Consider the following: 1. Hotels and restaurants 2. Motor transport undertakings 3. Newspaper establishments 4. Private medical institutions The employees of which of the above can have the ‘Social Security’ coverage under “Employees’ State Insurance Scheme’?

QUESTION

Hard

Social Issues & Schemes

Prelims 2012

Consider the following:

Hotels and restaurants
Motor transport undertakings
Newspaper establishments
Private medical institutions

The employees of which of the above can have the ‘Social Security’ coverage under “Employees’ State Insurance Scheme’?

Select an option to attempt

Explanation

The Employees' State Insurance (ESI) Act, 1948, is a self-financing social security scheme that provides medical, cash, maternity, disability, and survivor benefits to workers. While initially applicable to non-seasonal factories, Section 1(5) of the Act empowers the 'Appropriate Government' to extend its provisions to any other establishment.

Statement 1 is Correct: State governments have extended the ESI Scheme to hotels and restaurants employing a specified number of persons (usually 10 or more).

Statement 2 is Correct: Road-motor transport undertakings are specifically included in the list of establishments covered under the ESI Act through government notifications.

Statement 3 is Correct: Newspaper establishments (which are not already covered as factories) have been brought under the coverage of the ESI Scheme by various state governments.

Statement 4 is Correct: The ESI Corporation has extended the scheme's coverage to include private medical institutions and educational institutions employing 10 or more persons in most states and Union Territories.

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