Under the Employees' State Insurance (ESI) Act 1948, what is the wage ceiling for mandatory ESI coverage (as revised in 2017)?

• A Rs. 10,000 per month
• B Rs. 15,000 per month
• C Rs. 25,000 per month
• D Rs. 21,000 per month ✓

Explanation

The wage ceiling for ESI coverage was revised from Rs. 15,000 to Rs. 21,000 per month in 2017 by the Ministry of Labour and Employment. Employees earning up to Rs. 21,000/month in establishments covered under the ESI Act are compulsorily covered. The employee contribution is 0.75% and employer contribution is 3.25% of wages (revised rates effective 2020).

Reference: Park's Textbook of Preventive and Social Medicine, 27th ed.

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