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The provisions of
the ESI Act are not applicable to factories or establishments, run
by the State Governments / Central Government, whose employees are,
otherwise, in receipt of social security benefits substantially
similar or superior to the benefits provided under the ESI Act. The
case of each such Public Sector Undertaking, is decided on merit by
comparing the quality and quantity of benefits being provided to the
employees by the concerned managements, with those admissible under
the ESI Act.
The "Appropriate
Government", may grant or renew exemption under Section 87 of the
ESI Act in respect of a Factory/Establishment or class of
factories or establishments in any specified area from the operation
of the Act for a period not exceeding one year at a
time.
Exemption Under Section 88 of the Act is granted
by the "Appropriate Government" to employees, or class of employees,
who remain away from their Hqrs. for more than 7 months in a year,
and those employees who are posted in non-implemented
areas.
No exemption, under Section 87, or Section 88 can be
granted unless a reasonable opportunity has been given to the
Corporation to make any representation and the same is considered by
the "appropriate Government".
Exemption Under Section
90 can be granted to a factory / establishment belonging to any
local authority such as a Municipality / Corporation, etc. if
employees in any such factory/establishment are otherwise in receipt
of benefits substantially similar or superior to the benefit.
provided under the
Act. |
