India, Sept. 16 -- The Union Cabinet, chaired by Prime Minister Narendra Modi, has approved raising the wage ceiling for mandatory EPFO coverage from Rs 15,000 to Rs 25,000 per month. The decision is expected to bring more than 51 lakh additional employees within the statutory social security framework.

At present, employees joining a job at wages above Rs 15,000 per month are not automatically covered under the mandatory EPF framework. Raising the ceiling will bring a larger section of workers earning between Rs 15,000 and Rs 25,000 within statutory coverage, providing access to provident fund savings, pension benefits under the Employees' Pension Scheme and insurance protection under EDLI, subject to applicable scheme provisions.

The...