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Coverage of Educational and Medical Institutions under the ESI Provisions

The Employees’ State Insurance Corporation, vide circular dated 24th July 2026, has communicated the inclusion of Educational and Medical Institutions situated in Maharashtra in the provisions of the Employees’ State Insurance Corporation, under the Code on Social Security, 2020. The ESIC has clarified that following the implementation of the Code on Social Security, 2020, effective from 21st November 2025, establishments specified in the First Schedule of the Code on Social Security are encompassed under the ESI provisions, with applicable contributions due from 21st November 2025.

It is also noteworthy that the Government of Maharashtra, via notification no. PHD-12016/3/2025-PHD (R.K.V.2), dated 30th January 2026, had earlier broadened the scope of the Employees’ State Insurance Act, 1948, to include educational and medical institutions in the ESI notified areas where ten or more individuals are employed, effective from 28th August 2025.

In light of the above clarification, all educational and medical institutions in Maharashtra that employ ten or more individuals are required to commence ESI contributions from 21st November 2025, if they have not already done so.

Please note: While this specific clarification applies to Maharashtra due to previous ambiguities regarding the coverage of educational and medical institutions, similar institutions in other states employing ten or more individuals will also be subject to the ESI provisions as outlined in the Code on Social Security, 2020.

Please refer below to the circular:

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