ESIC may raise wage ceiling to avail insurance benefits to ₹30,000

Published 4 August 2026 · local

In a meeting of the Employees State Insurance Corporation (ESIC) held in New Delhi on Tuesday (August 4, 2026), employees’ representatives demanded that the Union

In a meeting of the Employees State Insurance Corporation (ESIC) held in New Delhi on Tuesday (August 4, 2026), employees’ representatives demanded that the Union Government increase the wage limit to qualify for ESIC benefits to at least ₹30,000 from the present figure of ₹21,000. Union Labour Minister Mansukh Mandaviya, who chaired the meeting, told the trade union members that the Union Government is “considering” the proposal and a decision will be taken soon. Talking to The Hindu after the meeting, Bharatiya Mazdoor Sangh’s (BMS) representative in the ESIC Board S.

Durairaj, said if the Government raises the ceiling, the ESIC can provide coverage to more than 50 lakh workers, apart from the 3.8 crore people insured at present. “The trade unions demanded this in one voice. Two years ago, Mr. Mandaviya had told us that the Government is positively considering this proposal. We are hopeful that the Government will implement it at the earliest,” he added. The BMS leader said the definition of wages under both the Code on Wages and the Code on Social Security also helps in expanding the ambit of the ESIC.

“If the basic wages, dearness allowance and other retaining allowances are kept under ₹21,000, many more workers could be added into the ESIC coverage,” he said. Mr. Durairaj had written to the ESIC Director General Ashok Kumar Singh demanding that the wage ceiling should be revised urgently as minimum wages have already exceeded the existing limit in many States. The meeting also saw trade union leaders questioning the ESIC proposal to sign contracts with primary health centres for treatment of insured workers.

The trade union representatives argued that PHCs are always available to the public in States and the ESIC and the Centre should focus on expanding infrastructure for insured workers. The meeting is learnt to have decided to postpone a decision on the proposal.

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