ESI mandatory, says court

July 04, 2015 12:00 am | Updated 05:40 am IST - HYDERABAD:

A Constitutional Bench of five judges of Hyderabad High Court on Friday declared that every person engaged in an establishment, irrespective of status like trainee etc., is entitled to get benefits under Employees’ State Insurance (ESI).

This judgement has far-reaching consequences in favour of helpless employees in private establishments. The Bench comprising Acting Chief Justice Dilip. D. Bhosale, Justices K.C. Bhanu, S.V. Bhat, Shankar Narayana and Anis put an end to the litigation that entered High Court in 1998. Employee’s Insurance court passed orders in October 1998 declaring that trainees in RCC Private Limited were entitled for ESI benefits and that the employer cannot deny these to them.

This was challenged in High Court. The case travelled from a single judge to five judge Constitution Bench after it was heard by a Division Bench of two judges and then full bench of three judges. This Bench headed by the Acting Chief Justice gave final verdict making it clear that even if a person is told that he is not likely to get permanent job in the establishment after period of training, he is entitled for ESI benefits.

Thus the contract employees, apprentices and such persons who are being denied the benefits will now get ESI benefits. These include medical benefits, reimbursement, maternity benefits, disablement benefits, unemployment allowances etc.

Plea of engg. colleges

Counselling to fill the seats in engineering colleges in Telangana will now commence from July 8 instead of July 6. This was informed by the State government to Justice Ramalingeswar Rao of Hyderabad High Court on Friday.

He was adjudicating writ petitions filed by private engineering colleges complaining of disaffiliation, reduction in intake etc. The judge on Thursday said that he would pass orders on Friday afternoon.Now the case will be heard on Monday when the Advocate General is expected to place the version of the government and university.

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