Union Labour Minister Dr. Mansukh Mandaviya Chaired 196th Meeting of ESIC at Shimla, HP

In June 2025, the Union Minister Dr. Mansukh Mandaviya, Ministry of Labour & Employment (MoL&E) and Ministry of Youth Affairs & Sports (MYAS), chaired the 196th meeting of the Employees’ State Insurance Corporation (ESIC) at Shimla in Himachal Pradesh (HP).

• During the high-level meeting, some key reform measures and policy initiatives were undertaken which aimed to expand social security, enhance healthcare delivery, and promote voluntary compliance.

Key Dignitaries:

Dola Sen, Member of Lok Sabha (Lower House of the Parliament), N.K. Premachandra, Member of Rajya Sabha (Upper House of the Parliament), Ashok Kumar Singh, Director General (DG) of ESIC and other senior officials from MoL&E, were present at the meeting.

Key Initiatives Launched:

1.Re-Launch of SPREE Scheme:

During the meeting, ESIC has decided to re-launch SPREE (Scheme to Promote Registration of Employers/ Employees) scheme, aimed to expand ESI coverage across the country.

• Originally, the scheme was introduced in 2016 and since then, it has facilitated the registration of more than 88,000 employers and 1.02 crore employees.

Key Points:

i.As per ESIC, the renewed SPREE scheme will be available from July 01, 2025 to December 31, 2025, providing one-time opportunity for unregistered employers and left-out workers, including contractual and temporary staff, to enroll under the Employees’ State Insurance (ESI) Act, 1948

ii.Under the renewed SPREE scheme, employers registering during this time period will be considered as covered from the date of registration or from their self-declared date.

• While, newly registered employees will be covered from their respective dates of registration.

iii.This new version of scheme focuses on voluntary compliance rather than penalization, and aims to ease the litigation burden, promote formal registration, and foster enhanced engagement and goodwill among stakeholders.

2.Amnesty Scheme-2025:

ESIC has also approved the Amnesty Scheme-2025, one-time dispute resolution window, which will be effective from October 01, 2025 to September 30, 2026.

• This scheme aims to reduce litigation burdens and to promote compliance under the ESI Act, 1948

Key Points:

i.For the 1st time, disputes along with cases involving damages and interest regarding coverage will be covered under this new scheme.

ii.The scheme empowers Regional Directors to withdraw cases where contributions and interest have been paid, and also to withdraw cases filed against insured persons over 5 years ago where no notices were issued.

iii.This new scheme provides a framework to encourage settlement outside courts, which will further help in enhancing ease of doing business and fostering a culture of cooperation between employers and the regulatory system.

3.Simplification of Existing Damages Framework:

ESIC has decided to simplify its damages framework by replacing the previous framework of graded penalty system with a fixed rate.

• The maximum rate of damage has now been reduced to 1% for every month on the amount payable by the employer, from 25% per annum.
• This change is expected to encourage compliance, minimize disputes and foster a more conducive regulatory environment.

4.Amendments to Rajiv Gandhi Shramik Kalyan Yojana (RGSKY):

ESIC has approved key changes to Rajiv Gandhi Shramik Kalyan Yojana (RGSKY) like: to assign powers to DG of ESIC, to grant relaxation in submission of applications timelines beyond the current time limit of 12-month (1 year) on case-to-case basis.

Other Key Policy Reforms Approved:

i.Revised ESI Policy on AYUSH-2023: During the meeting, ESIC considered and approved the revised AYUSH Policy 2023 of ESIC. This revised policy seeks to integrate conventional systems of medicine such as: Ayurveda, Yogam Unani, Siddha, and Homeopathy into the ESIC healthcare network.

• It also aims to promote holistic, preventive, and wellness-oriented healthcare.

ii.Engagement of Yoga Therapists in ESIC hospitals: ESIC has also approved the  proposal to appoint Yoga therapists and Panchakarma technicians/attendants in ESIC hospitals.

iii.Pilot Project with Charitable Hospitals: The Corporation has approved a pilot project to enhance healthcare access for ESI beneficiaries by collaborating with charitable hospitals in underserved areas.

• These hospitals will offer comprehensive services from Outpatient (OPD) to emergency care, which will ensure affordable, quality treatment.
• For the initial phase, the pilot will be rolled out in selected districts of the country, to evaluate the feasibility and impact of such collaborations, with a focus on cost efficiency, access and patient satisfaction.

iv.Review Salary Limit for ESI Benefits: During the meeting, the Union Minister Dr. Mansukh Mandaviya informed that a group will be set up to consider raising the Rs.21,000 salary limit for ESI benefits, following requests from trade unions.

About Employees’ State Insurance Corporation (ESIC):
Director General (DG)- Ashok Kumar Singh
Headquarters- New Delhi, Delhi
Established- 1952

About Ministry of Labour & Employment (MoL&E):
Union Minister- Dr. Mansukh Mandaviya (Constituency- Porbandar, Gujarat)
Minister of State (MoS) – Shobha Karandlaje(Constituency- Bengaluru North, Karnataka)