New Delhi. The central government is once again working towards making major changes in the social security schemes to workers and salaried employees. This time the center of discussion is to increase the existing salary limit of Employees Provident Fund (EPF) and Employees State Insurance Scheme (ESIC). If this proposal is implemented, lakhs of employees of the country can get direct benefits.

Plan to increase social security net

The government aims to connect more and more employees to the social security network. Presently many employees fall in such a category, who are not able to avail the benefits of schemes like EPF and ESIC due to their salary being above the fixed limit. Under the proposal, these limits are being considered to be modified to include more people in it.

Changes in EPF and ESIC limits possible

As per the current rules, the salary limit for EPF is set at ₹15,000, while for ESIC the limit is ₹21,000. The government is considering increasing these limits to approximately ₹25,000 to ₹30,000. With this, even those employees who are currently out of its scope will start getting the benefits of these schemes.

Impact on employees and companies

If this change is implemented then employees can get big benefits in the long run. There will be more contribution in their provident fund account, which will also increase the amount they get at the time of retirement. However, this decision will also impact companies as they will have to contribute for more employees, which is likely to increase their costs.

Retirement fund will be strengthened

Let us tell you that increasing the salary limit will strengthen both the savings and social security of the employees. With more people coming under the ambit of PF and ESIC, financial security after retirement will improve.

Final decision possible soon

At present this proposal is under consideration and the government is discussing with various parties. The final decision has not been taken yet, but if it is approved then it can prove to be a big and important change for the working class of the country.