- 1. The wage ceiling prescribed by ESIC for coverage of an employee is Rs. 21,000 per month w.e.f 01.01. 2017. So, the employee whose wage limit is more than 21000 Rupees per month is not covered by the ESI Scheme. But if the wage of an employee exceeds Rs.21000 after the beginning of contribution period, shall continue to be a member of ESIC until the end of the contribution period, that is April - September or October - March.
- 2.To encourage the employers to employ more employees with a disability there is no wage ceiling for an employee with disability availing the ESI benefits w.e.f. 01.04.2016. The employer is exempted from payment of Employer's share of contribution on the wages paid to the employees with disability and the Ministry of Social Justice & Empowerment, Government of India shall reimburse this Employer's contribution to the ESI Corporation.
- 3. Gross salary or wage means and includes all remuneration paid or payable to an employee but does not include any traveling allowances, allowance to defray special expenses, any gratuity payable on discharge or overtime allowance.