Employees Provident Fund Organisation (EPFO), a retirement fund, announced on August 20 that it added 12.83 lakh net subscribers in June 2021.
In terms of payroll data, the influence of the COVID-19 pandemic's second wave waned in June 2021, resulting in a massive increase in net payroll increases compared to April and May 2021.
Around 8.11 lakh new members have come under the social security coverage of the Employees' Provident Funds Scheme for the first time out of the total 12.83 lakh net subscribers added during the month.
During the month, around 4.73 lakh net subscribers left EPFO but returned by changing occupations within EPFO-covered enterprises.
This demonstrates that the majority of subscribers choose to keep their EPFO membership by transferring cash from a previous job to their current PF account rather than filing for a final withdrawal of their PF earnings.
When comparing payroll data by age group, the age group of 18-25 years has the biggest number of net enrolments, accounting for about 6.15 lakh additions, or 47.89 percent of overall net additions in June 2021. The age group of 29-35 is next, with a net payroll increase of roughly 2.55 lakh. Payroll data by age shows that a high proportion of first-time job searchers are joining the organized sector employment.
EPFO offers members a provident fund, pension benefits upon retirement, and family pensions and insurance payments in the event of the member's untimely death. EPFO is the country's primary institution in charge of providing social security benefits to workers in the organized and semi-organized sectors who are covered by the EPF and MP Act of 1952.