The state government had on Oct 8, 2007, issued a notification bringing CBSE and ICSE schools teachers under the ESI coverage.
Challenging the government order, a batch of petitioners, representing school managements, approached Insurance court which upheld the government order.
The school managements then filed appeal in the high court stating that the notification of the state government, extending the provisions of ESI to CBSE/ICSE schools, controlled by the central government, was illegal.
The state government has no power to extend the provisions to other schools, it was submitted.
There was no need for court to interfere in the order. The teachers employed in CBSE/ICSE schools are also employees within the meaning of sect 2(9) of the ESI act and they are entitled to the benefits.
The court observed that social welfare legislations like ESI act and its provisions were meant for ensuring better standard of life, health and welfare of employees.
The ESI submitted that the liability to pay contributions on minority managements and its teachers has no direct impact on fundamental rights.
