EPFO Wage Ceiling Hike: Union Cabinet Enhances Mandatory Coverage Limit

The Union Cabinet has enhanced the wage ceiling for mandatory coverage under the Employees’ Provident Funds and Miscellaneous Provisions Act, 1952, from ₹15,000 to ₹25,000 per month, with effect from 17 September 2026. The revision expands the scope of mandatory EPF coverage by bringing employees drawing basic wages up to ₹25,000 per month within the prescribed wage ceiling, subject to the applicable statutory conditions. The increase is expected to extend provident fund and allied social security coverage to a larger section of employees and correspondingly widen the compliance obligations of covered establishments. Employers will be required to assess their existing employee wage records and EPF registrations in light of the revised ceiling and ensure appropriate compliance with contribution and enrolment requirements from the effective date.

Cabinet Decision

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