ESIC Upper Division Clerk (UDC) Salary in 2025: Expected Salary Hike after 8th Pay Commission

The ESIC Upper Division Clerk (UDC) is a key administrative role in the Employees’ State Insurance Corporation (ESIC), responsible for handling clerical tasks, maintaining records, and assisting policyholders.

It is a stable government job that offers a structured salary, periodic increments, and a range of benefits. With discussions around the 8th Pay Commission gaining traction, employees and aspirants are eager to know how salaries and allowances might change in the coming years.

Current Salary Structure of ESIC UDC in 2025

ESIC UDC Salary

The salary of an ESIC UDC follows the 7th Pay Commission, placing it in Level-4 of the Pay Matrix. The pay structure includes a starting basic pay of ₹25,500, which increases over time with promotions and annual increments. The maximum pay for an ESIC UDC can reach ₹81,100 at the higher end of the scale.

After adding allowances such as Dearness Allowance (DA), House Rent Allowance (HRA), and Transport Allowance (TA), the gross salary comes to around ₹42,355 per month. However, after deductions like Provident Fund (PF) and National Pension Scheme (NPS), the in-hand salary ranges between ₹38,000 to ₹40,000 per month, depending on the location of posting.

Breakdown of ESIC UDC Salary Components

Salary ComponentDetails
Pay LevelLevel-4 of the Pay Matrix
Pay BandPB-1 (₹5,200 – ₹20,200)
Pay Scale₹25,500 – ₹81,100
Entry Pay₹25,500
Maximum Pay₹81,100
Grade Pay₹2,800
Dearness Allowance (DA)₹4,335 (subject to periodic revision)
House Rent Allowance (HRA)₹6,120 (varies based on city classification)
Transport Allowance (TA)₹3,600
Gross Salary₹42,355
In-Hand Salary₹38,000 – ₹40,000 (after deductions)

The gross salary, which includes basic pay and allowances, amounts to ₹42,355

Allowances and Benefits for ESIC UDC Employees

Apart from the basic pay, ESIC UDC employees receive several allowances and benefits that enhance financial stability.

Dearness Allowance (DA) is revised every six months based on inflation, ensuring that employees can keep up with rising costs. House Rent Allowance (HRA) varies depending on the posting location—metro cities have a higher HRA percentage, while rural postings receive a lower amount. Transport Allowance (TA) helps cover commuting expenses, making daily travel more affordable.

Medical benefits are also provided, covering employees and their families under the ESIC health scheme, which reduces out-of-pocket medical expenses. Pension benefits under the National Pension Scheme (NPS) secure financial stability after retirement. Employees also enjoy various leave benefits, including casual leave (CL), earned leave (EL), medical leave, and maternity/paternity leave.

Expected Salary Hike Under the 8th Pay Commission

With the 8th Pay Commission likely to be implemented around 2026-2027, salary revisions are anticipated. Based on estimated pay hikes of 20-30%, the revised salary structure may look like this:

  • Basic Pay: ₹30,000 (starting salary)
  • Maximum Pay: ₹90,000+ per month
  • Gross Salary (after allowances): ₹50,000 – ₹55,000 per month
  • In-Hand Salary: ₹45,000 – ₹50,000 per month

Allowances like DA and HRA are also expected to increase, bringing better financial security for employees. The 8th Pay Commission recommendations will focus on inflation-adjusted salary revisions, ensuring that government employees receive competitive compensation.

Career Growth and Promotion Opportunities

The ESIC UDC position offers multiple opportunities for promotion and career advancement. Employees can move up the ranks based on seniority and departmental exams. The career growth path generally follows:

  1. Assistant Section Officer (ASO)
  2. Section Officer (SO)
  3. Deputy Director (Administrative Level)

Each promotion comes with higher pay scales, increased responsibilities, and better perks, making this a viable long-term career option.

What Makes ESIC UDC an Attractive Government Job?

The ESIC UDC position offers job stability, structured salary increments, and government-backed benefits, making it a preferred choice for many job seekers. With expectations of a salary hike under the 8th Pay Commission, employees may see further improvements in their pay structure, allowances, and retirement benefits.

As ESIC continues to expand its services, new recruitment opportunities are expected in the coming years. Candidates preparing for ESIC UDC recruitment should stay updated with official notifications regarding salary changes and future hiring updates.

Also, read: High Court Clerk Salary in 2025: Pay Structure, Allowances, and Expected Revisions

Also, read: LIC Assistant Salary in 2025, Pay Structure, Allowances, Hike After 8th Pay

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