Union Cabinet approves raising EPFO wage ceiling to ₹25,000 per month
The Indian Union Cabinet has raised the wage ceiling for mandatory EPFO coverage from ₹15,000 to ₹25,000 per month. This policy change is expected to bring over 51 lakh additional employees under the social security umbrella.
Why it matters
This expansion significantly increases the number of workers eligible for pension and insurance benefits, impacting national labor welfare and government fiscal expenditure.
The Union Cabinet has approved the enhancement of the the wage ceiling for mandatory coverage under the Employees’ Provident Fund Organisation (EPFO) to ₹25,000 per month from ₹15,000, Minister of Information and Broadcasting Ashwini Vaishnaw said on Wednesday (September 16, 2026) during a press briefing.
In a press release, the Government said that this decision is expected to bring more than 51 lakh additional employees within the ambit of mandatory EPFO coverage.
The decision will also expand access to provident fund savings, pension protection under the Employees’ Pension Scheme (EPS) and insurance protection under the Employees’ Deposit Linked Insurance Scheme (EDLI), the statement further read
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