ESI Act | Mother Employed But Father Owns Institution; Is Daughter Entitled To 'Ward Of Insured Certificate'? What Kerala High Court Held

The Kerala High Court recently came across an "unusual" scenario where the daughter of an employee, insured under the Employee State Insurance Act was denied the "Ward of Insured Person Certificate" since her father owned the institution where her mother is employed.

The question before the Court was that since the ESI scheme is intended for the benefit of low paid employees, whether the daughter in this case will be entitled to such benefit when her father owns the institution.

Court said whether the daughter enjoys a higher financial strata in the society is a "pure question of fact" which was not considered by the Deputy Director of ESIC. It thus directed the official to reconsider the matter.

"Unfortunately, Ext.P4 is a very cursory order, citing no reasons for the decision of the Deputy Director...he has proceeded in an automaton fashion, apparently under the impression that the petitioner's daughter can only be seen as the ward of the employer, recognizing her status through the paternal line," Court noted.