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Update on the new labour Codes related to ESI compliance

The Employees’ State Insurance Corporation, Sub Regional Office Marol, Mumbai, has released a circular concerning the implementation of the Social Security Code, 2020, in relation to ESI compliance.

In a circular dated 10th December 2025, the ESIC highlighted the new wage definition under the Social Security Code and the extension of the ESI scheme to employees who were previously excluded due to the former wage definition.

According to the circular, employers are requested to verify the monthly wages of their employees in accordance with the new wage definition, and if the monthly wages are equal to or less than INR 21,000/-, those employees must be registered under the Social Security Code to enable them to access ESI benefits.

Online registration can be completed via the Shram Suvidha Portal or the ESIC Employer Portal.

Please refer below to the circular:

Regulatory Insights

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