ESI Coverage Extended to Six Islands of Lakshadweep from 1 May 2026

The Ministry of Labour and Employment has issued Notification S.O. 2144(E) dated 30 April 2026, appointing 1 May 2026 as the effective date from which ESI contributions shall become payable in the entire areas of Andrott, Amini, Kadmat, Kalpeni, Chetlat and Kiltan Islands in the Union Territory of Lakshadweep. This notification has been issued under the third proviso to the First Schedule of the Code on Social Security, 2020. From the effective date, employers and employees of covered establishments in these islands will be required to contribute under Section 29, and eligible employees will become entitled to benefits under Chapter IV relating to the Employees’ State Insurance Corporation. Key Compliance Impact for Employers Employers operating in the notified areas must review their employee strength, wage eligibility and establishment coverage under the ESI framework. Wherever applicable, ESI registration, employee enrolment, contribution deduction and monthly compliance must be initiated from the effective date. The circular also confirms the revised national district status after this notification: Category Status Fully Notified Districts 636 Partially Notified Districts 92 Non-Notified Districts 51 Total Districts 779 Practical Action Points Employers in the above islands should immediately verify whether their establishment is covered, identify employees drawing wages within the ESI wage ceiling, complete employee IP registration, ensure timely contribution payment, and maintain statutory records for inspection and compliance purposes.