Government proposes to omit provision providing special rates of ESI contribution in areas where ESI Act is implemented for the first time; invites comments till 23.1.2020

In a Gazette Notification dated 24th December 2019 the Ministry of Labour and Employment (“Ministry”) has issued the Draft of Employees’ State Insurance (Central) Amendment Rules, 2019 (“Draft Rules”) in order to amend the Employees’ State Insurance (Central) Rules,1950 (“Principal Rules”).

The Ministry invites comments and suggestions within 23rd January 2020 i.e. after 30 days of the date of its publication in the Official Gazette.

Comments and suggestions are to be addressed to Shri Madan Chaurasia, Under Secretary, Ministry of Labour and Employment, Shram Shakti Bhawan, Rafi Marg, New Delhi-110001.

The Draft Rules propose to omit Rule 51 B of the Principal Rules.                                  

Rule 51B deals with the rates of employer’s and employee’s contribution in areas where the Act is implemented for the first time for the initial twenty-four months from such date of implementation.

Source: Ministry of Labour and Employment

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