Page 740 - ES 2020-21_Volume-1-2 [28-01-21]

Social Infrastructure, Employment and Human Development 367

xii. An all India license to contractor for five years has been provided in the Code as against
work order based licensing at present.
xiii. Enabling provision for constituting a bi-partite Safety Committee in any class of
establishment by appropriate Government to promote safe and healthy working conditions
in an establishment. Earlier, it was limited to establishments engaged in hazardous
occupations.
xiv. The multiple committees under five labour Acts have been substituted by one National
Occupational Safety and Health Advisory Board which is of tripartite nature and has
representation from trade unions, employer associations, and State governments.

The Code on Social Security, 2020: The Code on Social Security subsumes existing nine
Social Security Acts viz; the Employees’ Provident Fund & Miscellaneous Provisions Act, the
Employees’ State Insurance Act, the Employees’ Compensation Act, the Employment Exchanges
(Compulsory Notification of Vacancies) Act, the Maternity Benefit Act, the Payment of Gratuity
Act, the Cine Workers Welfare Fund Act, the Building and Other Construction Workers Welfare
Cess Act, and the Unorganized Workers’ Social Security Act. The salient features of the code
include:

i. The coverage of Employees State Insurance Corporation (ESIC) has been extended pan-
India to all establishments employing 10 or more employees as against notified districts/
areas. However, contribution from employers and employees will be collected from the
notified date when the facilities are made available on the ground by ESIC. The benefits
available under ESIC include medical, sickness, maternity, pension for dependents’ and
for disablement, etc.
ii. The Code envisages extension of benefits to the employees working in establishments with
less than 10 employees on voluntary basis and on mandatory basis through notification
by the Central Government for employees working in hazardous industries. Further, ESIC
coverage can also be extended to plantations on option exercised by the employer.
iii. An enabling provision has been made to include self-employed and any other class of
persons into the fold of social security coverage under EPFO and ESIC through formulation
of schemes.
iv. Under the EPF&MP Act, at present, no limitation period exists in commencing inquiry to
assess the cases of non-payment of provident fund dues. A limitation period of 5 years for
initiating of any proceeding has been introduced. Further, a transparent and predictable
system of assessment of cases by EPFO officers has been introduced.
v. A time limit of 2 years has been prescribed for completion of an inquiry by ESIC and
EPFO, which may be extended for a further period of one year only. It will increase
compliance and bring discipline in disposal of cases.

vi. Self-certification/assessment by the employer has been introduced for assessment of cess
payable in respect of Building and Other Construction Work.
vii. An enabling provision has been made to notify differential rates of employees’ contribution
under EPF for class of employees, for a certain period to increase higher take home salary.
However, the employers’ contribution will remain unchanged.