ESIC Amnesty Guidelines
New Delhi
The Employees’ State Insurance Corporation (ESIC) has released comprehensive guidelines for its new Amnesty Scheme 2025, aimed at resolving court cases and withdrawing prosecution cases related to ESI disputes. This initiative seeks to simplify compliance, decrease litigation, and enhance ease of doing business.
The one-time Amnesty Scheme will be active from October 1, 2025, to September 30, 2026, providing employers and insured individuals an opportunity to settle disputes outside court through a transparent and structured process.
Regarding coverage disputes, the scheme applies to both closed and operational units. Units closed for over five years with pending litigation and no assessments will have their cases withdrawn. Units closed within five years need to submit records, pay dues with interest, and will not face damages. Running units can settle disputes by producing records without penalties, excluding those voluntarily registered via the ESIC portal.
For contribution disputes under various legal provisions, dues and interest must be paid based on records or alternate documents like EPFO or Income Tax filings. In the absence of records, employers must pay at least 30% of assessed dues plus interest, with no damages, but must commit to future compliance.
Prosecution cases against employers may be withdrawn after dues and interest payments, based on records or wage assessments. The scheme also covers older cases pending over 15 years with dues up to Rs 25,000.
Authorized ESIC officials will handle settlements, which must conclude within six months of application. Previous amnesty scheme beneficiaries are eligible.
This scheme is expected to ease legal burdens, speed up dispute resolution, and strengthen ESIC’s role as a progressive social security institution.
