EPFO Logs Nearly 20 Lakh Net New Members In July

Retirement fund body EPFO recorded a net addition of 19.94 lakh members in July this year, the labour ministry said on Monday. Union Labour Minister Mansukh Mandaviya said at a press conference that 10.52 lakh new or first-time workers subscribed to social security schemes run by Employees' Provident Fund Organisation (EPFO). The minister said almost 20 lakh net new members addition (19.94 lakh) was recorded in July this year. He also informed that 8.77 lakh members added in July are in the age group of 18-25 years. Nearly 6.25 lakh members aged between 18-25 years are first-time workers or new joinees, according to the latest data.

About 59.4 per cent of new joinees fall in the 18-25 age bracket. The data shows that employment of young people has increased. He also informed that 4.41 lakh female members were added by EPFO in July which includes 3.05 lakh new joinees. The minister pointed out that female employment has also increased. A labour ministry statement said that EPFO added 10.52 lakh new members in July 2024, representing a 2.66 per cent increase over June 2024 and a 2.43 per cent rise compared to July 2023. This surge in new memberships can be attributed to growing employment opportunities, increased awareness of employee benefits, and EPFO's successful outreach programmes, it stated.

According to the statement, approximately 14.65 lakh members who had exited the system rejoined EPFO in July. This figure represents a 15.25 per cent year-over-year increase. These members opted to transfer their provident fund accumulations rather than withdraw them, thus maintaining their long-term financial security. The ministry explained that the highest growth was observed in the 18-25 age group, with 8.77 lakh net additions in July 2024. This marks the largest increase for this demographic since records began and reflects the continued trend of young people, mostly first-time job seekers, entering the organized workforce.

This age group represents 59.41 per cent of all new members added during the month. It also stated that around 3.05 lakh new female members joined EPFO in July 2024, reflecting a year-over-year growth of 10.94 per cent. In total, 4.41 lakh net female members were added, marking the highest monthly addition for women since payroll tracking began, with a 14.41 per cent increase compared to July 2023. This indicates a shift towards a more inclusive workforce with growing female participation. Maharashtra, Karnataka, Tamil Nadu, Haryana, and Gujarat accounted for 59.27 per cent of the total net member additions in July 2024, collectively adding 11.82 lakh members.

Maharashtra led among States/UTs, contributing 20.21 per cent of the total new members. Significant membership growth was seen in sectors such as manufacturing, computer services, construction, engineering, banking (non-nationalized), and private sector electronic media, it stated. Notably, 38.91 per cent of net additions came from expert services, including manpower suppliers, contractors, and security services, among others.

The payroll data is provisional since the data generation is a continuous exercise, as updating employee record is a continuous process. The previous data hence gets updated every month. From April 2018, EPFO has been releasing payroll data covering the period September 2017 onwards. In monthly payroll data, the count of members joining EPFO for the first time through Aadhaar validated Universal Account Number (UAN), existing members exiting from coverage of EPFO and those who exited but re-joining as members, is taken to arrive at net monthly payroll.

(PTI)