Employees State Insurance Corporation is a Corporate body set up by the Central Government under ESI Act 1948 to administer the ESI Scheme. ESI Act, 1948 envisaged an integrated need based social insurance scheme that protect the interest of workers in contingencies such as sickness, maternity, temporary or permanent disablement resulting in loss of wages or earning capacity , death due to employment injury. The Act also guarantees reasonably good medical care to workers and their immediate dependants. The Act absolved the employers of their obligations under the Maternity Benefit Act, 1961 and Workmen’s Compensation Act 1923. The benefit provided to the employees under the Act are also in conformity with ILO conventions.The Scheme, was first implemented at Kanpur and Delhi on 24th February 1952.

The ESI Scheme is implemented area-wise by stages. The Scheme has already been implemented in different areas in all the States/Union Territories except Nagaland Manipur, Tripura, Sikkim, Arunachal Pradesh and Mizoram. The Scheme was first implemented in Kerala Region in 1956 and it now extends to all districts except Wayanad.

The overall administrative control in running the scheme in the States as a whole rest with the Regional Office and with a view to ensure effective administration by way of easy accessibility and early settlement of claims Corporation has set up Sub Regional Offices. Corporation has its Regional Office for Kerala at Thrissur and Sub Regional Offices at Kollam and Ernakulam. Kerala Region has also 51 Branch Offices for disbursing cash benefits envisaged under ESI Act.

Medical Scheme under ESI Act is administered by the respective State Governments through ESI Hospitals and Dispensaries. In Kerala Corporation has taken over the ESI Hospitals at Asramam, Parippally and Ezhukone in Kollam District and Udyogamandal in Ernakulam District under its administrative control.