Dear All,
I came across various old posts on ESI Applicability to construction Employees today itself. I thought of sharing the information I have with me on this subject.
I am attaching herewith a copy of letter dated 14.06.1999 by Shri. S.P.S. Khetal, Addl. Commissioner ( Revenue ), ESI Corporation, New Delhi addressed to ESI Regional Offices / Sub – Regional Offices, which is self explanatory on ESI coverage of Construction Industry.
Please be also noted that the judgment of the Supreme Court in C.E.S.C. Ltd. Vs. Subhash Chandra Bose & others (Civil Appeal Nos. 3197-98 of 1988) delivered on 15.11.1991 has discussed on the same issue in which two Supreme Court Judges had differed on the applicability of ESIS to employees of contractor and the third Judge, Chief Justice Ranganath Mistra, had asked parliament to resolve the conflict by an amendment to the Law. The above letter dated 14.06.1999 by Addl. Commissioner (Revenue) is subsequent to the Supreme Court Judgment.
Recently I heard there is a case law of Delhi Metro in which the ESI law is made applicable to Delhi Metro on the ground that the construction activity is done with the help of machinery. Recently I also heard that in case of Ready Mix Plant locate in Construction Site, the ESI Act is made applicable to the site. However, I could not confirm the above with details.
The senior members / senior consultants and law practitioners are requested to comment on this subject.
Thanks with regards.
Keshav Korgaonkar
Cell: +91 99675 16383 / 98201 16383