The winter session of Parliament, which began on Monday, saw members raise questions on the wage ceiling and pension-related provisions under the Employees’ Provident Fund and the Employees’ Pension Scheme (EPS-95).
Labour and Employment Minister, Mansukh Mandaviya, was asked whether the central government has any plans to increase the EPF wage ceiling from Rs 15,000 to Rs 30,000? There were other questions on pension on higher wages, as well as plans on increasing the minimum pension under the Employee Pension Scheme, 1995.
The government in a written reply responded as saying:
All employees of an establishment registered with EPFO, drawing wages up to Rs 15,000 are mandatorily required to be covered.Raising the wage ceiling for coverage under EPFO is done based on extensive stakeholders’ consultations.As per the Code on Social Security, 2020, gig workers, there are provisions for social security measures for gig workers and platform workers on matters relating to life and disability cover, accident insurance, health and maternity benefits, old age protection, etc.EPF pension on higher wages
Lok Sabha members also sought details from the government on implementation of the judgment of Supreme Court in a time bound manner on a matter related to fixation and disbursement of EPF pension on higher wages, and if there are any plans to increase the minimum pension of EPF.
The government responded, saying that EPFO has taken necessary actions to implement the directions contained in Hon’ble Supreme Court Judgement dated 04.11.2022 in a time bound manner.
An online facility received 17.49 lakh applications from pensioners and members for validation of joint options as on the final date of submission— July 11, 2023. Of which, around 15.24 lakh applications were forwarded by employers to EPFO in the last date of January 31, 2025. Nearly 99 percent of applications received in EPFO have been disposed as on November 24, 2025.A total of 4,27,308 demand letters have been issued, of which 34,060 cases were found ineligible.Around 2,33,303 applicants have deposited the demand amount. Of which 96,274 are continuing in service and 1,37,029 have already retired.PPOs have been issued to 1,24,457 retired applicants, while 12,572 PPOs are under finalization.Enactment of provisions under EPS-95
On the question of the pro-rata basis for calculation of pension, the government said that the provision is provided in Para 12 of the Employees' Pension Scheme and is equitable, treating both categories of pensioners — pensioners under wage ceiling and those with higher wages — on an equal footing.
“Hon'ble Supreme Court also did not find the same ultra-vires,” read the response from the labour ministry dated December 1, 2025. Furthermore, the government responded with more details:
The corpus of the Employees’ Pension Fund is made up of contribution by the employer at 8.33 percent of wages, and contribution from central government through budgetary support at 1.16 percent of wages up to Rs.15,000 per month. The fund is valued annually as mandated under paragraph 32 of the EPS 1995— and as per the valuation of the fund as on March 31, 2019, there is an actuarial deficit.Questions were also raised around the government’s plans to increase the minimum pension under EPS-95 from 1,000 to 7,500 per month. The labour ministry responded as saying:
The government is providing a minimum pension of Rs 1,000 per month to the pensioners under the EPS 1995 by providing budgetary support, and in addition to the budgetary support of 1.16 percent of wages provided annually towards EPS to Employees’ Provident Fund Organisation (EPFO).“The Government of India is committed to ensure maximum benefits for workers under the EPS-95 scheme, duly taking into consideration the health of the respective funds as well as the future liabilities thereon,” the response from ministry of labour and employment reads.
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