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RANJAN (NA)     03 November 2016

Esi coverage

Sir, 

My friend is associated with a Co-operative Society. There are 67 member-shareholders in the Society. All are working for mutual benefit. There are no  employees in their Society. Now, the ESI authorities are pressurising the Society to get them enrolled under ESI. My question is whether a Co-operative Society having no employee can come under the purview of ESI Act and Regulation. 

Ranjan

 



Learning

 1 Replies

Sankaranarayanan (Advocate)     03 November 2016

A co-operative society is a separate legal entity distinct from its members and if members work for wages for the society then they are, of course, its employees within the meaning of section 2(9) of the E.S.I. Act.

Kunnathund Chalakudy Sankethika Co-operative Society Ltd. vs. Employees' Slate Insllranc~ Corporation 1989(2) LLJ 27 (Ked'1C)

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