Introduction
The Ministry of Labour and Employment has issued a corrigendum to the Employees’ Deposit-Linked Insurance Scheme, 2026, originally notified through G.S.R. 526(E) dated 29 June 2026.
The corrigendum corrects typographical, drafting and formula-related errors appearing in different pages of the original Scheme. It also provides greater clarity regarding exempted provident fund establishments, nominees and the calculation formula under the Scheme.
Key Corrections
1. Correction of paragraph reference
The reference to “46” on page 2 of the original notification has been corrected to “44”.
This correction ensures that the relevant provision is properly cross-referenced within the Scheme.
2. Grammatical and drafting corrections
The expression “Deposit Linked” has been corrected to “Deposit-Linked” at various places.
The Ministry has also corrected the wording relating to recovery of damages from an employer. The words indicating recovery of damages “as a penalty” have been removed.
Accordingly, the provision will now refer simply to recovery of damages from the employer.
3. Inclusion of exempted provident fund establishments
The corrigendum clarifies that references to provident fund membership and contributions will also include, wherever applicable, a provident fund maintained by an establishment exempted under Section 143 of the Code on Social Security, 2020.
This clarification is important for employees working in establishments that operate exempted provident fund trusts or schemes.
The relevant provisions now clarify that the calculation will consider contributions made to:
The Fund maintained under the applicable Scheme; or
An exempted provident fund established under Section 143 of the Code on Social Security, 2020.
The correction also confirms that the relevant amount will be considered whether it has been paid or remains unpaid, together with applicable interest.
4. Correction relating to persons
The word “persons” has been corrected to “person/persons” in one of the provisions to ensure that the provision applies appropriately in both singular and plural situations.
5. Clarification regarding payment to nominees
The corrigendum clarifies that the amount payable under the Scheme may be paid to:
Other eligible family members; or
The nominee, as applicable.
This correction recognises the role of a validly nominated person in receiving benefits under the Employees’ Deposit-Linked Insurance Scheme.
6. Correction in the calculation formula
The expression “A+B-C” appearing on page 11 has been corrected to “1+2-3”.
This correction appears to relate to the numbering of the components used in the calculation formula and ensures consistency between the formula and its corresponding entries.
7. Correction of the term “Establishment”
The corrigendum directs that the term:
“Establishment” shall be read as “Establishment” in the correct statutory form; and
“Establishments” shall be read as “Establishments” wherever applicable.
This is a language and drafting correction intended to maintain uniformity throughout the Scheme.
Compliance Implications for Employers
The corrigendum does not introduce a new contribution rate or create a separate compliance requirement. However, employers and exempted provident fund establishments should take note of the following:
Review the corrected version of the Employees’ Deposit-Linked Insurance Scheme, 2026.
Ensure that benefit calculations consider the applicable provisions relating to exempted provident fund establishments.
Verify nomination records and ensure that the correct nominee details are maintained.
Update internal manuals, payroll notes, compliance checklists and employee benefit documentation wherever references have been made to the original notification.
Ensure that any recovery or damages-related communication uses the corrected wording.
Use the corrected formula and paragraph references while interpreting or administering the Scheme.
Conclusion
The corrigendum issued through G.S.R. 800(E) dated 10 September 2026 rectifies errors in the Employees’ Deposit-Linked Insurance Scheme, 2026. The most significant clarification relates to the inclusion of exempted provident fund establishments under Section 143 of the Code on Social Security, 2020, along with clarification regarding nominees and the applicable calculation formula.
Employers should preserve the corrigendum with the original notification and rely on the corrected text for future interpretation and compliance purposes.
Disclaimer: This article is intended for knowledge-sharing and general information. It should not be treated as a substitute for legal advice or case-specific professional guidance.