ESIC's amnesty scheme ends December 31: Check your eligibility, benefits
What's the story
The Employees' State Insurance Corporation (ESIC) has announced an extension for its New Amnesty Scheme 2025. The deadline has been pushed to December 31, 2026, giving eligible employers and insured persons more time to settle outstanding legal matters under the old Employees' State Insurance (ESI) Act. The decision comes after requests from various stakeholders, according to a press release issued by the Press Information Bureau (PIB) today.
Scheme details
One-time dispute resolution scheme
The New Amnesty Scheme 2025 is a one-time dispute resolution initiative.
It aims to reduce pending court cases and promote compliance with the provisions of the old ESI Act.
The scheme provides a way for eligible employers to settle disputes with ESIC out of court.
Under this, employers can settle ad-hoc assessments by paying actual dues plus interest without any damages being levied.
Case resolution
Scheme also covers these cases
If an employer has already paid their dues, pending cases can be withdrawn after paying 10% of the disputed damages.
The scheme also covers cases where ESIC filed against non-submission of records or late payments but employers complied later.
Such cases can be withdrawn with court permission under the same conditions as other eligible disputes.
Scheme eligibility
Take advantage of extended window for dispute settlement
The scheme is applicable to court cases lodged until March 31, 2025, subject to its terms and conditions.
ESIC has urged eligible employers and insured persons to take advantage of this extended window for dispute settlement before the scheme ends on December 31, 2026.
The extension aims at providing more time for resolving disputes, reducing litigation, promoting voluntary compliance, while improving ease of doing business overall.