INDUSTRIAL PROFILE

Employees' State Insurance Scheme of India is an integrated social security scheme tailored to provide social protection to workers and their dependants, in the organized sector, in contingencies, such as, sickness, maternity and death or disablement due to an employment injury or occupational hazard. The ESI Act, (1948) applies to following categories of factories and establishments in the implemented areas: Non-seasonal factories using power and employing ten (10) or more persons Non-seasonal and non power using factories and establishments employing twenty (20) or more persons. The "appropriate Government" State or Central is empowered to extend the provisions of the ESI Act to various classes of establishments, industrial, commercial or agricultural or otherwise. Under these enabling provisions most of the State Govts have extended the ESI Act to certain specific class of establishments, such as, shops, hotels, restaurants, cinemas, preview theatres, motors transport undertakings and newspaper establishments etc., employing 20 or more persons. The ESI Scheme is mainly financed by contributions raised from employees covered under the scheme and their employers, as a fixed percentage of wages. Employees of covered units and establishments drawing wages up to Rs.10,000/- per month come under the purview of the scheme for social security benefits. However, employees earning up to Rs.50/- a day as wages are exempted from payment of their part of contribution. The State Govts bear one1

eighth share of expenditure on Medical Benefit within the per capita ceiling of Rs.900/- per annum and all additional expenditure beyond the ceiling. Employees covered under the scheme are entitled to medical facilities for self and dependants. They are also entitled to cash benefits in the event of specified contingencies resulting in loss of wages or earning capacity. The insured women are entitled to maternity benefit for confinement. Where death of an insured employee occurs due to employment injury, the dependants are entitled to family pension.

COMPANY PROFILEThe Medical Services are rendered by the Department of Employees State Insurance Scheme (Medical) Services popularly known ESIS (M) Services as per the memorandum of agreement by the State Government with ESI Corporation. According to Para 25 of the agreement the State Government and ESI Corporation whenever the rate of certification in the State exceeds the average of the country rate over and above 25%, then the State Government has to bear the entire exceeded expenditure on sickness benefit. The Scheme started functioning from 27th July 1958 at Bangalore with a humble beginning with strength of 12 ESI Dispensaries, 100 bedded ESI Hospital catering more than 48,000 beneficiaries with the wage limit of Rs.400/- p.m.

FACILITIES AVAILABLE IN THE DEPARTMENT 1. Inpatient and Out-patient facilities 2. Drugs and Dressings 3. Laboratory Investigations and Imaging Services 4. Artificial Limbs, Aids and Appliances 5. Integrated family welfare, Immunization and Child Health Care Services 6. Ambulance Services 7. Tie-up arrangement with private Hospitals and Nursing Homes where the ESI Hospital / Facilities are not available. 8. Tie-up arrangement for Super Specialty treatment. 1. IN-patient and OUT-patient facilities: In-Patient ESI Hospitals- referred from Diagnostic Centre and Dispensaries Out-Patient i. provided at Dispensaries ii. ESI Hospitals and Diagnostic Centre (referred from Dispensaries) 2. DRUGS AND DRESSINGS All Drugs and dressings (including vaccines and sera) that may be considered necessary and generally in accordance with the E.S.I.C drug formulary are supplied free of charge.

3. LABORATORY INVESTIGATIONS AND IMAGING SERVICES: Imaging and investigations including CT Scan, MRI, Echocardiography and laboratory facilities are provided free of cost to IPs and their families at state level specialty hospitals or other institutions having tie up with E.S.I. Scheme.

Figure showing the laboratory inside the ESIC hospital

Figure showing the lab technician working inside the ESIC laboratory. 4. ARTIFICIAL LIMBS, AIDS AND APPLIANCES: Insured Persons and their family members are provided following artificial limbs, aids and appliances as part of medical care under the E.S.I Scheme:1. Artificial limbs 2. Hearing Aids 3. Spectacles (Frame costing not more than Rs.100/-and replacement of frames not to be made earlier than 5 years) : to Insured Persons only 4. Artificial Dentures, teeth 1. Wigs (replacement not earlier than 5 years) to female beneficiaries only 1. Cardiac pacemaker 2. Wheel Chair / tricycle 3. Spinal supports (jackets, braces etc.,) 4. Cervical collars 5. Walking calipers, surgical boots etc. 6. Crutches 7. Hip prosthesis, total hip 8. Intra Ocular Lens (IOL) 9. Any other aid or appliances prescribed by the specialist as part of treatment.

The expenditure on artificial limbs, aids and appliances is met from the shareable pool of expenditure on medical care. 5. INTEGRATED FAMILY WELFARE, IMMUNISATION AND MATERNITY CHILD HEALTH PROGRAMME: ESIC is implementing the integrated Family Welfare, Immunization and Maternity and Child Health Programme in the form of child survival and safe motherhood programme. Now, it has been expanded to cover reproductive health and Sexually Transmitted Diseases. The various services provided under the programme are in line with Government of Indias programme. The different formats / proforma for ante-natal, post natal, immunization services etc., are same as adopted and circulated by Government of India from time to time. At present various services provided are as follows:a. Family Welfare: Insured persons and their spouses are provided facilities of Family Welfare viz. Vasectomy, Tubectomy operations, Intrauterine device insertion, medical termination of pregnancy, supply of condoms, distribution of oral pills etc. b. Immunization Vaccination and Preventive Inoculation: Vaccination and preventive inoculations are provided free of cost to IPs and their families as per national immunization schedule.

c. Maternity Services: Antenatal Care, Confinement and Post Natal Care. Antenatal and Post-Natal care and confinements facilities are provided free to insured women and wives of IPs. Medical Bonus of Rs.250/- per confinement is payable when confinement of insured Women or spouse of IP occurs at a place where facilities under the E.S.I Scheme are not available. 6. AMBULANCE SERVICE OR REIMBURSEMENT OR CONVEYANCE CHARGES: a. Ambulance Service: IPs and members of their families are entitled to free ambulance service for visiting Specialist Centres, Hospitals etc., for Specialist consultation or admission or any investigation, provided that the patient is so ill that he / she is not able to travel by ordinary modes of conveyance. The facilities are available in Hospitals. Necessity for transport of sick persons by ambulance is to be strictly decided by IMO/IMP in accordance with the nature of disease and condition of the patient and whether or not transport by means other than an ambulance will be in the interest of the health of the patient. For emergency, ambulance services are provided round the clock. Ambulance vans are provided as per prescribed Norms by the Corporation. In case of areas having lesser number of IPs arrangements should be made with other Organisations like District Hospitals Municipal Hospitals and Red Cross Society etc., to hire their ambulance for ESI Patients.
7

Contractual arrangements may be made with private parties, in areas where own ambulance is not available and arrangement with other organisations is not possible. b. Reimbursement of Conveyance Charges: In the absence of availability of an ambulance and where needed in an emergency, any other quick form of transport may be used and amount so spent subject to the maximum rate prescribed by the Government / Transport authority (both ways) is reimbursed to IPs. To avoid hardship to IP and his family who have to go to any hospital or medical institution for admission, specialist consultation or investigation, but whose condition is not such as to need an ambulance, provision has been made for the payment of conveyance charges, if hospital / medical institution to which the case is referred to, is at an out-station or is at a distance of more than 8 kms from the ESI Dispensary or the clinic of the panel doctor. The charges are restricted to actual II class railway fare or cost of a single seat in public conveyance both ways whichever is feasible. If the beneficiary is not in a fit condition to travel without escort for reasons to be recorded and so certified by IMO / IMP, the conveyance charges are also allowed for an escort. The IMO / IMP should keep a separate account of such payments in the prescribed Register and send a quarterly statement of this expenditure to the Director/AMO by the 15th of the month following the quarter ending in March, June, Sept and December. The returns received from different areas in the State may be consolidated area-wise by the Director / AMO and quarterly statement sent to the Corporation.

The expenditure on conveyance charges forms part of the Medical Care under the E.S.I. Scheme and hence shareable between the Corporation and the State Government in the usual ratio within ceiling prescribed. c. Domiciliary Treatment: An Insured Person and his family members are entitled to free medical attendance by IMO / IMP at their residence when the condition of the patient is such that he / she cannot reasonably be expected to attend the dispensary / clinic. Conveyance allowance for Domiciliary visit: i) For the domiciliary visit, the IMOs are paid conveyance allowance. The quantum of this allowance is decided by the State Government in consultation with the Corporation. ii) The IMPs are not paid any domiciliary conveyance allowance. In their case, it is included in the capitation fee upto a distance of 5 km, between the clinic of IMP and IPs residence. The IMOs / IMPs are required to maintain record of domiciliary visits in a register month-wise. The columns in this register are given under the chapter "Sickness Absenteeism and Recording". d. Hearse Van: A dead body van / hearse van may be provided on contractual basis in each E.S.I. Hospital.
9

7. TIE-UP ARRANGEMENT WITH PRIVATE HOSPITALS where the ESI Hospital / Facilities are not available.
o

(a) In order to give better treatment to the IPs and their family members the Department is having a tie-up arrangements with Private Hospitals and Nursing Homes.

- Haria Hospital - Usha Hospital Beds are also reserved for IPs in Government and other Private Hospitals in the State. 8. TIE-UP ARRANGEMENT FOR SUPER SPECIALITY TREATMENT In case super-specialty / specialty treatment is not available in ESI Institutions for illness like heart surgery, neurosurgery, bone marrow transplantation, dialysis, cancer treatment, etc tie-up arrangements had been made with the reputed hospitals possessing these facilities. The Corporation has decided to keep Rs.50/- per I.P family unit per annum out of the ceiling of Rs.600/- with Regional Offices as a corpus. This fund is to be utilised for deposit / reimbursement for such treatments against the sanction by the Director of ESIS (M) Service Grant of ex-gratia payment: In the event of death, marked disability, loss of limb, or part of limb of an Insured Person or family member due to adverse reaction of drug / injection an ex-gratia payment upto Rs.5,000-/ may be allowed.

10

Reimbursement to employers under Regulation 69: Reimbursement of medical expenses for providing Emergency Treatment / First aid to the Employer is provided under Regulation 69. Under Regulation 69, every employer has to arrange for First-aid Medical care and transport of accident cases till the injured IP is seen by the IMO / IMP and such employer is entitled to reimbursement of expenses incurred in this regard upto the maximum of scale prescribed from time to time. However, reimbursement is not permissible, if the employer is required to provide such medical aid free of charge under any other enactment. The cost of provision of such emergency treatment would be reimbursed to the employer by the Director / AMO (ESI Scheme) of the respective State and, therefore, all claims duly supported by relevant receipts and vouchers should be sent to the Director for verification and payment. Reimbursement of expenses incurred in respect of medical treatment under regulation-96 A. Regulation 96 A reads as follows: - Claims for reimbursement of expenses incurred in respect of medical treatment of IP and his family may be accepted in circumstances and subject to such conditions as the Corporation may be general or special order specify. The following conditions have been laid down under this Regulation: o

Full authority is vested with the State Government concerned to reimburse expenditure in respect of medical treatment of IP and his family.
11

It may be left to the discretion of the State Government to decide the Authority within their machinery who will approve the expenditure in question; and Time limit for submission of the claims for reimbursement is one year.

The State Government has to keep in view the following points while considering the cases of reimbursement of expenditure on Medical Care: i. ii. Whether such facilities for which reimbursement is

recommended are notavailable in the ESI Hospitals. Whether the hospital, where the IP was referred or proposed to be referred was / is the nearest hospital having required facilities / services. The committee meets on the 3rd working Friday of every month to hear complaints relating to administration of medical benefits. STATE FAMILY WELFARE CELL The State Family Welfare Cell was established on 23-5-1997 at Directorate. The work profile of the Assistant Director is mainly to the Family Welfare immunisation and implementation of National Health Programmes. ESI STATE AIDS CELL ESI State AIDS cell was established in the month of March 2000, Assistant Director / Programme Director is assisting in implementation of National AIDS Control Programme in the Department and also Blood Transfusion Services.

12

VISION & MISSION

Mission ESIs mission is to contribute to the well-being and the development of the countries of Central America in which it operates through the formation and integral development of leaders globally responsible and inspired by principles and values and that preparation and permanent self improvement become an instrument of accomplishments and a means for generating sustainable value for businesses and a tie for communities in which these develop. ESI is also a unit of strategic entailment at international level in the scopes of teaching, according to the areas of knowledge the programs offer.

Vision ESIs vision is to be the number one in Central America in the forming of professionals by the year 2020 by achieving recognition of being a worthy institution characterized by its high standards of educative quality and by the values instilled in its students and to be recognized by its international accreditation and its contributions to the developmental management of the region

13

REGIONAL BOARD
Constituted vide Gazette Notification Dated March 1- March 7, 2008 (Phalguna 11, 1929) [Part III-Section 4] In pursuance of Section 25 of the ESI Act, 1948 (34 of 1948), read with Regulation 10 of the ESI (General) Regulation, 1950, the Chairman, ESI Corporation, hereby constitutes the Regional Board for Tamil Nadu State, which shall consist of the following members, namely:Members' List Sl No Name of the Representatives 1 Minister of Labour, Government of Tamil Nadu Minister of Health and Family Welfare, 2 Government of Tamil Nadu Secretary (Health & Family Welfare, 3 Government of Tamil Nadu Director, Medical and Rural Health Service 4 (ESI), Chennai 600006 Secretary (Labour & Employment), Government 5 of Tamil Nadu, Chennai 600009 State Medical Commissioner (ESI 6 Corporation), Chennai 600034 Thiru.S.Sridharan, Trichy District Tiny Small Scale Industries Association, Tamil Nadu, 587 59, Raja Colony, Collector Office Road, Trichy 620001 Thiru M.Ravi, Tamil Nadu Hotel Owners 8 Association (TN, Vasantha Bhavan, 20, Gandhi Road, Egmore, Chennai 600008 Thiru.T.M.Jawaharlal, Employers' Federation of 9 Southern India, Karumuthu Centre, 634, Anna Salai, Chennai 600035 Thiru.P.Muthuvelappan, Senior General Manager, Sakthi Sugars Ltd., Southern Indian 10 Sugar Mills Association, 180, Race Course Road, Coimbatore 641018 Thiru M.Shanmugam, Thozhilalar Munnetra 11 Sanga Peravai, Pattavarthi, Pulla Poothangudi Post, Pabanasam Vattam, Thanjavur Thiru R.Audikesavan, Tamil Nadu INTUC, 8512 A/27, Mettu Street, Athipet, Ambattur, Chennai 600058 Thiru R.S.Rajendran, State Secretary (CITU), 13 44, Kavaadakhara Street, Dindigul Thiru S.Kasiviswanathan, Tamil Nadu-AITUC, 14 33, Salai Street, Sindhupoonthurai, Tirunelveli Regional Director, ESI Corporation, Tamil 15 Nadu Designation Chairman Vice-Chairman Member Member Member Ex-Officio Member Employers' Representative Under Regulation 10 (1) (a) 10 (1) (b) 10 (1) (c) 10 (1) (d) (i) 10 (1) (d) (ii) 10 (1) (f)

10 (1) (e)

Employers' Additional Provisio to Regulation Representative 10 (1) Employers' Additional Provisio to Regulation Representative 10 (1) Employers' Additional Provisio to Regulation Representative 10 (1) Employees' Representative

Regulation 10 (1) (e)

Employees' Additional Provision to Representative Regulation 10 (1) Employees' Additional Representative Employees' Additional Representative Member Secretary Provision to Regulation 10 (1) Provision to Regulation 10 (1) 10 (3)

14

EMPLOYEE BENEFITS

All benefits provided or made available to employees by an employer, including group life insurance, health insurance, disability insurance, sick leave, annual leave, educational benefits, and pensions, regardless of whether such benefits are provided by a practice or written policy of an employer or through an employee benefit plan.

ORGANIZATION CHART

SR.MNGR [EB/ER/ED]

MANAGER-EB EMPLOYEES BENEFIT

SR. OFFICER-ER EMPLOYEES RELATIONS

OFFICER-EB

OFFICER -ER

ASST. ENGINEER

SENIOR SUPERVISOR

ASSISTENT

ASSISTENT

15

Financial and Strategic SWOT Analysis Review

ESI Group S.A. (ESI) provides virtual simulation software solutions for prototype and production processes, across various industries. Its product portfolio includes virtual test applications for biomechanics, casting, comfort, composites & plastics, crash, impact & safety, electromagnetics, fluid dynamics, sheet metal forming, multiphysics, NVH & dynamics, simulation systems integration, vibro-acoustics, and welding. It has presence in various vertical markets including, aeronautics, automotive, civil engineering, education, electronics and consumer goods, energy and power, government and defence, ground transportation, heavy industries, marine, and healthcare. It has geographical presence across 30 countries, through its various subsidiaries. ESI is headquartered in Paris, France.

This comprehensive SWOT profile of ESI Group S.A. provides you an indepth strategic SWOT analysis of the companys businesses and operations. The profile has been compiled by GlobalData to bring to you a clear and an unbiased view of the companys key strengths and weaknesses and the potential opportunities and threats. The profile helps you formulate strategies that augment your business by enabling you to understand your partners, customers and competitors better. The profile contains critical company information including:

Business description A detailed description of the companys operations and business divisions.

Corporate strategy Analysts summarization of the companys business strategy.

SWOT Analysis A detailed analysis of the companys strengths,

16

weakness, opportunities and threats.

Company history Progression of key events associated with the company.

Major products and services A list of major products, services and brands of the company.

Key competitors A list of key competitors to the company. Key employees A list of the key executives of the company. Executive biographies A brief summary of the executives employment history.

Key operational heads A list of personnel heading key departments/functions.

Important locations and subsidiaries A list and contact details of key locations and subsidiaries of the company.

Detailed financial ratios for the past five years The latest financial ratios derived from the annual financial statements published by the company with 5 years history.

Interim ratios for the last five interim periods The latest financial ratios derived from the quarterly/semi-annual financial statements published by the company for 5 interims history.

Note: Some sections may be missing if data is unavailable for the company Key benefits of buying this profile include:

You get detailed information about the company and its operations to identify potential customers and suppliers.

The profile analyzes the companys business structure, operations, major products and services, prospects, locations and subsidiaries, key executives and their biographies and key competitors.
17

Understand and respond to your competitors business structure and strategies, and capitalize on their weaknesses. Stay up to date on the major developments affecting the company.

The companys core strengths and weaknesses and areas of development or decline are analyzed and presented in the profile objectively. Recent developments in the company covered in the profile help you track important events.

Equip yourself with information that enables you to sharpen your strategies and transform your operations profitably.

Opportunities that the company can explore and exploit are sized up and its growth potential assessed in the profile. Competitive and/or technological threats are highlighted.

Scout for potential investments and acquisition targets, with detailed insight into the companies strategic, financial and operational performance.

Financial ratio presented for major public companies in the profile include the revenue trends, profitability, growth, margins and returns, liquidity and leverage, financial position and efficiency ratios. Gain key insights into the company for academic or business research. Key elements such as SWOT analysis, corporate strategy and financial ratios and charts are incorporated in the profile to assist your academic or business research needs.

18

FACILITIES
I.LEAVE RULES SHORT TITLE:

These Rules may be called 'ESIC Leave Rules'. COMMENCEMENT: These Rules will be effective from 1st July, 1978. SCOPE OF APPLICATION: These Rules shall apply to: i) All regular employees of the Company; ii) Probationers; iii) Temporary employees; iv) Trainees/Apprentices, other than Apprentices under the Apprentices Act, 1961; v) Employees engaged on contract but shall not apply to employees on deputation /Foreign Service to the Corporation.

EXHIBITION OF LEAVE RULES: A copy of these Leave Rules shall be displayed on the Notice Board.

AMENDMENTS TO AND INTERPRETATION OF THE LEAVE RULES: These Leave Rules may be amended or modified from time to time by the Corporation and the same shall take effect in accordance with the orders issued by the Corporation.

19

1. CASUAL LEAVE 1. Casual Leave is intended to cover casual absence of the employees for personal reasons. 2. Casual Leave can be granted for half day also. If half day's leave is taken, the lunch interval will be taken as the dividing line. 3. Unavailed casual leave would lapse at the end of each calendar year. 4. Sundays and holidays will not be debited to the casual leave account. 5. In case of retirement / superannuation and resignation, casual leave entitlement shall be proportionate to the period of service in the calendar year. ENTITLEMENT: a) executives/supervisors/executive trainees: 12 days in a calendar year b) workmen : i) ii) Those having up to 10 years of service. : 10 days/year.

those having more than 10 years of service : 12 days/year : 10 days in a calendar year.

c) Other trainees /apprentices 2. SPECIAL CASUAL LEAVE

Special Casual Leave falls outside the normal leave and can be granted to meet special situations but not for domestic or personal reasons as in the case of casual leave. Cases in which Special Casual Leave can be granted are mentioned below: 1. Periods spent in camp by employees permitted to join the Territorial Army, not exceeding 14 days which can be combined with other leave, wherever necessary.
20

2. Special Casual Leave not exceeding 30 days in a calendar year may be granted: a. To employees selected to represent the Company in tournaments recognized by the State/National Association for the game concerned; b. To employees selected to represent the District or the State or All India in a recognized tournament; c. To employees selected to participate in training/coaching camps by State Association; d. To employees required to act as Umpires or commentators in tournaments of National/International importance; e. To employees who wish to attend in their individual capacity meetings/ training courses organized by professional institutes of which they are members. f. To employees of ESIC selected to participate in local tournament on behalf of ESIC." g. To employees of ESIC participating in Mountaineering and Trekking arranged by recognized clubs/associations." If the period exceeds 30 days in any calendar year, the employees can be permitted by competent authority. 3. Employees participating in inter-unit or inter-departmental

tournament can also be granted special casual leave not exceeding 10 days at a time which can also be permitted by competent authority to be combined with earned leave. 4. Employees who donate blood on working days may be granted special casual leave for that day.

21

3. EARNED LEAVE Earned leave means leave earned in respect of periods of services with the Corporation and granted on full pay or trainees/Apprentices other than Act Apprentices. ENTITLEMENTS: a) EXECUTIVES, SUPERVISORS, WORKMEN on the rolls as on 30 days per year. (Encashable-11 days non-encashable-4 stipend in case of

31.12.1996:

days in every half year) b) WORKMEN :( joined on or after 01.01.1997)

Length of service No. of days of Earned Leave First half of financial year Total Up to 5 years More than 5 years but up to 10 years More than 10 years but up to 15 years More than 15 years 15 11 15 10 30 14 10 15 11 29 12 13 Encashable 9 9 Total 13 14 Encashable 9 10 25 27 Second half of year Total for the Year

The above provision shall be deemed to have come into effect from 1.1.2001

c) EXECUTIVE TRAINEES: 30 days per year d) APPRENTICES: 20 days per year. ACCUMALATION LIMITS: a) Executives, supervisors, workmen: 300 days. b) Apprentices: 160 days. c) Executive trainees: 300 days.
22

d) Earned leave is credited in advance in 2 installments of 50% each on 1st April and 1st October, every financial year. e) Intervening Sundays and holidays falling within in the spell of EL are counted as EL.

ENCASHMENT i) Leave as due on 31st March or 30th September of the preceding half year or balance of leave after adjusting leave taken during the year up to date of encashment, whichever is less can be enchased. ii) 75% of total EL is treated as encashable.For the purpose of encashment, Basic pay, Special pay, Personal pay Dearness allowances are taken into account.

4. HALF-PAY LEAVE 1. Half-pay leave means leave on half-pay earned in respect of service with the Company and can be granted to an employee for any reasons including on medical grounds. The half-pay for this purpose shall be treated as half of the basic pay. All other allowances would be paid in full. Half pay leaves is not admissible to Trainees/Apprentices and employees on contract. 2. Every employee's half-pay leave account will be credited in advance as in the case of earned leave. 3. Half pay leave is credited in advance in 2 installments of 50% of entitlement each on 1st April & 1st October, every financial year. 5. SICK LEAVE 1. Sick leave will be admissible to Trainees/Apprentices at the rate of 10 days per year on full pay. It will not be admissible to Executives, Supervisors and workmen.

23

2. Sick leave account will be credited in advance with 5 days on 1st January and the balance five days on 1st July every year. 3. The leave at credit of the employee at the close of the previous half year will be carried forward subject to the accumulation limit of 30 days. 4. The sick leave at the credit of a Trainee/Apprentice who is absorbed as an Executive/Supervisor/Workman on the date of absorption will be doubled and credited as half-pay leave to his account.
ENCASHMENTS OF HALF PAY LEAVE & SICK LEAVE:

Maximum Period Half pay leave: Sick leave: 240 days 120 days

6. COMMUTED LEAVE 1. Half-pay leave can be commuted into full pay leave on medical grounds subject to production of Medical Certificate from a Registered Medical practitioner. The total commuted leave admissible in the entire service of the employee shall not exceed 240 days. 2. Total amount of earned leave and commuted leave taken in conjunction shall not exceed 180 days at a time. 3. Commuted leave will be allowed to regular employees only. It will not be admissible to Trainees/Apprentices, Probationers, temporary employees and employees engaged on contract. When commuted leave is granted, the half-pay leave account of the
24

employee will be debited with twice the period of such commuted leave. 7. SPECIAL DISABILITY LEAVE Employees who are disabled and become temporarily unfit to work on account of injuries due to accidents arising out of and in the course of employment will be allowed Special Disability Leave with full wages/salary, subject to the existing conditions. However, where the benefits under the Group Personal Accident Insurance Scheme are availed, the benefit of Special Disability Leave will not be admissible & vice-versa.

PROCEDURE:

Special Disability Leave will be granted on the basis of recommendations of a Committee consisting of the following representatives: a) Concerned HOD or his authorized nominee; b) Medical Officer authorized for this purpose; c) Representative from the HR Depts.; and d) Safety Officer (if in position)

The Head of O&M/Project Construction & Erection/Finance/Material Personnel Unit/Project (Through Personnel Department)]

25

Sub: Request for grant of Special Disability Leave Dear Sir,

I had met with an injury while on duty on in

(Date____________________________________________________while working ____________________________(Department)__________________I request that I be granted Special Disability Leave for (No. of Days)____________ _________________from________ to________. I shall not claim half-monthly compensation for the above disablement period under the Workmen's Compensation Act, 1923. (This is applicable only for those covered under the Act). (Signature) Name: Emp. No.: Designation: Department: Date Recommendation of the Committee enclosed. The individual may be sanctioned Special Disability Leave from_______to_______. Date: HR Officer Sanctioned Special Disability Leave from_______to______. Date:

26

8.

EXTRA-ORDINARY LEAVE 1. Extra-ordinary leave means leave sanctioned under special circumstances without any pay and allowances to the following extent when no other kind of leave is due, or when the employees specifically applies for extra-ordinary leave : a. Up to 3 months on any one occasion other than on grounds of illness. b. Up to 6 months on any one occasion on Medical Certificate for diseases other than T.B., Leprosy and Cancer. c. Up to 18 months on any one occasion in case of treatment for T.B., Leprosy and Cancer. 2. Entitlement of extra-ordinary leave in respect of

Trainees/Apprentices (other than Act Apprentices) and employees engaged on contract shall not exceed 20 days on any one occasion. 9. MATERNITY LEAVE

This may be granted to regular married female employees (excluding Apprentices/Trainees), in accordance with the following rules: To regular married female employees who have actually worked in the company for a period of not less than 80 days in the 12 months immediately preceding the expected date of delivery. The Leave may be granted on full pay for a period which may extend up to 135 days from the date of its commencement on production of medical certificate from the Attending Medical Officer provided that Maternity leave shall not commence from a date earlier than 45 days before the expected date of delivery and shall be up to 90 days from the actual date of
27

delivery. It may be combined with leave of any other kind, but only if a Medical certificate from the Medical Officer Supports the request for such leave. Maternity leave will also be allowed in case of miscarriage/abortion. The total period of maternity leave on account of miscarriage/abortion will be restricted to 45 days in the entire career of a female employee. Request for such leave must be supported by a medical certificate

10.

PATERNITY LEAVE

A male employee with less than 2 surviving children may be granted paternity leave for a period a 15 days during the confinement of his wife. He shall be paid leave salary equal to the pay drawn immediately before preceding on leave.

11. QUARANTINE LEAVE: 1. Quarantine leave is leave of absence from duty necessitated as a consequence of the presence of certain infectious diseases in the family or household of the employees. Such leave may be granted by the leave sanctioning authority on the certificate of the Registered Medical Practitioner for a period not exceeding 21 days, or in exceptional circumstances, 30 days. Any leave necessary in excess of this period shall be treated as leave of the type that may be available to the credit of the employees. Quarantine leave can also be granted in continuation of any other kind of leave other than casual leave. An employee on quarantine leave will not be treated as absent from duty and his pay will not be affected.
28

2. Cholera, Small-pox, Plague, Diphtheria, Typhus fever and Cerebralspinal meningitis may be treated as infectious diseases for which quarantine leave can be granted. 3. Quarantine leave can be granted to an employee at a place other than his Headquarters, also provided that he had gone there on duty or authorized leave with permission of competent authority.

ENTITLEMENTS OF VARIOUS KINDS OF LEAVE

Type of Leave Executives Supervisors & Accumulation Trainees than Apprentices) 1. Casual 12 days in a Nil 7 days in a Nil / Accumulation Act

Apprentices (other

calendar year 2. Earned Leave 30 days per year 300 days No ceiling -

calendar year 20 days per year Nil 160 days12 NA

3. Half Pay Leave 20 days per year 4. Sick Leave Nil

10 days on full 30 days pay per year

WORKMEN:
Type Leave 1. Casual Up to 10 year of Length of service No. of Leave Accumulation Per Year 10 12 20 No ceiling Nil

More than 10 years 3 H.P.L.

SOCIAL SECURITY
29

I. EMPLOYEES PROVIDENT FUND

NAME OF THE FUND: The Fund shall be called "National Employee's Provident Fund" New Delhi. CONTRIBUTIONS AND ACCOUNTS:
CONTRIBUTIONS

(1)

The contribution payable by the Company to the Fund shall be at the rate of 12% of the basic wages and the Dearness Allowance (including cash value of any food concession) payable to each employee and leave encased who is eligible for membership of the Fund.

(2)

The contribution payable by any employee shall be equal to or more than the contribution payable by the Company in respect of such employee subject to the limit laid down in the Income Tax Act.

(3)

The contribution shall be calculated on the basis of the basic wages and Dearness Allowance (including the cash value of any food concession) actually drawn during the whole month whether paid on daily, weekly, fortnightly or monthly basis.

(4)

Each contribution shall be calculated to the nearest 50 paisa or more to be counted as the next higher a rupee and less than 50 paisa shall be
ignored.

RECOVERY OF A MEMBER'S SHARE OF CONTRIBUTION: The amount of a member's contribution paid by the Company shall, be recoverable by means of deduction from the wages of the members and not otherwise: Provided that no such deduction may be made from any wage other than that which is paid in respect of the period or the part of the period in respect of which the contribution is payable. 30

MEMBERS ACCOUNT: 1. An account shall be opened in the office of the Fund in the name of each member in which following shall be credited: a. b. c. 2. His contributions Contributions made by the Company in respect of him; and Interest

All items of account shall be calculated to the nearest rupee 50 paisa or more to be counted as the next higher rupee and less than 50 paisa shall be ignored.

PAYMENT OF PROVIDENT FUND: (1) When the amount standing to the credit of a member, or the balance thereof after any deduction becomes payable, it shall be the duty of the Secretary to make prompt payment He shall close the account of the member and give notice in writing to the person to whom the amount is payable, specifying the amount and tendering payment thereof. (2) If any portion of the amount which has become payable is in dispute or doubt, the Secretary shall make prompt payment of that portion of the amount in regard to which there is no dispute or doubt, the balance being adjusted as soon as may be possible. (3) If the person to whom any amount is to be paid under these Rules is a minor or a lunatic for whose estate a guardian or a manager, as the case may be, has been appointed, the payment shall be made to such guardian or manager. In case no such guardian or manager has been appointed, the payment shall be made to such person as the Chairman, where the amount does not exceed Rs. 1,000 or the Board if the amount exceeds Rs. 1,000 but does not exceed Rs. 5,000 considers to be the proper person representing the minor or lunatic and the receipt of such person for the amount 31

paid shall be a sufficient discharge thereof. (4) Any person who desires to claim payment shall send a written application to the Chairman, who may at the option of the person to whom the payment is to be made, make the payment. i) By postal money order at the cost of the payee. ii) By crossed cheque and sent through post; or iii) By deposit in the payee's bank account, if any. EMPLOYEES FAMILY PENSION SCHEME, 1971: The employer is responsible to comply with the statutory provision of the Family Pension Scheme 1971 with RPFC. EMPLOYEES DEPOSIT LINKED INSURANCE SCHEME, 1976: The employer will comply with the conditions of Employees Deposit Linked Insurance Scheme 1976 with RPFC with effect from 1st August, 1976. Whenever any provision of the ESIC Rules are found silent the provisions of Employees Provident Fund & Miscellaneous Provisions Act, 1952 shall apply. WITHDRAWALS: Withdrawals permitted Ceiling limit for the withdrawal

i) illness/disability of member or his 3 months basic wages, dearness allowance dependent ii) higher education of member or his -dodependant iii) marriage of self ,children ,dependant 6 months basic wages & DA or the sisters &brother members total contribution with interest thereon ,whichever is less 32

iv) other ceremonies of self , children, 3 months basic wages& DA or the dependant parents, sisters & brothers members total contribution with interest thereon, whichever is less. v) marriage of relative REPAYMENT: In 25 equal monthly installments for i, ii, iv, v & 50 equal monthly installments for iii. 3 months basic wages & DA.

II. GRATUITY
ELIGIBILITY AND SCALES OF GRATUITY:
1)

Gratuity shall be payable to an employee on the termination of his employment after he has rendered continuous service for not less than 5 years. a) b) c) On his superannuating or On his resignation, retirement or termination of hisservice On his death or disablement due to accident or disease.

Provided that the completion of continuous service of five years shall not be necessary where the termination of the employment of any employee is due to death or disablement. Provided further that in the case of death of the employee, gratuity payable to him shall be paid to his nominee, or if no nomination has been made, to his heirs. Where the transfer of an employee to another public Sector Undertaking is effected with the consent of ESIC management, the employee shall be allowed the benefit of transfer of his gratuity to his new employer.
2)

a)

The amount of gratuity shall be equal to 15 days wages last drawn by the employee concerned for every completed 33

year of service or part thereof in excess of 6 months subject to maximum of 40 time 15 days wages or Rs.3.5 lakh whichever is less. b) Incase of death of an employee, amount of gratuity will be admissible on the scale calculated under (a) above or as worked. out below, which ever be more.
Period of Continuous Service Up to 1Year More than 1 Year up to 5 years More than 5 Years but up to 20 years More than 20 years Amount of gratuity 4 time 15 days wages 12 times 15 days wages 24 times 15 days wages Half month's wages for completed half year of service subject to max. of 66 times 15 day swages. Provided however the amount of gratuity shall in no case exceed Rs. 3.5 lakh.

The amount of gratuity equal to fifteen days wages shall be computed in the following manner: Monthly wages x 15 15 days wages = PAYMENT OF GRATUITY:
i)

An employee who is eligible for payment of gratuity or any person authorized in writing to act on his behalf shall apply to the Secretary within 30 days from the date the gratuity becomes payable to him.

Provided that where the date of superannuation or retirement of an employee is known, the employee may apply to the Secretary before thirty days of the date of superannuation or retirement. ii) A legal heir of an employee who is eligible for payment of 34

gratuity shall apply to the Secretary within one year from the date the gratuity becomes payable to him. MODE OF PAYMENT OF GRATUITY: The gratuity payable shall be paid in cash or if so desired by the payee, by Demand Draft or Cheque to the eligible employee, nominee or legal heir, as the case may be. Provided that in case the eligible employee, nominee or legal heir, as the case may be, so desires, and the amount of gratuity payable is less than Rs.1000, payment may be made by postal money order after deducting the postal money order commission thereof from the amount payable

APPLICATION FOR GRATUITY BY AN EMPLOYEE

To The Secretary, Board of Trustees, National Thermal Power Corporation, Employee Gratuity Fund, New Delhi-110003. Sir, I hereby apply for payment of gratuity to which I am entitled, on account of my superannuating/retirement/resignation after completion of not less than five years of continuous service/total disablement due to accident/total disablement due to disease with effect from....................Necessary particulars relating to my appointment in the Company are given in the statement below: 1. 2. Name in full Address in full 3. 4. 5. 6. Department/Branch/Section where last employed Post held with Employee No. Date of appointment Date and cause of termination of service 35

7. 8. 9. 2.

Total period of service Amount of wages last drawn Amount of Gratuity claimed

I was rendered totally disabled as a result of (here give the details of the nature of disease or accident).The evidence/witnesses in support of my total disablement are as follows: (Here give details)

3.

Payment may please by made in cash/open or crossed bank cheque/demand Draft.

4.

As the amount of gratuity payable is less than Rs. 1,000- (Rupees One thousand only) I shall request you to arrange for payment of the sum due to me by postal money order at the address mentioned above after deducting postal money order commission there from.

Yours faithfully Place. Dated. Signature/Thumb/ Impression Of the Applicant employee

36

III. GROUP PERSONAL ACCIDENT INSURANCE SCHEME:

OBJECTIVE: The objective of the Group Personal Accident Insurance Scheme (GPAIS) is a welfare measure formulated to insure employees against the consequences of personal accidents and provide appropriate relief to the affected employee or the nominee through an Insurance Cover. SCOPE:
1

The Scheme shall cover all regular employees and will also include/cover deputationists, Board appointees and Trainees of the Company under its own training Schemes, but shall not cover Apprentices under Apprentices Act, Muster Roll/Daily Rated/Casual/Badli substitute employee or employees appointed on contract basis.

With the implementation of this Scheme, the following two Schemes shall become in operative (i) Scheme of taking Air Insurance Policy for employees traveling by air (ii) Scheme of ex-gratia Payment in case of personal injury caused due to accident arising out of and in course of employment to employees who are not covered by the Workmen's Compensation Act, 1923. BENEFITS: The Insurance Policy will provide coverage by way of payment of compensation to the extent specified in this Scheme to the covered employees, whether he is on Company's duty or not, on any location in India or abroad; against a bodily injury resulting solely and directly from accidents caused by violent, external and visible means which shall solely, and independent of any cause, result in death or disablement. The benefits under the Policy in brief are as follows: 37

11Death:

In case of death of a covered employee of ESIC, will be paid compensation by the Insurers to the extent of 100% of the Capital Sum Insured, which will be 50 months' pay (i.e. Basic pay and Dearness Allowance) of the financial year during which the death takes place 2 Permanent Disablement: In case of permanent total disablement of a covered employee of ESIC, will be paid compensation to the extent of 100% of the capital sum assured. In case of permanent partial disablement specific % of the capital sum assured for different type of disablement.
3

Temporary Disablement: In case of a temporary disablement of a covered employee caused by an accident , the employee will be entitled to a sum @ of 1% of the Capital Sum Insured /week only when the employee is on leave (other than Special Disability Leave) subject to the condition that this weekly benefit will be restricted to minimum weekly payment of Rs.3000/- and a maximum weekly payment of Rs. 5000/- The compensation shall not be payable for more than 104 weeks in respect of any one injury and in no case, shall exceed the capital sum assured.

Expenses on Transportation of Dead Body: In the event of death of the Insured Person due to accident, takes place outside his/her residence, the insurer shall reimburse, in addition to the amount of compensation of the Capital sum insured, the expenses incurred for transportation of employee's dead body to the place of CAPITAL SUM ASSURED: residence subject to the maximum of 2% of Capital Sum Insured or Rs. 1,000/- whichever is less. 50 months of basic pay plus DA with regard to the pay as on 1 st April of the financial year during which death/disablement takes place.

38

 Death:

CLAIMS: The covered employee's legal personal representative/nominee will submit the claim in the prescribed form for this purpose along with the following documents: i) ii) iii) Claim in prescribed form Attested copy of Death Certificate Attested copy of Post Mortem Report

Permanent (total and partial) Disablement: The covered employee shall submit the claim in the prescribed form for this purpose along with the following documents: i) ii) iii) Claim form/Attending Doctor's Report Medical Fitness Certificate Leave Sanction Certificate by HR dept.

Temporary Total Disablement: The covered employee shall submit the claim in the prescribed form for this purpose along with the following documents: i) ii) iii) Claim Form/Attending Doctor's Report Leave Sanction Certificate by HR Department Fitness Certificate.

Percentage of Capital Sum Insured i)

Loss

of

toes

all 20 5 2 1

Great both phalanges Great one Phalanx Other than great, if more than one toes
ii) iii) iv) v) vi)

lost each. Loss of hearing both ears Loss of hearing one ear Loss of four fingers & Loss of four fingers Loss of thumb-both Phalanges one Phalanx 39

50 15 40thumb of one hand 35 25 10

vii)

Loss of Index Finger three phalanges two phalanges one phalanx Loss of middle Finger three phalanges two phalanges. one phalanx Loss of ring finger two phalanges one phalanx Loss of little finger three phalanges two phalanges one phalanx Loss of metacarpals first or second (additional third, fourth or fifth (additional) Any other, permanent partial disablement 10 8 4 6 4 2 three phalanges 5 4 2 4 3 2 3 2 Percentage as assessed by the Doctor.

viii)

ix)

x)

xi)

xii)

40

PERSONAL ACCIDENT INSURANCE CLAIM FORM (PARTICULARS OF ACCIDENT) Policy No. _______________ Branch/Unit______________ Claim No.______________________ 1To The issue of this form is not be taken as an admission of liability_______. TO BE COMPLETED BY THE INSURED

1.

(a) (b)

Name of Insured (in full)______________________________________ Address in full______________________________________________

(c) (d)

Profession occupation _________________________________ Age last birthday____________________

2. (ii) 3.

(i)

Policy No.

Sum Insured

Table of Cover

Period

(a) (b) (c) (d)

Date of Accident Time of Accident Where it happened Name and Add. Of witness

4. 5.

How did the accident occur? Nature of injury received (If to limb or eye state whether right or left.6. Nature of disablement (b) Extent of disablement (a)

Confined to House__________(From__________to___________________________) Partial disablement_____________ (From__________to_______________________) (c) Present State of incapacity

41

. Name and address of Surgeon in attendance 8. (a) (b) Where and when can be Medical Officer of the Company visit you if necessary ? Name of nearest railway station and distance there from. 9. (a) Are you insured in any other office or

Offices granting compensation for accident? (b) If so state name and address of company or Companies. And amount of insurance.' I hereby declare that the foregoing statements are made by myself and are true in all respect and that I have not attempted to conceal from the company anything with which it ought to be made acquainted and I agree that if I have made, or in any further declaration the company may require, shall make any false or fraudulent statement or any suppression, concealment or untrue advertisement whatever, the policy shall be void, and my right to compensation forfeited, and I am willing, if required, to make a statutory declaration before a Justice of the peace of the truth of the whole of the foregoing statement or any other statement I may take in connection with this claim.

Date............................. Received from........................................................................... The sum of Rupees......................................................................................................................... Being......................................................................................................................................................... ..................................................................................................................................................................

Rs.

Signature

42

IV. ESIC EMPLOYEE BENEVOLENT FUND SCHEME

OBJECTIVE : The ESIC Employees Benevolent Fund Scheme* is introduced with a view to provide financial assistance to the families of member employees who die a natural death while in the employment of the Company. SCOPE AND COVERAGE : The Scheme will cover all employees borne on the regular rolls the Company, who enroll themselves as members or the Scheme, but w i ll exclude deputationists, lien holders, trainees/apprentices, muster roll, casual, badli or substitute employees. MEMBERSHIP OF THE SCHEME : The Membership of the Scheme will be voluntary. An eligible employee who wishes to become a member shall apply in the prescribed Form , to be filled in duplicate, authorizing recovery of the contribution payable by him @ 0.6% of Basic Pay and DA subject to a minimum of Rs. 10per month and a maximum of Rs. 25/- per month EXTENT OF BENEFIT: 1 In case of natural death of an employee while in the employment of the Company, the nominated family members of the employee concerned will be paid on amount equivalent to 25 months Basic Pay + DA (reckoned as on 1st April of the relevant financial year) subject to a minimum of Rs. 40,000/- and a maximum of Rs. 1 lakh. 2 The benefit, as above, shall not be admissible in the case of death arising out of accident, for which the relief is covered under Company's Group Personal Accident Insurance Scheme. In such cases, the nominated family

43

members of the member employee will be entitled for refund of the amount contributed by him, without interest. NOMINATION FOR PAYMENT:
1

Every Member employee shall make a nomination in the prescribed format (Form-I) conferring on one or more persons of his family the right to receive the benefit under the Scheme in the event of his death, indicating the shares payable to each member. In case of an employee having no family, the nomination may be made in favour of any person or persons or body of persons, corporate or incorporate. Family, for this purpose shall mean the spouse, children, whether married or unmarried; dependent parents and the widow and children of deceased son, if any.

In case no nomination has been made by the deceased member employee under this Scheme, the benefit under the Scheme will be paid to the person(s) as nominated for Group Insurance Scheme. PROCEDURE FOR PAYMENT: On natural death of a member employee, intimation will be given by the concerned HR Department after obtaining the usual formalities. On receipt of the communication from the HR Deptt., a Society/Committy will will sanction be made the by a amount crossed after ascertaining draft to the the beneficiary/beneficiaries entitled to receive the benefit. The payment cheque/bank beneficiary/beneficiaries.

44

V. SCHEME FOR PAYMENT OF FUNERAL EXPENSES

OBJECTIVE: The Scheme has been formulated with a view to rendering assistance on an immediate basis towards' funeral expenses of the employees who die for any reason, while in employment of the Company. APPLICABILITY: The Scheme shall cover and be applicable to all full- time employees of the Company including deputationists, lien holders, apprentices/trainees recruited under Company's own training schemes; but shall not be applicable to muster-roll, daily rated, casual, badli or substitute employees and apprentices .
TP

ASSISTANCE: 1 In the event of death of an eligible employee while in service of the Company, the following two types of assistance shall be admissible: i) ii) An amount of Rs. 5000/- shall be paid towards the funeral expenses of the deceased employee. Free transport wherever available or alternatively reimbursement for cost of transportation will be provided for the funeral within the municipal/local limits of the place where the death of the employee occurs. 2 The aforesaid payment is not over and above, but in lieu of the amount of Rs. 5000/- admissible to a member of ESIC Employees Provident Fund from the capital reserve fund account". PROCEDURE 1. On receipt of the information regarding death of an employee, by the concerned HR Department, the Senior HR Officer/ HR Officer looking after the welfare function, shall obtain the sanction of the Head of the unit for grant of the payment as well as 45

transport wherever available or alternatively reimbursement of the cost of transportation (on production of documentary evidence as regards the expenditure) to the eligible person. 2. On receipt of the sanction, the concerned Finance Department would immediately arrange for the amount in cash and hand-over to the Senior HR Officer/ HR Officer (Welfare) for doing the needful. After making payment, the concerned Finance Department will take action for recoupment of the amount from ESIC provident Fund Trust, New Delhi, in case the deceased employee was member of ESIC Provident Fund.

VI. ESIC EMPLOYEES (HBA) GROUP INSURANCE SCHEME:

INTRODUCTION: For sometime pact, it has been observed that in the event of untimely demise of an employee while in service, the deceased employee's family faces financial hardships in repaying the outstanding House Building Advance of the employee, if taken; and in the process, the terminal benefits like PF, Gratuity etc. get depleted to a large extent. 2) To cover the liability of the employees towards outstanding HBA and interest thereon in case of death, the Company has taken a HBA Insurance Policy from LIC, which provides for insurance cover for the house building advance taken by the employees. Coverage: In terms of the insurance scheme, LIC shall provide insurance cover to individual HBA taken by the employees to the extent of Rs.7.0lakh (principal & interest).In the event of death of an employee while in service & before repayment of the entire amount of HBA & the interest thereon, LIC shall pay to the company the outstanding HBA & interest of the employee, limited to Rs7.0 lakhs.Any amount beyond the limit of 46

1)

Rs7.0lakh shall be adjusted as due from the concerned employee.

47

VII.

ESIC

EMPLOYEES'

FAMILY

ECONOMIC

REHABILITATION SCHEME
OBJECTIVE: To provide monetary benefit and support to an employee in case of his Permanent Total Disablement, and to his family in case of his death, provided the Permanent Total Disablement / death, as the case may be, takes place while the employee is in service of the Company. SCOPE & COVERAGE: The scheme will cover all regular employees (both executives and nonexecutives excluding trainees/apprentices). The scheme will also cover full time Functional Directors of the Company in regular scale of pay.
1

ELIGIBILITY: The benefits under the Scheme will be admissible in cases of death / Permanent Total Disablement excluding cases of death/ Permanent Total Disablement due to accident while on duty, provided the employee has completed one year of service at the time of death / Permanent Total Disablement.

The benefits may also be allowed in cases of death / Permanent Total Disablement due to accident while on duty at the discretion of Management if dependants of the deceased employee do not opt for employment in ESIC.

BENEFIT: On the separation of an employee from the service of the Company on account of death/Permanent Total Disablement, the beneficiary would be entitled to monthly payment equivalent to the employee's salary (Basic Pay plus DA + special pay) last drawn provided the beneficiary deposits with the Management, the PF balance. Gratuity & Group Insurance benefit.

48

2. Such monthly payment would be inclusive of contributory Pension payable under ESIC Ltd. Self Contributory Superannuation Benefit (Pension) Trust Fund and would continue till the normal notional date on which the employee concerned would have attained the age of superannuation, had the employee continued in the service of the Company. While amount equivalent to employee's salary (Basic + DA + special pay) last drawn less pension payable will be paid by the Company, Pension amount will be paid to the beneficiary directly by the Pension Trust. The amount would be payable w.e.f. the month following the month in which the amounts specified in the above Para is deposited with the company. TERMINATION OF BENEFIT:
i)

On the normal date of superannuation of the separated employee, the monthly payments under this Scheme would cease and the amount deposited with the Company under this Scheme would be refunded to the beneficiary. Under the Scheme, no interest on the deposits will be admissible for the period of deposit.

ii)

If the beneficiary desires to permanently withdraw the PF, Gratuity, and Group Insurance amounts deposited with the Company under the Scheme at any point of time, he/she will be allowed to do so.

49

VIII. ESIC LTD. SELF CONTRIBUTORY SUPERANNUATION BENEFIT (PENSION) SCHEME

(Managed by ESIC Ltd. Self Contributory Superannuation Benefit (Pension) Trust) OBJECTIVES:In order to take care of post retirement needs and contingencies of death or permanent disablement while in service of the Corporation a, Self Contributory Superannuation Benefit (Pension) Scheme has been introduced. ADMINISTRATION OF THE SCHEME:The Scheme will be administered by a Trust constituted for the purpose and named as ESIC Ltd. Self-Contributory Superannuation Benefit (Pension) Trust.

EFFECTIVE DATE:Scheme shall be deemed to have been introduced w.e.f. 1.4.95.

COVERAGE AND ELIGIBILITY:-

All existing employees in the pay scales applicable to the workmen, Supervisors and Executive categories who were on the roll of the Corporation as on 1.4.95 shall be deemed to be Members of the Scheme from that date.

CONTRIBUTIONS TO THE SCHEME : CONTRIBUTION TO THE TRUST BY THE CORPORATION:The Corporation shall contribute to the Trust an amount of Rs 100/- per annum for all the Employees taken together, and such Contribution shall be made over to the Trust before the end of the accounting year of the Corporation. 50

CONTRIBUTION TO THE TRUST BY THE MEMBERS:Every Member shall make following contributions to the Trust by way of deduction from his salary. FIXED PERCENTAGE SALARY CONTRIBUTION PAYABLE MONTHLY:-

A fixed Percentage of monthly Salary based on age of Member on the date of his entry to the Pension scheme determined as under:AGE 33 Yrs and below Above 33 < = 38 Yrs Above 38 < = 43 Yrs Above 43 < = 48 Yrs Above 48 < = 53 Yrs Above 53 Yrs PERCENTAGE OF SALARY 1.0% 1.5% 2.0% 3.0% 4.0% 5.0%

The above mentioned Percentage shall remain same till he actually leaves the service of the Corporation unless otherwise revised by the Board of Trustees. PENSION BENEFITS: 1) SUPERANNUATION OF MEMBER:Qualifying Service As on date of Superannuation a Member should have completed a minimum of 10(Ten) years of Continuous service but in case of Members who are on the rolls of ESIC as on 1.4.95 , the minimum qualifying service will be five (5) years (i.e. Past Service + Future Service). Rate of Pension:Member on Superannuation will be entitled to Superannuation benefit (Pension) commencing from the month following the month of Superannuation, Pension at the rate of 1.25% per year of Reckonable Service limited to 50% of salary last drawn. For Reckonable Service of less than 40 years the benefit shall be proportionately reduced. 51

2) DEATH OF A MEMBER WHILE IN SERVICE:On death of a Member the Beneficiary will be entitled to get Pension at the rate of 50% of last drawn Salary of the Member. The Pension being payable from the month following the date of the death of the Member.

3) TOTAL PERMANENT DISABLEMENT / INCAPACITY WHILE IN SERVICE:On the discharge of a Member from the service of the Corporation due to his Total Permanent Disablement / Incapacity while in service, such Member will be entitled to Pension at the rate of 50% of his last drawn Salary. The Pension being payable from the month following the date of discharge from service. COMMUTATION OF PENSION :-

The Member may at his sole discretion commute a part of the eligible Pension as per the provisions of Annuity purchased from the LIC by the Trust and as per applicable laws. PROCEDURE FOR PENSION:-

Consequent upon Superannuation / Death / Discharge from service due to Total Permanent Disability, cost of Annuity would be paid by the Trust to LIC and LIC will start paying monthly Pension to the Pensioner. If the Member does not pay his contribution for Past Service then Pension receivable by him either on Death or Superannuation or on leaving the service shall be reduced proportionately. Member will give declaration of their nominees and number of installments to pay the Past Service Contribution amount for his Past Service in the prescribed proforma (in triplicate) to be circulated by the Trust. All such declaration will be collected by the concerned Personnel Department of Project / Unit and will be sent to the Trust. the

52

Calculation of Pension: -Rate of Pension: -Monthly Pension Amount: 1.25% x Reckonable Service* rate of Pension x last Salary drawn.

*Reckonable service = Escalated Future Service + Past Continuous Service -Escalated Future Service = (1+(FS x 0.006)) x FS -Whereas, FS = Future Service to be rendered from 1.4.95 to the date of cessation of service. For example if the future service is of 33 years from 1.4.95 then Escalated Future service will be = (1+(33 x 0.006)) x 33 = 39.53 For example if a member has a Past service of 10 years and Future service of 6 years and last drawn salary as Rs. 20,000/- i.e. (Basic Pay+ DA+ Special pay) then his pension will be worked out asEscalated Future = = = = = 6.22 yrs. Escalated Future Service + Past Continuous Service 6.22+10 = 16.22 years 1.25% x 16.22 = 20.28% of last drawn salary 20.28% x Rs. 20,000/- = Rs. 4056/- per month for life. If commutation opted then monthly pension will be paid @ 2/3rd of Pension amount originally calculated i.e. 2/3 x 4056 = Rs. 2704/- per month for life + lump-sum commutation amount.

service Reckonable service

Rate of Pension Amount of Pension

53

RETIREMENT MEDICAL FACILITIES

COVERAGE: The Scheme is framed with a view to provide medical benefits to the executives of ESIC and their spouses subsequent to their retirement, on contributory basis.
1

ELIGIBILITY: The Scheme will apply to the following categories of ESIC executives: (i) Executives who separate from the Company on account of retirement on attaining the age of superannuation or are separated by the Company on Medical grounds, with a minimum qualifying period of 10 years of continuous service in Central/State Government/Public Sector Undertaking, out of which a minimum of 5 years shall be in ESIC. (ii) Board level appointees, on completion of first term.

2 3

To the spouse of deceased employee. Employees pre-maturely retiring on attaining 58 years after having put in minimum 20 years of service in ESIC. BENEFITS: The Medical benefits to the retired executives & their Spouses under the Scheme will be admissible for the treatment taken only in India. The retired executives residing at places where the Company has its own hospitals/full fledged dispensaries would be allowed medical treatment facilities, including medicines as available in such hospitals/dispensaries only.

54

CONTRIBUTION: For executives: Rs 7200/- one time.

For non-executives: i) ii) Where Co. hospitals are available: Rs 30/- pm or Rs 3600/- one time. Where Co. hospitals are not available: Rs 50/- pm or Rs6000/-one time. PROCEDURE: 1 An eligible executive who intends to avail of Medical benefits under the scheme shall apply for this purpose to the Head of the Project/Unit from where he has retired, indicating inter-alia, the ESIC Project/Unit where he wants to register himself for availing the facilities giving his residential address. In the event, the executive wants to change the place from where he wants to avail the benefits; he will have to approach the Project/Unit from where he is availing the facilities for the change. 2 The personnel Department of the Project/Unit, will after scrutiny of the application and verification of the eligibility conditions, issue an office order permitting the beneficiary/ beneficiaries to avail the benefits with copies to the Personnel Department and Finance Department of the concerned Unit/Project where the retired executive is to be registered. 3 The Project/Unit where the retired executive is to be registered shall duly register the retired executive concerned and issue a Medical Card to him, after receipt of the prescribed amount of contribution from the retired executive. The amount will be payable to the Project/Unit by cash or demand Draft in favor of ESIC drawn on any branch at that place. A copy of the Medical Card shall also be sent to the concerned Finance and Accounts Department. 4 The Medical Card will be valid for a period for which the prescribed contributions have been paid. The Medical Card shall be renewable on 55

1st April of each financial year on payment of the prescribed contribution. However, intermittent or broken period membership shall not be permitted. 5 The Medical Card will become invalid from the date any of the eligibility conditions ceases to be fulfilled by the beneficiaries and in that case, the contribution paid for the unexpired period if any will not be refundable. CLAIM: 1 For claiming reimbursement of medical expenditure incurred by the beneficiaries, the retired executive shall prefer claim not more than once in a month to the Accounts. 2 The claim will be processed and reimbursed to the retired executive by the concerned Accounts Department after verifying the validity of the Medical Card and the benefits admissible to the retired executive concerned under the scheme.

56

X.

ESIC EMPLOYEES DEATH RELIEF SCHEME

OBJECTIVE:

To provide financial assistance to the family of a member employee who dies while in harness. COVERAGE: All regular employees borne on the regular rolls of company, and Who are enrolled as member of the scheme excluding

i) ii)

Deputationists, lien holders, trainees, muster roll, casual, or substitute Employees. BENEFIT: In the event of death of an employee, an amount of Rs 25/- will be deducted from the next salary due, of all member employees of the company and the entire corpus remitted to the nominee of the deceased member employee.

57

REASERCH METHODOLOGY
The purpose of methodology is to describe the process involved in research work. This includes the overall research design, data collection, field study and analysis of data. Research Design: The methodology for the research study is descriptive and is as follows: Objectives: The objective is to study the people perception about Benefits of Employee (ESI Act). To study the various services provided by ESI Employee and their impact on organization, whether they are satisfied with the present service or not. Data collection tools : Primary sources of data : Primary sources are original sources from which the researcher directly collects data that have not been previously collected e. g.., collection of data directly by the researcher on brand awareness , brand preference, brand loyalty and other aspects of consumer behavior from a sample of consumers by interviewing them,. Primary data are first

58

hand information collected through various methods such as observation, interviewing, mailing etc. Secondary sources of data : These are sources containing data which have been collected and compiled for another purpose. The secondary sources consists of readily compendia and already complied statistical statements and reports whose data may be used by reaserchers for their studies e.g., census reports, annual reports , and financial statements. DATA ANALYSIS: 1. QUESTIONNAIRE 2. PIE CHART QUESTIONNAIRE: This is the most popular tool for the data collection. A questionnaire contains questions that the researcher wishes to ask his respondents which is always guided by the objective of the survey. PIE CHART: This is very useful diagram to represent data, which are divided into a number of categories. This diagram consist of a circle divided into a number of sectors, which are proportional to the value they represent. The total value is represented by the full circle. LIMITATIONS : Results of the study are dependent on the nature and number of respondents i.e. the study has captured only the perceptions of service receivers- patients; and the sample size of the study 100 patients- due to limited response rate and other operational constraints.
59

BENEFICIARIES: The present study allows the hospital administrators to benchmark their hospitals with other private hospitals by comparing the mean value of the dimensions of Service Quality.

60

DATA ANALYSIS

Source: Questionnaire 1. Are you coming for regular checkup? YES NO

49% 51%

YES NO

INTERPRETATION: The sample drawn shows that out of 100% of respondents, 49% come for the regular check ups in this hospital while 51% dont come for the regular check ups.

OBSERVATION: As majority of the respondents are not coming for regular check ups, it is suggested to hospital administrators to come up with awareness programs among the patients.

61

2.

What you think about the services provided by this hospital ? VERY GOOD GOOD SATISFACTORY POOR

OPINION ABOUT PROVIDED SERVICES

1% 48%

20% VERY GOOD GOOD SATISFACTORY 31% POOR

INTERPRETATION: The sample drawn on probability basis shows that out of 100% of respondents, 48% are satisfied with the services provided by the hospital. 31% found the services good while 20% found the services very good. Only 1% of respondents are not at all satisfied with the hospital services. OBSERVATION: As majority of the respondents are satisfied with the hospital services, the hospital should maintain the same standard and it is suggested to come up with suitable measures to reduce the negative opinion among the respondents. Few suggestions to further develop the services of the hospital: Utilize and apply medical information systems that encourage the use of evidence-based medicine, guidelines and protocols as well as electronic prescribing in inpatient and outpatient setting. This is possible through the implementation of the EHR (Electronic Health Record); this will in time, encourage healthcare data collection, transparency, quality management and efficacy and appropriateness of care. Develop good partnership with private healthcare sectors that design newer ways to deliver healthcare. An example of this includes outpatient radiology and diagnostic testing centres. 62

3. Are you concerned about the qualification of the doctors before getting diagnosed? YES NO

QUALIFICATION CONSIOUSNESS

6%

YES NO

94%

INTERPRETATION: The above pie chart shows that only 6% of respondents are concerned about the doctors qualification before getting diagnosed while 94% are not concerned about the same.

OBSERVATION: As majority of the respondents are not concerned about the doctors qualification, it is the sole responsibility of healthcare administrators to appoint qualified doctors as well as other medical and non medical staff. It is recommended to develop patients knowledge with the help of posters which should be in regional language.

63

4. How will you rate the hygiene and cleanliness practiced by this hospital ? VERY GOOD GOOD SATISFACTORY POOR

OPINION ABOUT HYGIENE

6% 35%

13% VERY GOOD GOOD SATISFACTORY POOR 46%

INTERPRETATION: From the above graph we can clearly observe that 46% of respondents are satisfied, 13% found good while 6% found the hygiene practices very good in the hospital. But 39% of respondents are not satisfied with the cleanliness and hygiene. OBSERVATION: As majority of the respondents are satisfied, the hospital should maintain the standard and it is suggested to further improve the hospital hygiene and cleanliness. Medical hygiene involves keeping germs and bacteria off of hospital and surgical equipments . It include proper cleaning of equipment and hands to make sure hospital items are not contaminated. Proper sanitation is also required in patients room, wash rooms and toilets. The responsible workers should always be advised by their seniors to maintain proper sanitation so as to avoid any type of contamination. Food hygiene is also necessary. This involves keeping food at proper temperature and ensures the products are fresh.

64

5. How will you rate the accommodation provided by this hospital ? VERY GOOD GOOD SATISFACTORY POOR

OPINION ABOUT ACCOMODATION

7%

16%

45%

32%

VERY GOOD

GOOD

SATISFACTORY

POOR

INERPRETATION: The above pie chart shows that out of 100% of respondents, 45% are satisfied with the accommodation provided by the hospital, 32% found this service good while 16% found this very good. Only 7% respondents are not satisfied by the accommodation service.

OBSERVATION: Majority of the respondents are satisfied with the accommodation provided by this hospital. So the hospital should maintain the same standard and it is suggested to come up with suitable measures to reduce the negative opinions among the service receivers.

6. What you think about the food quality provided by this hospital ? 65

VERY GOOD

GOOD

SATISFACTORY

POOR

OPINION ABOUT FOOD FACILITY

18%

20% VERY GOOD GOOD SATISFACTORY POOR

35%

27%

INTERPRETATION: From the above graph we can conclude that 35% of respondents are satisfied, 27% found good and 20% found the food facility very good. Only 18% of respondents found the food facility very poor.

OBSERVATION: Here majority of the respondents are satisfied with the food facility so the hospital should maintain the same standard. It is suggested to come up with suitable measures to reduce the negative opinion among the service receivers. This service can be further improved by taking care of the food hygiene and freshness. The meals should be provided in time by the staff. Hospital can also start canteen facility for both inpatients and outpatients.

7. Does this hospital has enough number of Nurses to serve the patients?

66

YES

NO

OPINION ABOUT NUMBER OF NURSES

44% YES NO 56%

INTERPRETATION: The sample drawn on probability basis shows that out of 100% respondents, 56% found that the hospital does not have enough number of nurses.

OBSERVATION: Majority of the respondents are not satisfied by the services provided by the nurses due to lack of nurses. So it is suggested to the hospital administrators to fill all the vacancies of nurses to avoid the inconvenience faced by the patients.

67

8. Does this hospital has enough number of Doctors to treat the patients? YES NO

OPINION ABOUT NUMBER OF DOCTORS

43% YES NO 57%

INTERPPETATION: The sample drawn on probability basis shows that 57% of the respondents found that the hospital is having enough number of doctors. While 43% of the respondents found lack of doctors.

OBSERVATION: As majority of the service receivers found that the hospital is having enough number of doctors, the hospital should maintain the same standard. Proper training and guidance to doctors will improve their skills. Filling all the vacancies of doctors will reduce the waiting time of patients.

9. Do you get all the prescribed medicines from the hospital dispensary ? 68

YES

NO

OPINION ABOUT MEDICINES PROVIDED

20%

YES NO

80%

INTERPRETATION: From the above pie chart we can observe that the 80% of respondents have positive opinion about the medicines provided by the hospital dispensary.

OBSERVATION: As majority of the respondents are satisfied with the availability of medicines from the hospital dispensary, the hospital should maintain the same standard. It is suggested that if any medicine is out of stock in hospital, then it is the responsibility of the hospital to provide that medicine from the private chemist shop to the patient.

10. The severe cases are attended in this hospital or sent to other TIE-UP hospitals? SAME HOSPITAL OTHER 69

OPINION

34% SAME HOSPITAL OTHER 66%

INTERPRETATION: Here the pie chart shows that 66% of respondents agreed that most of the time the severe cases are transferred to other tie-up hospitals.

OBSERVATION: More percentage of cases are transferred to other Tie-up hospitals. This will some time lead to waste of time and effort. So it is suggested to use latest technology treatment in the same hospital.

11. Are you getting the conveyance charge when shifting to other hospital in severe cases? YES NO

70

OPINION

2%

YES NO

98%

INTERPRETATION: The sample drawn on the probability basis shows that out of 100% of respondents 98% agree that they are getting conveyance charge while 2% disagree.

OBSERVATION: Majority of the respondents are satisfied with this service. So the hospital should maintain the same standard and it is suggested to come up with suitable measures to reduce the negative opinions among the service receivers.

12. What is the waiting time in the queue of reception? Less than hour More than hour

71

OPINION ABOUT WAITING TIME

28%

72%

LESS THAN 1/2 HOUR

MORE THAN 1/2 HOUR

INTEPRETATION: The sample drawn on the probability basis shows that 72% of the respondents believe that they take less than hour in the reception queue.

OBSERVATION: Here 28% of respondents are saying that they have to wait more that hour in the reception queue. The waiting time in the reception queue can be reduced by introducing computers in the reception in place of manual paper work.

13.

Is the nurse caring ? NO

YES

72

OPINION

17%

YES NO

83%

INTERPRETATION: The sample drawn on probability basis shows that out of 100% respondents 83% of respondents found the nurses to be very caring.

OBSERVATION: As majority of patients are satisfied with the services provided by the nurses, it is recommended to maintain the same standard. It is suggested that by proper training and guidance this facility can be further improved.

14. Does the doctors spend enough time with you ? YES NO

73

OPINION

38%

62%

YES

NO

INTERPRETATION: From the above pie chart we can observe that 62% of the respondents are agreeing that the doctors are spending enough time with them.

OBSERVATION: As 38% of the respondents does not agree with this fact, it is recommended to improve the doctor-patient ratio. Filling all the vacancies of doctors will increase the time spend with patients.

FINDINGS
74

By calculating the number of responses, we found that most of the service receivers are satisfied with the services provided by this hospital. We also come to know while visiting the wards that there was a problem of hygiene and cleanliness in patients room. While talking with the medical officers we come to know that there was a big problem of lack of doctors and nurses in this hospital. This lead to increase in waiting time for the patients. Majority of the respondents are absolutely satisfied with the medicines provided by this hospital. It has been found that due to lack of latest technology many severe cases are sent to other TIE UP hospitals. Most of the respondents are satisfied with the conveyance charge provided to them by the hospital when shifting to other hospitals. Some percentages of respondents were there who are facing the problem of long waiting time in reception queue. This is due to the lack of computer system in reception. We also found that the patients are least bothered about the qualification of doctors and nurses before getting diagnosed although most of them are satisfied with the treatment provided to them. We also come to know that most of the respondents are satisfied with the food and accommodation provided by this hospital.

75

RECOMMENDATION
Develop and implement national standards for examination by which doctors, nurses and pharmacists are able to practice and get employed. The government should appoint a commission which makes recommendations for the healthcare system and monitors its performance. Encourage business professionals to develop executive training programmes in healthcare sector. Implementation of Electronic Health Record; this will encourage healthcare data collection, transparency, quality management, patient safety, efficiency, efficacy and appropriateness of care. Computer help should be utilized for clinical decision making for selecting suitable tests, proper interpretation, and accuracy in diagnosis and update management. Develop multi-specialty group that have their incentives aligned with those of hospitals and payers. A tele-healthcare system can be implemented in the hospital. Perverse incentives between specialists, hospitals, imaging and diagnostic centers on one hand and referring physicians on the other need be removed and a level of clarity needs to be introduced Develop partnership with the private sectors that design newer ways to deliver healthcare. Special treatment techniques like ayurveda and yoga for the patients can be introduced.

76

Management of healthcare institutions and healthcare professionals should gear up to meet the expectation and challenges of good patient care.

CONCLUSION

By adopting innovative methods and also by proper planning, quality of healthcare services can be improved to a great extend. By doing so patients satisfaction can be improved and also doctors will save their precious time which can be utilized for higher professional growth. Finally global quality healthcare delivery at doorstep in low cost would safeguard national health leading to economic growth.

The implementation requires time, effort and money in order for the health care organization to learn who their customers are and what they want. The result, which sometimes recognized after 2-3 years.

Introduction of Electron Health Record plays an important role in providing high quality services. This system will increase the quality of services by reducing the manual errors. Hence, the computerized system is positively advantageous over the present manual system.

77

BIBLIOGRAPHY

BOOKS
Exicutive Employees hand books Office Files of HR policis

Websites
www.esic.nic.in www.google.com www.scrid.co.in www.managementparadice.com

Magzines
Business Word Annual reports of ESIC

78