ESIC New Amnesty Scheme 2025 Extended Till December 31 2026 for Employers Across India

The Employees’ State Insurance Corporation has extended its New Amnesty Scheme 2025 by three months until December 31, 2026, giving employers and insured persons more time to settle pending legal disputes out of court. The extension was announced by the Union Ministry of Labour and Employment on October 29, after reviewing representations from various stakeholders. The scheme was originally applicable from October 1, 2025 to September 30, 2026. It will now continue from October 1 to December 31, 2026 on the existing terms and conditions, with no change to who is eligible or what relief is available. The New Amnesty Scheme 2025 is a one-time dispute resolution initiative aimed at reducing the backlog of court cases and promoting compliance under the erstwhile Employees’ State Insurance Act. It gives employers a structured route to resolve eligible disputes with ESIC through out-of-court settlement, instead of long litigation. Under the scheme, employers can settle ad-hoc assessments by paying the actual contribution amount along with applicable interest, without any damages being levied. In cases where employers have already paid their dues, pending cases can be withdrawn subject to payment of 10 per cent of the disputed damages. The scheme also covers cases filed by ESIC over non-submission of records or delayed payments, where employers have subsequently complied with the requirements; those cases can be withdrawn with court approval. Only court cases filed up to March 31, 2025 are eligible for settlement under the scheme. The Labour Ministry has urged all eligible employers and insured persons to use the extended window before it closes on December 31, 2026, and has said full details are available on the ESIC website. The extension supports the government’s broader goal of ease of doing business while protecting the rights of workers covered by ESIC.