**Summary:**
The Employees' State Insurance Corporation (ESIC), under the Ministry of Labour and Employment, has announced the launch of outreach activities for the Amnesty Scheme 2025, a one-time dispute resolution initiative designed to reduce the backlog of court cases and promote compliance under the ESI Act. Formally announced on June 27, 2025, following approval at the 196th ESIC meeting on June 26, 2025, chaired by Union Minister Dr. Mansukh Mandaviya, the scheme will be active from October 1, 2025, to September 30, 2026.
Amnesty Scheme 2025 aims to facilitate out-of-court settlements for employers facing legal disputes with ESIC. As of March 31, 2025, approximately 27,000 cases were pending in various courts. Key provisions include:
* Settlement of ad-hoc assessments by paying actual contributions and interest, waiving damages.
* Withdrawal of cases where employers have already paid dues, subject to payment of 10% of disputed damages.
* Withdrawal of cases filed by ESIC for non-submission of records or delayed payments that were subsequently rectified, with court permission.
* Eligibility extends to court cases filed up to March 31, 2025.
Regional Directors and Sub-Regional Officers are authorized to process withdrawals during the scheme's operational period. Detailed guidelines will be issued separately through a notification before the scheme's effective date. The initiative aims to provide a practical and employer-friendly route to dispute resolution, supporting the government's objective of enhancing ease of doing business. The announcement was released by Rini Choudhury and Anjelina Alexander, Release ID: 2162763
Key Entities Referenced
Ministry of Labour Employment: The Indian government ministry responsible for labour and employment policies.
Employees State Insurance Corporation: A statutory body that administers the Employees' State Insurance Scheme, providing social security benefits to workers.
Amnesty Scheme 2025: A one-time dispute resolution initiative by ESIC aimed at reducing pending court cases and promoting compliance under the ESI Act.
Shimla, Himachal Pradesh: The location where the 196th Meeting of ESIC was held.
Dr. Mansukh Mandaviya: Union Minister for Labour Employment and Youth Affairs Sports, and chairman of the ESIC meeting.
ESI Act: The legislation under which the Employees' State Insurance Scheme operates.
Regional Directors: Officials empowered to process withdrawals of cases during the Amnesty Scheme 2025.
Sub-Regional Officers: Officials empowered to process withdrawals of cases during the Amnesty Scheme 2025.
Ministry of Labour & Employment
ESIC announces the kickstarting of outreach
activities for Amnesty Scheme 2025
Posted On: 01 SEP 2025 5:47PM by PIB Delhi
The Employees’ State Insurance Corporation (ESIC) announced the kickstarting of a series of outreach
activities centred around the Amnesty Scheme 2025, to be undertaken by ESIC field offices across the
country.
ESIC, in its 196th Meeting held on 26th June 2025 at Shimla, Himachal Pradesh, under the chairmanship of
Dr. Mansukh Mandaviya, Union Minister for Labour & Employment and Youth Affairs & Sports, approved
the launch of Amnesty 2025. The initiative was formally announced on 27th June 2025.
Amnesty Scheme 2025
The Amnesty Scheme 2025 is a one-time dispute resolution initiative aimed at reducing the backlog of court
cases and promoting compliance under the ESI Act. The scheme will come into effect on 1st October 2025
and remain valid until 30th September 2026, providing a structured mechanism for employers to resolve legal
disputes with ESIC through out-of-court settlements.
As of 31st March 2025, around 27,000 cases were pending in various courts. The scheme allows:
Settlement of ad-hoc assessments by paying actual contributions and interest—no damages will be
(cid:108)
levied.
Withdrawal of cases where employers have already paid dues, subject to payment of 10% of
(cid:108)
disputed damages.
Cases filed by ESIC for non-submission of records or delayed payments, which were later
(cid:108)
complied with, will also be withdrawn with court permission.
Court cases filed up to 31.03.2025 are eligible under this scheme.
(cid:108)
Importantly, Regional Directors and Sub-Regional Officers have been empowered to process withdrawals
during this period.
Before this scheme, limited appeal provisions and lack of withdrawal powers often prolonged litigation even
after compliance. Amnesty 2025 addresses these gaps, offering a practical and employer-friendly route to
dispute resolution and supporting the government’s broader goal of enhancing ease of doing business.
Detailed guidelines of the scheme will be issued separately through a notification, prior to the scheme coming
into effect.
This proactive step by the ESI Corporation reflects its commitment to strengthening social security and
simplifying compliance for employers. The Amnesty Scheme 2025 provides a practical route to resolve long-
pending litigations, reduce legal burden, and promote ease of doing business. Together, these initiatives are a
significant move toward inclusive growth, fostering trust between stakeholders and reinforcing ESIC’s role as
a progressive and responsive social security institution.
***
Rini Choudhury/Anjelina Alexander
(Release ID: 2162763)