New Delhi, Oct. 31 -- Several salaried employees have noticed a dip in their in-hand pay after receiving their October salary. Multiple posts on social media platforms such as Reddit and LinkedIn highlight this issue, with employees questioning why their take-home salary has reduced despite no change in their cost-to-company (CTC).

The reason behind your lower pay is the government's decision to raise the mandatory provident fund (PF) wage ceiling from Rs.15,000 to Rs.25,000 per month, effective from September 17. This is the first such revision in 12 years.

The previous ceiling had been in place since September 2014. The change raises the wage limit used for mandatory EPF coverage, but it does not mean every salaried worker will sudden...