Atal Beemit Vyakti Kalyan Yojana

Atal Beemit Vyakti Kalyan Yojana is a new scheme introduced by ESI Corporation which came into effect from 16

th December 2018. This scheme is mainly introduced to provide social safety net to the persons who are insured and are jobless due to reasons such as factory closure, permanent disability due to injury, etc.

Provision under the Act

Section 19 of the

ESI Act provides measures to improve the health and welfare of the Insured Persons (IPs). This is by rehabilitating and re-employing the Insured Persons who may have been disabled or injured and not in the job, i.e. unemployed.

Eligibility Conditions to Avail Benefits

• The Insured person should be unemployed during the period of the claim.
• The person should be in the Insurable period for the last two years before the employment loss.
• Gainful employment will not be considered for the IP/IW.
• The Insured Person should have contributed not less than 78 days during each of the preceding four periods.
• Unemployment should not be due to punishment/misconduct/superannuation/voluntary retirement.
• Aadhar and Bank account of an Insured Person should have been linked.

Other Conditions

• If the Insured Person has worked for more than one employer and is covered under the ESI scheme, will be considered as unemployed only when the IP is rendered unemployed with all employees.
• The Insured Person is eligible to avail medical benefits for the period of availing this relief.
• The Insured Person will not be able to claim under the following circumstances:
  • If the company is locked out
  • Strike by employees and declared illegal by competent authorities
  • Voluntarily abandoning the job/Voluntary retirement
  • If the total contribution of service is less than 2 years
  • Attaining superannuation
  • Convicted under Section 84 of the ESI Act
  • If re-employed during the period of receiving relief under ABVKY
  • Dismissal or termination of service by the employer
  • On the death of Insured Person

Benefits & Calculation of Relief Amount

Relief to the extent of 25% of the average per day earning (total earning during the four contribution period/730) during the previous four contribution periods to be paid up to a maximum of 90 days of unemployment once in a lifetime of IP on submission of claim in the form of an affidavit. The below illustration will explain the calculation of relief considering the date of unemployment starts from 1

st April 2019:

Amount of relief/benefit available for 90 days: (2,40,000/730) X (25/100) X 90 = Rs.7397

Duration of Allowance

The relief under ABVKY can be claimed for a maximum of 90 days once in a lifetime after having a minimum of 2 years of employment and satisfying eligible conditions mentioned in previous sections of this article. The relief will be paid after 90 days of clear unemployment.

Submission of Claim Form

1. The claim for the relief under ABVKY can be submitted through the affidavit in Form AB-1. This has to be submitted within a year of unemployment to the respective Branch office. This relief can be availed only once in the lifetime.
2. The IP has to approach designated ESIC office, and on submitting the claim form, a separate link will be generated in the ESIC portal. The IP has to fill the following details in the link:
   • Insurance Number
   • Aadhar details
   • Bank account details

The system will check the eligibility and initiate for further processes. The Claim form is attached here for ready reference.

1. After eligible for the claim, the IP has to submit hard copies of documents to the ESIC office and will be processed for release of funds.

Mode of Payment

The relief amount will be transferred to the Bank account of the Insured Person via online. The notification of Atal Beemit Vyakti Kalyan Yojana is provided below for quick reference.