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Apprentices are out of ESI

Last post July 2, 2010 10:24 AM by vriddhi99. 1 repiles.

July 19, 2009 11:13 AM 1
Total Posts: 78
Join Date: March 19, 2006
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Post Date: July 2, 2010
Posts: 78
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Apprentices are out of ESI

Dear Friends,
Gujrat High Court has recently decided that apprentices eithe appointed under the apprentices act or engaged under certified standing orders are both excluded from definition of 'Employee" under sec. 2(9) of ESI Act.It has been held in ESIC vs.Arvind mills case.
For brining apprentice engaged under certified standing orders, out of ESI, one should have the specific category of Apprentice/Trainee
approved under standing orders.
This judgment will have far recahing consequences because this category has already been declared excluded by courts from EPF act.So, Now the trainee or apprentice is out from ESI and PF both.
The full judgment if some one requires, may request at -

akaushikus@yahoo.com

bmalwar@yahoo.com

Regds

anil kaushikl


 

May 2, 2010 11:052
prashant1314
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Re: Apprentices are out of ESI

Thanks for updating our knowledge...
May 3, 2010 03:143
kprasoon
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Post Date: May 3, 2010
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Re: Apprentices are out of ESI

Apprentices appointed under Apprentice Act are out of ESI Act right from th very begining as they do not fall under the category of employees.

If in the appointment/offer letter it is clearly mentioned that the appointment is under Apprentice Act and will be guided as per the said act there is no need to get it approved under standing orders act.

It is also important to know that the Standing Order Act is not applicable on small organizations having less than 100 employees. So approval under Standing Order Act does not arise at all. Also the said decision is of Gujrat High Court so not necessarily applicable all over India.

Just to update you all: A very recent landmark judgement of the Supreme Court.

Workers of contractor not eligible for ESI benefits

The workers of a contractor engaged by an establishment do not get the benefits of the Employees State Insurance Corporation Act, the Supreme Court stated last week in the judgment, Managing Director, Hassan Co-operative Milk Producer’s Society Union Ltd vs ESI Assistant Regional Director.

The ESI authorities demanded contribution to the fund from the milk coop maintaining that the loaders of the contractor engaged to bring milk to the main plant were in effect engaged by the coop. The ESI tribunal and the Karnataka high court upheld the demand. But on appeal, the Supreme Court overruled them and stated that the coop had no direct control over the workers of the contractors and had no supervisory power over them. The wages were not paid by the coop. Therefore it was not bound to pay the contribution under the law.

 

Thanks
Kama Prasoon

May 29, 2010 05:414
akhtar juned
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Post Date: May 29, 2010
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Re: Apprentices are out of ESI

Dear All, Recently ammnedment in the ESI limitfrom Rs-10000 to Rs-15000 which has been effective since 1st may 2010, also ammended and covered apprentice under ESI. Regards, Akhtar
July 2, 2010 10:245
vriddhi99
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Join Date: March 19, 2006
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Post Date: July 2, 2010
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Re: Apprentices are out of ESI

Workers of contractor not eligible for ESI benefits

The above is applicable to all the contractors who are doing some menial job like Landscaping, small carpentry work, masonry work etc.,

Please enlighten

Thank you

R Muralitharan