Disputes & Remedies

Employees State Insurance Corporation

The Employees State Insurance Scheme is administered by the Employees’ State Insurance Corporation, which is constituted by the Central Government. It consists of representatives of the Central Government, medical profession and members of Parliament. The Corporation is vested with the following powers.

1. To promote measures for the improvement of the health and welfare of insured employees and for the rehabilitation and re-employment of those who have been disabled or injured
2. To appoint inspectors for purposes of the Act.
3. To determine the amount of contribution payable in respect of employees of a factory or establishment, which has not furnished or maintained any particulars, registers or records.

Employee Insurance Court

Any dispute arising under the Act shall be decided by the Employees Insurance Court and not by a Civil Court. It is constituted by the State Government for such local areas as may be specified and consists of such number of judges, as the Government may think fit. It shall adjudicate on the following disputes and claims.

Disputes as to:

1. Whether an employee is covered by the Act or whether he is liable to pay the contribution, or
2. The rate of wages or average daily wages of an employee, or
3. The rate of contribution payable by the employer in respect of any employee, or
4. The person who is or was the principle employer in respect of any employee, or
5. The right to any benefit an the amount and duration thereof, or
6. Any direction issued by the Corporation on a review of any payment of dependents’ benefit, or
7. Any other matter in respect of any contribution or benefit or other due payable or recoverable under the Act.

Claims as to–

1. Recovery of contributions from the principle employer,
2. Recovery of contributions from a contractor,
3. for short payment or non-payment of any contribution under section 68,
4. Recovery of the value or amount of benefits received improperly under section 70,
5. Recovery of any benefit admissible under the Act
6. No dispute shall be admitted unless the employer deposits with the Court 50% of the amount due from him as claimed by the Corporation.

Appeal

An appeal shall lie to the High Court within 60 against an order of the Employees’ Insurance Court if it involves a substantial question of law.