{"id":396438,"date":"2026-09-17T13:00:40","date_gmt":"2026-09-17T07:30:40","guid":{"rendered":"https:\/\/www.scconline.com\/blog\/?p=396438"},"modified":"2026-09-17T12:40:45","modified_gmt":"2026-09-17T07:10:45","slug":"cabinet-approves-epfo-wage-ceiling-limit-from-15000-to-25000","status":"publish","type":"post","link":"https:\/\/www.scconline.com\/blog\/post\/2026\/09\/17\/cabinet-approves-epfo-wage-ceiling-limit-from-15000-to-25000\/","title":{"rendered":"Cabinet approves EPFO wage ceiling hike from ₹15,000 to ₹25,000"},"content":{"rendered":"
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On 16 September 2026, the Union Cabinet, chaired by Prime Minister Narendra Modi, approved the Ministry of Labour and Employment’s proposal to increase the wage ceiling for mandatory coverage under the Employees’ Provident Fund Organisation (EPFO) from ₹15,000 to ₹25,000 per month.<\/span><\/p>\n

The proposal was recommended by the Expenditure Finance Committee<\/span> during its meeting held on 16 June 2026 following inter-ministerial consultations.<\/p>\n

The decision is expected to bring more than 51 lakh additional employees within the ambit of mandatory EPFO coverage, expanding access to provident fund savings, pension benefits and insurance protection under India’s statutory social security framework.<\/p>\n

Key Highlights<\/p>\n

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  1. \n

    The Union Cabinet has approved an increase in the EPFO wage ceiling from ₹15,000 to ₹25,000 per month.<\/span><\/p>\n<\/li>\n

  2. \n

    The existing wage ceiling of ₹15,000 was introduced in September 2014.<\/p>\n<\/li>\n

  3. \n

    Earlier, employees drawing wages above ₹15,000 per month were not automatically brought under the EPF framework and remained outside mandatory provident fund, pension and insurance coverage.<\/p>\n<\/li>\n

  4. \n

    The revised ceiling will bring a significant number of employees earning between ₹15,000 and ₹25,000 per month within the statutory social security system.<\/p>\n<\/li>\n

  5. \n

    Eligible employees will gain access to:<\/p>\n