calender_icon.png 14 May, 2026 | 12:56 AM

High rents, low facilities mar ESI dispensaries

14-05-2026 12:00:00 AM

metro india news  I hyderabad

The Telangana government is reportedly planning to generate revenue by allotting vacant government buildings within the GHMC limits to ESI dispensaries on a rental basis, sparking criticism from employee unions and workers’ groups. Allegations are emerging that authorities are attempting to collect heavy rents from ESI dispensaries even though many of the identified buildings lack basic infrastructure and facilities.

Officials have reportedly instructed several jointly functioning ESI dispensaries to separate and shift into individual government buildings. Sources said authorities have already issued directions to identify suitable premises and complete the relocation process within two months.

However, questions are being raised over the differing treatment being given to certain dispensaries. Sanathnagar ESI Dispensaries 1 and 2 have been allotted a government Model Market building located at Vasanthanagar Colony in KPHB Phase free of cost. The Cyberabad Municipal Corporation has reportedly issued orders allocating the building without rent for the next three years.

The decision has triggered criticism from ESI employee associations, which are questioning why similar concessions are not being extended to other dispensaries. They argue that ESI services are sustained through contributions deducted every month from the salaries of workers, labourers, small employees and traders, and that the government should support the system instead of imposing additional financial burdens.

Officials have reportedly identified 635 vacant shops and government buildings across 35 locations within GHMC limits. At the same time, directions have been issued to separate 26 dispensaries currently operating jointly and establish them individually in separate locations. Authorities have also instructed another seven dispensaries presently functioning within ESI hospitals and diagnostic centres to shift into government buildings under the GHMC jurisdiction.

Employee groups allege that the move is part of a larger plan to generate substantial rental income in the name of allocating government buildings to ESI dispensaries. According to ESI staff representatives, rents ranging between Rs.40 and Rs.60 per square foot are being proposed despite the poor condition of many of the buildings.

Several of the identified structures reportedly do not have proper staircases to access upper floors, functioning toilets, water supply, adequate doors or windows, or suitable room arrangements for medical services. Employee representatives argue that such buildings are not equipped to run healthcare facilities efficiently. Sources said the government is allegedly attempting to collect no less than Rs.1.25 lakh per month from each dispensary as rent. ESI employee organisations are now demanding that all dispensaries be provided government buildings free of cost, similar to the arrangement made for the Sanathnagar units.