EPFO raises wage ceiling to Rs 25k, coverage up by Rs 1 crore

NEW DELHI: Govt on Wednesday increased the wage ceiling for mandatory Employees' Provident Fund Organisation contribution from Rs 15,000 a month to Rs 25,000 - a move that will bring around one crore additional workers into the social security net and also result in higher pension payouts for existing Employees' Pension Scheme (EPS) subscribers, reports Shiva Rajora.Earlier, EPFO membership was mandatory only for employees earning up to Rs 15,000 a month, now raised to Rs 25,000. The wage ceiling was last revised in Sept 2014, when govt more than doubled it from Rs 6,500. The increasewas necessitated due to an increase in minimum wages.Govt’s decision to increase wage ceiling for mandatory EPFO contribution will be implemented on Thursday, which happens to be Vishwakarma Puja.