Section 58(2) in The Employees' State Insurance Act, 1948
(2)Where the incidence of sickness benefit payment to insured persons in any State is found to exceed the all-India average, the amount of such excess shall be shared between the Corporation and the State Government in such proportion as may be fixed by agreement between them:Provided that the Corporation may in any case waive the recovery of the whole or any part of the share which is to be borne by the State Government.
