EPFO wage ceiling hiked to ₹25,000; Labour Ministry issues Gazette notification

The Ministry of Labour and Employment has issued a Gazette notification revising the wage ceiling for the purposes of Chapter III of the Code on Social Security, 2020 from ₹15,000 to ₹25,000 per month.

The Gazette notification states: “The Central Government hereby notifies rupees twenty-five thousand (₹25,000) per month as the wage ceiling for the purposes of Chapter III of the said Code, with effect from the date of publication of this notification in the Official Gazette.”

The notification has been issued in exercise of the powers conferred by clause (89) of section 2 of the Code on Social Security, 2020 (36 of 2020).

It also states that the notification of the Government of India in the Ministry of Labour and Employment, S.O. 2702(E) dated May 29, 2026, is superseded, except in respect of things done or omitted to be done before such supersession.

The revised wage ceiling therefore takes effect from the date of publication of the notification in the Official Gazette, September 17, 2026.

The Government said the revision will 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), in accordance with the applicable statutory and scheme provisions.

The annual government outgo has been estimated at approximately ₹11,339 crore, against the existing annual budgetary support of about ₹10,250 crore. The estimated expenditure over five years is approximately ₹56,696 crore.

The EPFO wage ceiling was enhanced to ₹15,000 in September 2014. The latest revision raises the ceiling to ₹25,000 after 12 years.