Amnesty Scheme 2025

Prelims – Current events of National and International importance| Government policies and interventions.

Why in News?

Recently, the Employees' State Insurance Corporation (ESIC) announced a series of outreach activities centred around the Amnesty Scheme 2025.

Amnesty scheme is a one-time dispute resolution initiative to reduce the backlog of court cases and promote compliance under the ESI Act.
It provides a structured mechanism for employers to resolve legal disputes with ESIC through out-of-court settlements.
Duration – From 1^st October 2025 and remain valid until 30^th September 2026.
Launched by – Employees’ State Insurance Corporation (ESIC) under the Ministry of Labour & Employment.
Objectives – To provide a practical route to resolve long-pending litigations, reduce legal burden, and promote ease of doing business.
Key Provisions – Settlement of ad-hoc assessments by paying actual contributions and interest—no damages will be levied.
Withdrawal of cases where employers have already paid dues, subject to payment of 10% of disputed damages.
Cases filed by ESIC for non-submission of records or delayed payments, which were later complied with, will also be withdrawn with court permission.
Litigation period- Court cases filed up to 31.03.2025 are eligible under this scheme.
Significance – It strives towards inclusive growth, fostering trust between stakeholders and reinforcing ESIC’s role as a progressive and responsive social security institution.

Reference

PIB| Amnesty Scheme 2025