New Delhi, Sept. 21 -- The enhancement of the provident fund wage ceiling from Rs.15,000 to Rs.25,000 per month is expected to have significant implications for employers and employees. The revision seeks to align statutory social security obligations with prevailing wage levels and extend retirement, pension and insurance benefits to a broader segment of the workforce.

Under the EPF framework, employees whose 'wages' (as defined under the Code on Social Security, 2020) exceed the prescribed wage ceiling may remain outside mandatory EPF coverage at the time of joining employment, if they have not previously been members of the EPF.

With the wage ceiling now increased to Rs.25,000, employees earning up to Rs.25,000 per month will be subj...