The Employees’ State Insurance Corporation (ESIC) has rolled out a major compliance relief for employers across India — the ESIC Amnesty Scheme 2025. Approved during ESIC’s 196th meeting in Shimla, the scheme is set to provide a one-time opportunity for employers to settle past compliance issues and disputes under the ESI Act.
This is a significant step towards easing the burden of pending dues and litigation while encouraging employers to strengthen their compliance framework.
What is the ESIC Amnesty Scheme 2025?
The ESIC Amnesty Scheme 2025 is a one-time dispute resolution mechanism designed to help employers regularize past defaults. It will remain in force from:
1st October 2025 to 30th September 2026
During this period, employers can voluntarily disclose and clear their pending dues under the ESI Act without the heavy penalties and interest that would otherwise apply.
Key Features of the Amnesty Scheme
- One-Time Relief Window: Employers can resolve pending disputes and defaults in contributions.
- Waiver of Penalties/Interest: Substantial relief from accumulated interest and penalties on outstanding dues.
- Dispute Resolution: Aimed at settling long-standing litigations under the ESI Act.
- Encouragement for Compliance: Designed to bring more establishments into the compliance fold and strengthen the social security net for employees.
Benefits for Employers
- Financial Relief: Significant savings by avoiding heavy penalties and interest.
- Legal Closure: Opportunity to resolve pending cases and disputes.
- Improved Reputation: Demonstrates a commitment to compliance and employee welfare.
- Future Compliance: Creates a clean slate for employers to continue compliantly under the ESI framework.
Why This Matters Now
The government has been focused on improving ease of doing business and strengthening social security benefits. The Amnesty Scheme is a strategic move to reduce litigation, encourage voluntary compliance, and provide relief to employers struggling with old defaults.
With the scheme’s limited duration (Oct 2025 – Sept 2026), timely action will be critical.
How Employers Should Prepare
- Review Past Records: Identify outstanding ESIC contributions or disputes.
- Calculate Liabilities: Work out pending dues eligible under the scheme.
- Documentation: Collect and organize all relevant compliance documents.
- Apply Within the Timeline: Ensure application and payments are made within the scheme duration.
- Seek Expert Guidance: Engage a compliance partner for accurate calculation and seamless execution.
How Sankhla Corporate Services Can Help
At Sankhla Corporate Services Pvt. Ltd., we specialize in labour law compliance and ESIC advisory. Our team can:
- Audit your ESIC compliance status
- Identify eligible dues under the Amnesty Scheme
- Guide you through documentation and filings
- Ensure smooth closure of disputes and defaults
- Set up a compliance framework to avoid future risks
With our expertise, your organization can take full advantage of this one-time relief while ensuring ongoing compliance.
The ESIC Amnesty Scheme 2025 is a golden opportunity for employers to settle past issues and start fresh with a clean compliance record. With its limited window, businesses must act swiftly to analyze their liabilities and apply for relief.
By partnering with a trusted compliance advisor like Sankhla Corporate Services, employers can not only resolve their past but also build a strong, compliant future.
Ready to take advantage of the Amnesty Scheme? Contact Sankhla Corporate Services today and let our experts help you navigate the process with ease.
