Social Security Schemes notified under the Code on Social Security, 2020
The Ministry of Labour & Employment, vide Official Gazette, dated June 29, 2026, notified three statutory social security schemes under the Code on Social Security, 2020 (SS Code) covering the Employees’ Provident Funds Scheme, 2026 (EPF Scheme 2026) in supersession of the Employees’ Provident Funds Scheme, 1952 (EPF Scheme 1952), Employees’ Deposit-Linked Insurance Scheme, 2026 (EDLI Scheme 2026) in supersession of the Employees’ Deposit-Linked Insurance Scheme,1976 (EDLI Scheme1976), and the Employees’ Pension Scheme, 2026 (EPF Scheme 2026) in supersession of the Employees’ Pension Scheme, 1995 (EPS Scheme 1995). These schemes provide a comprehensive framework for pension benefits, provident funds, insurance benefits to employees and emphasize digital compliance.
Key Highlights of the Schemes:
- EPF Scheme 2026: The regulatory framework for administration, governance, membership, exempted establishments and digital compliance, is included in EPF Scheme 2026. Following are the key highlights of EPF scheme 2026:
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- Contribution and charges: The 12% employer and employee contribution rate, with mandatory contributions for employees earning above the statutory wage ceiling (currently INR 15,000 per month) limited to the ceiling is retained. Employees may voluntarily contribute to higher wages at statutory rate.
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- Improved digital Compliance Obligations: There is emphasis on digital compliance, and provisions related to filing forms and maintaining registers in physical form have been removed to a large extent.
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- Framework for International workers: The applicability of Social Security Agreements (SSA) is retained by exempting eligible detached workers contributing to the social security system of their home country. It continues to define International Workers (IW) as foreign passport holder working in India in an establishment covered under SS Code and/or an Indian employee working in a foreign country with which India has an SSA and who is eligible for benefits under that SSA. Where, Nepalese and Bhutanese nationals continue to be treated as Indian workers and not as IW.
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- Withdrawal provisions: Provisions on partial and final withdrawals are streamlined while retaining withdrawals for specified purposes.
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- Exempted Trust: The scheme provides in relation to exempted trust that interest cannot exceed 200 basis points above the rate declared by the Central Government, mandates transfer of all fund accumulations and reserves to the EPFO upon surrender or cancellation of exemption, and clarifies the treatment of exemptions in corporate restructuring transactions. Exemptions are initially valid for 3 years and may be renewed, ordinarily automatically, where prescribed conditions, including a positive net worth for the preceding three years, continue to be met.
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- The scheme also provides the one-time initiative given in the table:
| Initiative | Purpose | Key Relief / Benefit | Duration |
| Employees’ Enrolment Campaign, 2026 | To facilitate voluntary enrolment of employees who were eligible for provident fund coverage but were omitted or never enrolled between 1 April 2009 and 31 March 2026. | One-time opportunity to retrospectively enroll eligible employees and regularise historical non-enrolment. | Effective from the date of notification and remains in force until 31 October 2026. |
| VISHWAS, 2026 | To provide a dispute resolution mechanism for employers with past provident fund defaults.
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Enables eligible employers to settle pending damages proceedings relating to defaults before 14 June 2024 at substantially reduced rates of 0.25%, 0.5% and 1% per month, subject to the prescribed conditions. | Operative for six months from the date of notification, extendable by the Central Government for a further period not exceeding six months. |
| AMNESTY, 2026 | To regularise income tax-recognised provident fund trusts that were operating without obtaining statutory exemption under the EPF framework | Permits retrospective regularization or exemption, subject to prescribed conditions, while waiving damages, interest and penalties where employees have received benefits not less favorable than the statutory scheme. | Operative for six months from the date of notification, extendable by the Central Government for a further period not exceeding six months. |
- EPS Scheme, 2026: Following are the key highlights of the EPS Scheme are as follows:
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- Continuity of pension benefits and membership for existing members and extends coverage to employees enrolled under the EPS Scheme, 1952.
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- Facilitation of electronic records of pension, digital processing and electronic disbursement of pension through banks, post offices and other authorised agencies.
- EDLI scheme 2026: The key highlights are as follows:
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- The employer is required to contribute to the Deposit-linked Insurance Fund along with the contributions based on wages under SS Code.
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- The deposit of contribution must be made within 15 days after the closing of every month.
Conclusion
The new schemes under the SS Code represents an important milestone in the implementation of India’s social security reforms. While the schemes largely preserve the existing provident fund, pension and insurance framework, they introduce enhanced digital compliance measures, streamlined processes and new enrolment and dispute-resolution.
Published On:
- August 17, 2026
Contributors:
- Adil Ladha
- Anuj Vakharia
- Anushka Sharma