
91CWriting off of losses
Subject to the conditions as may be prescribed by the Central Government, where the Corporation is of opinion that the amount of contribution, interest and da...
92Power of Central Government to give directions
133[(1) The Central Government may give directions to a State Government as to the carrying into execution of this Act in the State.39[(2) The Central Governme...
93Corporation officers and servants to be public servants
All officers and servants of the Corporation shall be deemed to be public servants within the meaning of section 21 of the Indian Penal Code....
93ALiability in case of transfer of establishment
Where an employer, in relation to a factory or establishment transfers that factory or establishment in whole or in part, by sale, gift, lease or license or i...
94Contributions, etc., due to Corporation to have priority over other debts
There shall be deemed to be included among the debts which, under section 49 of the Presidency-Towns Insolvency Act, 1909, or under section 61 of the Provinci...
94ADelegation of powers
The Corporation, and, subject to any regulations made by the Corporation in this behalf, the Standing Committee may direct that all or any of the powers and f...
95Power of Central Government to make rules
(1) The Central Government may 11[after consultation with the Corporation and] subject to the condition of previous publication, make rules not inconsistent w...
96Power of State Government to make rules
(1) The State Government may, 11[after consultation with the Corporation], subject to the condition of previous publication, make rules not inconsistent with ...
97Power of Corporation to make regulations
(1) The Corporation may, 143[* * *] subject to the condition of previous publication, make regulations, not inconsistent with this Act and the rules made ther...
98Corporation may undertake duties in Part B States
[Repealed by Act No. 53 of 1951, section 26.]...
99Medical care for the families of insured persons
At any time when its funds so permit, the Corporation may provide or contribute towards the cost of medical care for the families of insured persons.]...
99APower to remove difficulties
(1) If any difficulty arises in giving effect to the provisions of this Act, the Central Government may, by order published in the Official Gazette, make such...
100Repeal and saving
If, immediately before the day on which this Act comes into force 152[in any part of the territories which, immediately before the lst November, 1956, were co...
Schedule I[omitted]
Schedule IIList of Injuries deemed to result in permanent total disablement
[Section 2 (15A) and (15B)]PART I: LIST OF INJURIES DEEMED TO RESULT IN PERMANENT TOTAL DISABLEMENTS. No.Description of injury % age of loss of earning capacit...
Schedule IIIList of Occupational Diseases
[Section 52A]PART ASl. No. Occupational disease Employment 123s1.Infectious and parasitic diseases contracted in an occupation where there is a particular ri...
Foot Notes
1 The words "except the State of Jammu and Kashmir" omitted by Act No. 51 of 1970, w.e.f. 1st. September, 1971.2 Chaps. I, II, III and VIII were brought into f...
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