Big Relief to unemployed workers under Atal Bimit Vyakti Kalyan Yojna

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Many companies are shutting down under this COVID-19 epidemic and lockdown scenario. Due to the slow down in the economy, and keeping in mind the problem of unemployment, the Central Government has decided to extend the eligibility criteria and enhance payment of unemployment benefits for those who have applied for ESIC Registration and also get benefits under the scheme of Atal Bimit Vyakti Kalyan Yojna.  Let’s understand in detail:

A Prominent Relief to workers who are under ESIC Registration ambit

The Employees’ State Insurance Corporation (ESIC) has relaxed criteria to pay 50 per cent of average wages of three months as unemployment benefit to people who have lost their jobs or shall be lost due to the pandemic between March 24, 2020, and December 31 this year. Earlier this relaxation is only up to 25% of average wages payable of 90 days of unemployment.

Before determining the new eligibility criteria, you need to understand the earlier criteria for ESIC Registration.

  • The Atal Insured Persons Welfare Scheme was launched on July 1, 2018.
  • Under this scheme, the insured persons are provided with a cash benefit in case of unemployment.
  • It also provided relief to the extent of 25% of the average per day earning workers.
  • This scheme implemented by the Employees’ State Insurance Corporation.
  • The scheme was initially launched for two years.

Now, the Central Government has issued the new rules for extending the eligibility criteria and enhancement payment of unemployment benefits for those who have applied for ESIC Registration and also get benefits under the scheme of Atal Bimit Vyakti Kalyan Yojna. 

New rules apply for ESIC employees

According to the order declared by the Union Ministry of Labor, 

  • Workers who have a Workers Employee State Insurance Corporation (ESIC) card, will be entitled to this unemployment allowance. 
  • The current relaxation has been extended from 25% to 50 % from the period March 2020 to December 2020.
  • Also, ESIC has decided to extend the scheme up to 30th June 2021.

Now, we discuss the eligibility criteria of Atal Bimit Vyakti Kalyan Yojna. 

The Eligibility condition of Atal Bimit Vyakti Kalyan Yojna scheme

  • The insured person should have been rendered during the period of relief.
  • The person should also have insurable employment for two years.
  • They have also contributed not less than 78 days during each of the proceeding four contribution periods.
  • Also, the insured person can submit the claim directly to the ESIC branch office instead of the claim requiring the need to be forwarded by a previous employer. 
  • The money will be transferred directly to the bank account of the worker.

New Rules and Regulation For Gratuity by Central Government

In case, if you need any further guidance as regards the ESIC registration, please feel free to contact our business advisors at 8881-069-069.

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