Sections 4 and 5 explained: this guide covers what it means, who it applies to, the step-by-step process, documents required, fees, due dates and penalties in India — so you can stay compliant with confidence and avoid costly mistakes.
Section 4 of the Code on Social Security, 2020 creates the Board of Trustees of the Employees' Provident Fund, called the Central Board, to run Chapter III. Section 5 creates the Employees' State Insurance Corporation, called the Corporation, to run Chapter IV. Both are bodies corporate with representatives of governments, employers and employees.
The Central Government may, by notification, constitute the Central Board (s.4) and the Corporation (s.5), each a body corporate with perpetual succession and a common seal. The Central Board has a Chairperson, a Vice-Chairperson, up to five central officials, up to fifteen State representatives, ten employer and ten employee representatives, and the Central Provident Fund Commissioner ex officio. The Corporation adds representatives of the medical profession and of Parliament and is headed by a Chairperson, with the Director General ex officio. Members continue in office until a successor is appointed.
Section 4: the Central Board
| Sub-section | What it provides |
|---|---|
| 4(1) | The Central Government may, by notification, constitute, from a date it specifies, a Board of Trustees of the Employees' Provident Fund called the Central Board, for Chapter III and the provisions of the Code relating to it, to administer the funds vested in it in the prescribed manner |
| 4(2) | The Board is a body corporate named Board of Trustees of the Employees' Provident Fund, with perpetual succession and a common seal, which can sue and be sued |
| 4(3) | The Central Government may constitute an Executive Committee from among the Board's members to assist it, in the prescribed manner |
| 4(4) | The Board may, by order, constitute one or more committees |
| 4(5) | The Board may delegate powers and functions to its Chairperson, Executive Committee or officers, and a State Board constituted under s.12 may delegate to its Chairperson or officers, for the efficient administration of the schemes under s.15(1) |
| 4(6) | Terms and conditions of members, including tenure, are as prescribed; a member continues in office after tenure expires until his successor is appointed |
| 4(7) | The Board performs other functions as prescribed |
Who sits on the Central Board: s.4(1)
| Clause | Members |
|---|---|
| (a) | A Chairperson and a Vice-Chairperson appointed by the Central Government |
| (b) | Not more than five persons from among Central Government officials |
| (c) | Not more than fifteen persons representing the Governments of States the Central Government specifies |
| (d) | Ten persons representing employers of establishments to which the schemes under s.15(1) apply, appointed after consultation with recognised employer organisations |
| (e) | Ten persons representing employees in such establishments, appointed after consultation with recognised employee organisations |
| (f) | The Central Provident Fund Commissioner, ex officio |
If your organisation wants to understand how its employer or employee body could be consulted, our ESI and PF registration team can explain the process. The Central Rules, 2026 cover the administration of funds vested in the Board (rule 6) and the Executive Committee (rule 7); see rules 6 and 7. They apply where the Central Government is the appropriate Government.
Section 5: the Employees' State Insurance Corporation
| Sub-section | What it provides |
|---|---|
| 5(1) | The Central Government may, by notification, constitute the Corporation for Chapter IV and related provisions and their administration, in the prescribed manner |
| 5(2) | The Corporation is a body corporate named Employees' State Insurance Corporation, with perpetual succession and a common seal |
| 5(3) | A Standing Committee from among the Corporation's members, in the prescribed manner |
| 5(4) | Subject to the Corporation's general superintendence and control, the Standing Committee (a) administers the Corporation's affairs and may exercise its powers as prescribed, (b) submits for the Corporation's decision the cases specified in the regulations, and (c) may submit any other matter |
| 5(5) | A Medical Benefit Committee, of the composition specified, to assist the Corporation and Standing Committee on administration of medical benefits, with prescribed duties and powers |
| 5(6) | The Corporation may, by order, constitute one or more committees |
| 5(7) | Terms and conditions including tenure are as prescribed; a member continues in office until his successor is appointed |
Who sits on the Corporation: s.5(1)
| Clause | Members |
|---|---|
| (a) | A Chairperson appointed by the Central Government |
| (b) | A Vice-Chairperson appointed by the Central Government |
| (c) | Not more than five persons from among Central Government officials |
| (d) | One person representing each of such States in the prescribed manner |
| (e) | One person representing the Union territories |
| (f) | Ten employer representatives, in consultation with recognised organisations |
| (g) | Ten employee representatives, in consultation with recognised organisations |
| (h) | Two persons representing the medical profession, in consultation with recognised organisations of medical practitioners |
| (i) | Three members of Parliament: two from the Lok Sabha and one from the Rajya Sabha, elected by the members of the respective Houses |
| (j) | The Director General of the Corporation, ex officio |
Rule 8 of the Central Rules deals with the Corporation, the Standing Committee and the Medical Benefit Committee; see rule 8.
How the two bodies compare
| Point | Central Board (s.4) | Corporation (s.5) |
|---|---|---|
| Runs | Chapter III (EPF) | Chapter IV (ESI) |
| Employer and employee representatives | Ten each | Ten each |
| Top executive, ex officio | CPF Commissioner | Director General |
| Committee of members | Executive Committee | Standing Committee, plus Medical Benefit Committee |
| Medical profession / Parliament seats | None listed | Two medical, three MPs |
| Tenure after expiry | Continues until successor appointed | Continues until successor appointed |
Example. A recognised employers' organisation is consulted by the Central Government before it appoints the ten employer representatives on the Central Board under s.4(1)(d). The appointment is by the Central Government; the organisation is consulted, not the appointing authority.
Need help with EPF or ESI matters?
The Board and the Corporation set how schemes are administered and how establishments are supervised. If your establishment is newly covered and you need to register and start contributions, our ESI and PF registration team can guide you through the process. Keep your headcount and wage data ready.
Key takeaways
- The Central Board (EPF) and the Corporation (ESIC) are both bodies corporate constituted by notification of the Central Government.
- Each has ten employer and ten employee representatives.
- The CPF Commissioner and the Director General are ex officio members.
- The Corporation also has two medical-profession members and three Members of Parliament.
- Executive, Standing and Medical Benefit Committees help administration.
- Members stay in office until successors are appointed.
Read next
- Sections 6 and 7: National Social Security Board and State boards
- Sections 8 and 9: disqualification and procedure
- Section 24: Director General of ESIC
- ESI under the new Labour Codes
Disclaimer: Based on the Code on Social Security, 2020 (as enacted) and, where noted, the Code on Social Security (Central) Rules, 2026 (G.S.R. 344(E), 8 May 2026), as on 30 September 2026. The Code is in force from 21 November 2025; some provisions may be notified later, and State Governments make their own rules for establishments where the State is the appropriate Government. Verify the current position before acting.