The Employees’ State Insurance Corporation (ESIC), in its 196th meeting held on 27th June 2025, has approved the Scheme for Promotion of Registration of Establishments and Employees (SPREE) under the ESI Act, 1948.
This scheme offers a one-time opportunity for employers and employees who have not yet registered under the ESI Act to come into compliance without worrying about retrospective coverage or penalties.
Duration of the Scheme
SPREE will be active for six months, from 1st July 2025 to 31st December 2025.
Key Features of the SPREE Scheme
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Employer Coverage – Establishments registering during this period will be treated as covered from their registration date or from the date they declare.
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Employee Coverage – Newly registered employees will be covered from the date of their registration.
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No Retrospective Action – There will be no punitive action or recovery for any period prior to 1st July 2025 under the ESI Act.
Why This Matters for Employers
Normally, the ESI Act requires employers to register their establishments within 15 days of applicability and ensure that all eligible employees are registered. However, many organizations may have missed compliance in the past.
Through SPREE, employers now have a clean slate to regularize their compliance:
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No interest
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No penalty
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No retrospective questioning
This is a golden opportunity to ensure your organization is fully compliant without facing financial or legal consequences for the past.
Action Points for Employers
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Evaluate the current compliance status of your organization under the ESI Act.
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Register all unregistered establishments and employees within the SPREE window.
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Take advantage of this scheme to avoid future risks and liabilities.
Our Role in Your Compliance Journey
At SGC Services, we specialize in payroll, compliance, and ESIC-related matters. Our team can help you:
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Assess gaps in your existing compliance,
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Facilitate quick registration under SPREE, and
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Ensure smooth integration of your employees into the ESIC system.
📢 Don’t miss this one-time waiver! Act before 31st December 2025 to make your establishment fully compliant.
For guidance and support, feel free to reach out to our compliance experts at SGC Services.
Download: Scheme_to_Promote_Registration_of_Employers_Employ_250701_182653
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