Ministry of Labour and Employment Expands ESI Coverage to Additional Districts in Uttar Pradesh

Pursuant to Notification No. S.O. 1384(E) dated March 26, 2025, the Ministry of Labour and Employment has formally notified the implementation of key provisions of the Employees’ State Insurance Act, 1948 (“ESI Act”) in fifteen additional districts within the State of Uttar Pradesh. The provisions are set to come into effect from April 1, 2025, and represent a substantial step forward in expanding the social security net under the ESI framework.

The notification brings into force a broad swathe of statutory provisions, namely Sections 38 to 43 (concerning compulsory insurance), 45A to 45H (enforcement provisions), 46 to 73 (benefit structures), 74 and 75 (adjudication of disputes and claims), sub-sections (2) to (4) of Section 76 (procedural matters), and Sections 82 and 83 (appellate processes and rule-making powers). The newly covered districts include Ambedkar Nagar, Auraiya, Bahraich, Gonda, Hamirpur, Jalaun, Kannauj, Maharajganj, Mahoba, Pilibhit, Siddharthnagar, Shamli, Pratapgarh, Kasganj, and Shravasti.

This territorial extension is aligned with the Government’s broader objective of ensuring equitable access to medical and social insurance benefits for the working population, particularly in underserved and semi-urban areas. The ESI scheme, which provides a range of benefits including medical care, maternity benefits, and compensation for employment injury, is now poised to serve a significantly larger base of beneficiaries within the State.

Employers operating in the newly notified districts are advised to initiate immediate compliance measures, including employee registration under the scheme, remittance of contributions, and alignment of internal HR and payroll systems with ESI compliance protocols.

The territorial expansion of the ESI Act across 15 districts in Uttar Pradesh marks a major policy advancement in India’s social protection regime, significantly widening the ambit of social security coverage for workers across diverse sectors.