ESIC stands for Employees State Insurance Corporation which is established by ESI Act. It is an independent Corporation under the Ministry of Labour and Employment, Government of India.
Primarily, if any entity or a company employs 10 or more small or low earning employees then the ESI registration is compulsory. Moreover, according to the act, if any employee is having a salary of less than 15,000 per month needs to give 1.75% of her or his salary towards the ESI and in return, the company will contribute 4.75%towards her or his ESI which indeed proves beneficial for the employee.
