- The appropriate Government is empowered to extend the provisions of ESIC Act 1948 to any other establishment or class of establishments, industrial, commercial, agricultural or otherwise after giving one month notice of its intention of doing so by notification in Official Gazette instead of notice period of six months.
- Definition of “Dependents” as contained in clause 6A of section 2 of the Act, has been extended to enlarge the number of beneficiaries under the act such as;
- A widow, a legitimate or adopted son below the age of 25 years and an unmarried legitimate or adopted daughter.
- The age limit of the dependants has been enhanced from 18 to 25 [sub-clause (i) and (ii)]
- Exclusion granted to apprentice engaged under the Apprentices Act, 1961 or under the Standing Orders of the establishment for coverage under scheme has been withdrawn vide amendment in clause 9 of the Act. Hence, apprentices engaged under the Apprentices Act, 1961 or under Standing Orders of the establishment will also be covered under the purview of the ESIC Scheme with effect from 1 June, 2010.
A dependent parent as per definition of “Family” has been substituted so as to include “A minor brother or sister wholly dependent upon the earnings of the insured person in case the insured person is unmarried and his or her parents are not alive”. It has been also clarified that dependent parents to include “Dependent parents, whose income from all sources does not exceed such income as prescribed by the Central Government”.
- The definition of Factory under Section 2(12) has been amended to expand coverage of smaller factories. The amended Act covers all factories which employ 10 or more persons irrespective of the fact whether the manufacturing process is being carried out with the aid of the power or without the aid of the power.
- I Deputy General: ESIC is being made Chairman of the Medical Benefit Council to improve quality of medical benefits. (Section 10 of the Act)
- I The ESIC Corporation can now appoint consultants and specialists on contract basis for better delivery of super-specialty services.
- The designation of Inspector has been re-designated as “Social Security Officer to enrol them as facilitator of the Scheme rather than to act as mere inspectors. (Amendment to section 45) 7. The ESIC Corporation may nominate any officer duly authorized to carry out re-inspection or test inspection of the records and returns already inspected by Social Security Officer.
VRS Employees also Covered:
Medical benefits to the insured person and his spouse have been extended under circumstances where insured person retires under Voluntary Retirement Scheme or takes premature retirement. In the earlier Act the benefit was applicable only on attaining the age of superannuation. Proviso to sub section 3 of section 56 has been substituted to provide the same.
Notional Extension of Premises:
Accident occurring to an insured person while commuting from his residence to the place of employment and vice-a-versa shall be deemed to have arisen out of and in the course of employment for the purpose of benefit under the Act. A new section 51-E has been added for this purpose.
Organized Sector Employees Covered:
A new Chapter V-A has been added to enable provision for extending medical care to non-insured persons against payment of user-charges to facilitate providing medical care to the below poverty line (BPL) families and other un-organized sector workers covered under the Rashtriya Swasthya Bima Yojana (RSBY).
Exemption of a factory or establishment or class of factories or establishments from the operation of this Act will be granted only if the employees in such factories or establishments are otherwise in receipt of benefits substantially similar or superior to the benefits provided under this Act.
Section 91 A of the Act is amended to removing. retrospective grant of exemption from the provision of the Act.