ESIC Adds 1.63 Million Jobs in March, Nearly Half Are Youth

Formal employment registered under the Employees’ State Insurance Corporation (ESIC) surged notably in March, with new job creation rising by 5.79% to reach 1.63 million, up from 1.54 million in February. This data, based on provisional payroll figures released by the Ministry of Labour and Employment on Friday, underscores a strong momentum in formal sector employment growth.

The report also highlighted a significant 33.9% increase in establishments joining the ESIC’s social security net, with 31,514 new units enrolling in March compared to 23,526 in the previous month, reflecting expanding coverage of social security benefits.

Youth employment continues to be a key driver of this growth, with nearly half—around 0.79 million or 49%—of new registrations in March belonging to individuals aged 25 years or younger. Female participation in the workforce showed encouraging progress as well, with approximately 0.36 million women joining the ESIC in the same period. Furthermore, the inclusion of 100 transgender employees in the registrations highlights ESIC’s ongoing commitment to fostering inclusivity in the labour market.

The ESIC, established under the Employees’ State Insurance Act of 1948, is a vital social security institution alongside the Employees’ Provident Fund Organisation (EPFO). It provides a broad range of medical and cash benefits to employees earning monthly wages up to ₹21,000. Funding for these benefits comes from contributions shared between employees (0.75% of wages) and employers (3.25%), totaling 4%.

Registered members are entitled to extensive benefits, including medical treatment for themselves and their dependents, maternity benefits, unemployment cash support in certain conditions, and compensation for employment-related disabilities or death. Family pension provisions are also part of the scheme, providing a safety net for employees’ families.

While the current payroll data is provisional and subject to continuous updating, the upward trend in formal employment and expanding social security coverage under ESIC signals positive strides towards strengthening worker welfare and formalising India’s labour market.