Section Text
The Central Government may, by
notification, constitute with effect from such date as may be specified therein, the Employees' State
Insurance Corporation to be called the Corporation, for the purposes of Chapter IV and the provisions of
this Code relating to that Chapter and the administration thereof, in such manner as may be prescribed by
the Central Government, consisting of the following members, namely:—
(a) a Chairperson to be appointed by the Central Government;
(b) a Vice-Chairperson to be appointed by the Central Government;
(c) not more than five persons to be appointed by the Central Government from amongst its officials;
(d) one person representing each of such States in such manner, as may be prescribed by the Central
Government;
(e) one person to be appointed by the Central Government to represent the Union territories;
(f) ten persons representing employers to be appointed by the Central Government in consultation
with such organisations of employers as may be recognised for the purpose by the Central Government;
(g) ten persons representing employees to be appointed by the Central Government in consultation
with such organisations of employees as may be recognised for the purpose by the Central Government;
(h) two persons representing the medical profession to be appointed by the Central Government in
consultation with such organisations of medical practitioners as may be recognised for the purpose by
the Central Government;
(i) three members of Parliament of whom two shall be members of the House of the People (Lok
Sabha) and one shall be a member of the Council of States (Rajya Sabha) elected respectively by the
members of the House of the People and the members of the Council of States; and
(j) the Director General of the Corporation, ex officio.
(2) The Corporation shall be a body corporate by the name of Employees' State Insurance Corporation,
having perpetual succession and a common seal and shall by the said name sue and be sued.
(3) The Central Government may, by notification, constitute, with effect from such date as may be
specified therein, a Standing Committee from amongst the members of the Corporation, in such manner
as may be prescribed by the Central Government.
(4) Subject to the general superintendence and control of the Corporation, the Standing Committee—
(a) shall administer the affairs of the Corporation and may exercise any of the powers and perform
any of the functions of the Corporation in such manner as may be prescribed by the Central Government;
(b) shall submit for the consideration and decision of the Corporation all such cases and matters as
may be specified in the regulations made in this behalf; and
(c) may, in its discretion, submit any other case or matter for the decision of the Corporation.
(5) (a) The Central Government may, by notification, constitute, with effect from such date as may be
specified therein, a Medical Benefit Committee of such composition as may be specified therein, to assist
the Corporation and the Standing Committee in performance of its functions relating to administration of
medical benefits.
(b) the Medical Benefit Committee shall perform such duties and exercise such powers as may be
prescribed by the Central Government.
(6) The Corporation may, by order, constitute one or more committees of such composition as may be
specified in the regulations to assist it in the discharge of its functions.
(7) The terms and conditions, including tenure of office, subject to which a member of the Corporation
and Standing Committee shall discharge their respective duties may be such as may be prescribed by the
Central Government:
Provided that a member of the Corporation shall, notwithstanding the expiry of the tenure of his office,
continue to hold office until his successor is appointed.