NEW DELHI: The Union Cabinet has raised the wage ceiling for mandatory coverage under the Employees’ Provident Fund Organisation (EPFO) from Rs 15,000 to Rs 25,000 per month, a move expected to bring more than 51 lakh additional employees under mandatory EPFO coverage. Information and Broadcasting Minister Ashwini Vaishnaw said the decision, announced after the Cabinet meeting in New Delhi, will entail an estimated annual government outgo of around Rs 11,339 crore and will come into effect from Vishwakarma Jayanti. The revised ceiling is aimed at expanding access to provident fund savings and pension protection under the Employees’ Pension Scheme, while reflecting wage growth, rising incomes and the expansion of formal employment. The EPFO wage ceiling had remained unchanged during 2004–2014 before being raised to Rs 15,000 in September 2014.
Cabinet Raises EPFO Wage Ceiling to Rs 25,000, Expanding Social Security Coverage
