The Employees' State Insurance Corporation (ESIC) on March 25, 2026, issued clarification on The New Amnesty Scheme, 2025.
The clarification under the New Amnesty Scheme, 2025 states that the requirement for employers to seek permission from courts for out-of-court settlement is only procedural and should not be interpreted as a mandatory pre-condition. The scheme is an administrative mechanism to facilitate dispute resolution and does not require prior court approval to avail its benefits.
In cases where matters are pending before courts, parties are only required to inform the court about the settlement and seek appropriate orders for disposal or withdrawal of the case. Employers opting for the scheme must undertake to file affidavits before the court to withdraw pending appeals or petitions in line with the settlement.
Field offices are directed to process settlements as per scheme provisions and ensure proper filing before courts for closure of cases. This clarification aligns with principles under the Code of Civil Procedure, 1908, and does not impact cases already settled under the scheme.
[Circular No. P-11/14/Amnesty Scheme/2023-Rev II]
