Atal Beemit Vyakti Kalyan Yojana (ABVKY) Supports Unemployed ESIC MembersScheme StatusScheme Status

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The Atal Beemit Vyakti Kalyan Yojana (ABVKY) was introduced by the Employees’ State Insurance Corporation (ESIC) on a pilot basis for a period of 2 years, effective from 01.07.2018. This scheme is designed to provide relief in the form of cash compensation to insured persons (IPs) who become unemployed. Under the scheme, relief is provided at 50% of the average per day earnings for up to 90 days of unemployment (once in a lifetime). To qualify, the employee must have completed a minimum of two years of insurable employment and contributed for not less than 78 days in each of the three consecutive contribution periods immediately preceding the claim. Additionally, the IP remains eligible for medical benefits as provided under the Act while availing of this relief.

Benefits

  • Cash Compensation:
    • Relief is granted at 50% of the average per day earnings.
    • The maximum duration for relief is up to 90 days of unemployment.
  • Medical Benefits:
    • The insured person continues to receive medical benefits as per the ESIC Act while the relief is being received.

Eligibility

To be eligible for ABVKY, the following criteria must be met:

  • Unemployment:
    • The insured person (IP) should be rendered unemployed during the period when the relief is claimed.
  • Employment Duration:
    • The IP should have been in insurable employment for a minimum period of two years immediately preceding unemployment.
  • Contribution Days:
    • The IP must have contributed for not less than 78 days in each of the three consecutive contribution periods immediately preceding the claim.
  • Employer Contributions:
    • Contributions in respect of the insured person should have been paid or be payable by the employer.
  • Cause of Unemployment:
    • The unemployment should not be due to misconduct, superannuation, or voluntary retirement.
  • Aadhaar and Bank Account:
    • The insured person’s Aadhaar and bank account must be linked to the ESIC database.
  • Multiple Employers:
    • If the IP is working for more than one employer, unemployment is considered only when the IP is rendered unemployed with all employers.
  • No Double Benefits:
    • As per Section 65 of the ESI Act, an IP cannot receive any other similar cash compensation simultaneously under any other enactment.
  • Registration:
    • All insured persons covered under the ESI Act are automatically entitled to this scheme; no separate registration is required.

Disqualification / Termination of Relief

Relief under ABVKY may be disqualified or terminated in the following cases:

  • During lockout or when a strike (declared illegal by the competent authority) is in progress.
  • In cases of voluntary abandonment of employment, voluntary or premature retirement.
  • If the IP has less than two years of contributory service.
  • On attaining the age of superannuation.
  • If the IP is convicted (e.g., for providing false statements) under Section 84 of the ESI Act.
  • If the IP is re-employed during the period of receiving relief.
  • In cases of dismissal or termination due to disciplinary action.
  • Upon the death of the insured person.

Application Process

Online Application Steps:

  1. Visit the ESIC Website:
  2. Sign Up:
    • Navigate to Services → Employees → IP Portal → Select Insured Person → Sign Up.
    • New users must sign up by providing their Insurance Number, Date of Birth, and Mobile Number to receive a User Name and Password.
  3. Login:
    • Log in using the credentials issued.
  4. Select the Scheme:
    • Once logged in, select the Atal Beemit Vyakti Kalyan Yojana (ABVKY) from the list of available schemes.
  5. Fill in the Form:
    • Complete the online form with all mandatory details, including bank details.
  6. Download and Upload Documents:
    • Download the AB-1 Form, fill it in completely, and upload the scanned copies of the completed AB-1 Form and Aadhaar Card.
  7. Submit the Application:
    • After uploading all required documents, submit the application form.
  8. Print and Forward:
    • Print out the submitted claim form and the automatically generated letter to the employer.
    • Submit the duly signed claim in an affidavit along with the employer’s forwarding to the designated ESIC Branch Office.
  9. Verification and Payment:
    • The ESIC Branch Office will verify the details provided and, upon determining eligibility, will electronically transfer the relief to the IP’s bank account. In the event of the IP’s death, the relief is payable to the nominee/legal heir via account payee cheque.

Documents Required

  • Aadhaar Card
  • Bank Passbook/Cancelled Cheque Leaf: Must show account number, IFSC code, and branch name.
  • Insurance Details
  • Address Proof
  • Employer Details
  • An Affidavit
  • Salary Slips: For the last two months.
  • Attendance Sheet: Of the applicant.
  • Any Other Relevant Documents: As required.

Frequently Asked Questions

Q1: What is the “ABVKY” Scheme?
A: ABVKY is a relief scheme that provides cash compensation to insured persons under ESIC who become unemployed, offering 50% of the average per day earnings for up to 90 days.

Q2: Which is the implementing agency of this scheme?
A: The scheme is implemented by the Employees’ State Insurance Corporation (ESIC).

Q3: What are the eligibility criteria to apply under the scheme?
A: The insured person must have completed at least two years of insurable employment and contributed for at least 78 days in each of the three consecutive contribution periods immediately preceding the claim. Additionally, the unemployment should not be due to misconduct, superannuation, or voluntary retirement.

Q4: What are the conditions for the disqualification/termination of relief under ABVKY?
A: Relief is disqualified if the IP is unemployed due to voluntary retirement, disciplinary action, during a lockout or illegal strike, if re-employed during the claim period, if less than two years of contributory service exist, upon reaching superannuation, or if the IP is convicted under relevant provisions of the ESI Act.

Q5: What are the benefits of this scheme?
A: The scheme provides relief at 50% of the average per day earnings for up to 90 days, along with continued medical benefits as per the ESIC Act during the relief period.

Q6: What is the minimum employment period required to be eligible for unemployment insurance?
A: The insured person should have completed at least two years of insurable employment immediately before the unemployment.

Q7: How many days of contribution are required in the contribution period preceding unemployment?
A: The insured person must have contributed for not less than 78 days in the contribution period immediately preceding the unemployment, as well as in one of the remaining two years preceding the unemployment.

Q8: When does an unemployment insurance claim become due?
A: The claim becomes due 30 days after the date of unemployment.

Q9: Can an individual covered under the ESI scheme be considered unemployed if working for more than one employer?
A: Yes, but the individual is considered unemployed only if rendered unemployed by all employers.

Q10: Do all insured persons need to register separately to avail of the scheme benefits?
A: No, all insured persons covered under the ESI Act are automatically entitled to the scheme without separate registration.

Q11: How to apply under the scheme?
A: The application is made online through the ESIC website by following the detailed steps mentioned above.

Sources And References

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