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Supreme Court Transfers ESIC Construction Workers Coverage Cases to Itself for Uniform Hearing Across India

Vivek G.

Employees State Insurance Corporation & Anr. v. ITD Cementation India Ltd. & Anr. Supreme Court transfers multiple ESIC circular challenges on construction workers’ insurance coverage for uniform hearing across India.

Supreme Court Transfers ESIC Construction Workers Coverage Cases to Itself for Uniform Hearing Across India
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In a significant move aimed at avoiding conflicting rulings, the Supreme Court of India has ordered the transfer of multiple writ petitions from various High Courts to itself. The cases challenge the validity of a 2015 circular issued by the Employees State Insurance Corporation (ESIC), which extended insurance coverage to construction workers under the Employees’ Insurance Act.

A Bench of Justice Prashant Kumar Mishra and Justice N.V. Anjaria passed the order on February 6, 2026.

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Background of the Case

The dispute centers on ESIC Circular No. P-12/11/11/60/2010-Rev.II dated July 31, 2015. Through this circular, ESIC clarified that all construction workers employed in covered establishments would fall under the Employees’ Insurance Act.

Several construction companies and builders’ associations challenged this circular before different High Courts across the country. Some argued that construction sites are temporary projects and should not automatically attract insurance coverage under the Act.

However, three High Courts - including the Bombay High Court (Goa Bench), Madhya Pradesh High Court, and Patna High Court - upheld the validity of the circular. Appeals against these decisions are already pending before the Supreme Court.

At the same time, similar petitions remained pending in High Courts such as Delhi, Andhra Pradesh, Rajasthan, and Madras.

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Why the Transfer Was Sought

Appearing for ESIC, counsel submitted that since the Supreme Court is already examining the issue in pending Special Leave Petitions, it would be appropriate to transfer all related cases to avoid inconsistent judgments.

The Bench noted that “it is common ground” that three High Courts have upheld the circular and that appeals from those judgments are pending before it.

The Court observed that when the same legal question is being examined at multiple forums, a consolidated hearing ensures clarity and uniformity in the law.

Court’s Observations

The judges took note of a comprehensive status report filed by ESIC. The report listed writ petitions pending before different High Courts that raise identical questions about the circular.

The Bench recorded that since the Supreme Court is already seized of the matter in a Special Leave Petition arising from the Bombay High Court (Goa Bench) judgment, it would be appropriate to hear all connected matters together.

The Court also clarified that one writ petition before the Madras High Court had already been dismissed for non-prosecution in December 2024. However, since there remains a possibility of restoration, the Bench excluded that matter from the present transfer order.

In its order, the Court directed that all pending writ petitions - except the one already dismissed - be transferred for “analogous hearing” along with the connected Special Leave Petition and a pending writ petition.

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Decision of the Court

Allowing the transfer petitions, the Supreme Court ordered that the listed writ petitions pending before various High Courts be transferred to itself.

The Court directed the Registrars General of the concerned High Courts to send the records of the respective cases without delay.

The matters will now be listed before the Supreme Court after eight weeks, to be heard together with the pending Special Leave Petition (Civil) No. 13351 of 2018 and Writ Petition (Civil) No. 936 of 2022.

With this order, the issue of ESIC coverage for construction workers will now be decided centrally by the Supreme Court.

Case Title: Employees State Insurance Corporation & Anr. v. ITD Cementation India Ltd. & Anr.

Case Type: Transfer Petitions (Civil) with connected SLP and Writ Petition

Decision Date: 06 February 2026