Why ESI matters (legal & employee benefits)

ESI is a government-backed social security scheme that delivers comprehensive medical care, hospitalization and related benefits to insured workers and their dependants from the first day of employment. Compared with private medical insurance, ESI provides a broad public health safety net at a nominal employer/employee contribution, significantly reducing out-of-pocket medical exposure for employees and limiting employer risk arising from workplace, illness, injury and death.

Contribution structure & wage limit (standard rates)

• Employee contribution: 0.75% of gross wages paid/payable.
• Employer contribution: 3.25% of gross wages paid/payable.
• Wage ceiling for applicability: contributions and benefits under the scheme currently apply to employees earning up to ₹21,000 per month (certain categories, e.g., persons with disabilities, may have different limits as notified).

Note: These rates and limits are prescribed by statute and notifications; specific exemptions, state extensions, or sectoral notifications may alter applicability. Our team monitors statutory updates and advises on applicable thresholds for your establishment.

Documents required for ESI registration (prepare soft copies)

To streamline registration, keep the following documents ready. Our team assists with online submission and secure upload to the ESIC portal where needed:

• PAN and Aadhaar of Proprietor / Partners / Directors
• Proof of premises (rent agreement / property documents)
• GST registration or other government registration (if applicable)
• Partnership deed (for partnerships) / Certificate of Incorporation (for companies)
• List of employees with wages (for Correct no of employee coverage)
• Digital signature of authorised signatory/e-Sigh (where required)
• Official e-mail ID and mobile number of the establishment and authorised signatories.

Core compliance obligations (what employers must do)

• Timely registration: Register the establishment once the threshold of employees is met.
• Monthly contribution deduction & deposit: Deduct employee share and remit combined employer-employee contribution as per ESIC timelines and formats.
• Returns & records: File statutory returns, maintain wage registers, and retain documents for inspection.
• Employee benefits administration: Issue ESI identity cards (e-pehchan) where applicable and ensure employees understand their benefits and entitlement procedures.

Non-compliance may attract penalties, interest on delayed contributions, and increased inspection scrutiny. We ensure your processes, payroll calculations and records meet ESIC standards to minimise employer liability.

How Drishti Consultancy Services supports you

• End-to-end ESIC registration — documentation, online filing and receipt of registration certificate.
• Monthly compliance management — accurate deduction calculations, online deposit preparation, return filing and reconciliation.
• Liaison & representation with ESIC offices for clarifications, inspections and grievance resolution.
• Advisory on coverage limits, exemption routes (where applicable), and integration of ESI with payroll systems and other statutory compliances.

Ready to get compliant?

If your establishment meets the ESI threshold or you need an ESIC compliance audit, contact Drishti Consultancy Services today. We will review your payroll, confirm applicability, prepare the registration filing, and manage ongoing contributions and returns—letting you focus on running your business while we manage statutory risk. Contact Now

Non-compliance may attract penalties, interest on delayed contributions, and increased inspection scrutiny. We ensure your processes, payroll calculations and records meet ESIC standards to minimise employer liability.