The recently increased minimum wages in Uttar Pradesh and Haryana have sparked a new debate. Experts suggest that this could push a large number of workers out of the mandatory coverage ambit of the Employees' Provident Fund Organization (EPFO), as the salary ceiling for PF eligibility currently remains fixed at ₹15,000 per month.

**Wages Rise, but Rules Remain Outdated**

In districts of UP such as Ghaziabad and Gautam Buddha Nagar, the salaries of semi-skilled and skilled workers have risen above ₹15,000 as of April 1st. Meanwhile, in Haryana, the minimum wage for even unskilled workers has reached ₹15,220. Under current regulations, enrollment in the EPFO ​​is mandatory for those earning up to ₹15,000; however, for salaries exceeding this amount, participation becomes optional.

**A Nationwide Trend**

According to reports, the minimum wage for semi-skilled and skilled workers in most states and Union Territories across the country now falls within the range of ₹15,000 to ₹20,000. In states like Delhi and Kerala, this figure has reached approximately ₹22,000 for certain categories of workers. Consequently, a significant number of employees risk falling outside the scope of mandatory PF coverage.

**Growing Calls to Raise the Ceiling**

The Central Government is currently considering raising the EPFO ​​salary ceiling to ₹25,000; however, a final decision on this matter remains stalled due to opposition from employers. Experts argue that, given the prevailing circumstances, raising this ceiling has become imperative to ensure that even lower-income employees remain within the fold of social security.

**Major Challenges in Compliance**

Labor experts have also expressed concern that minimum wage regulations are not being properly implemented by many small establishments and contractors. As a result, workers are facing a double blow: they are receiving neither their full wages nor social security benefits such as PF.

**What Lies Ahead?**

If the EPFO ​​salary ceiling is not revised, an even larger number of employees could find themselves excluded from the social security framework in the near future, potentially compromising their financial security.

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