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Govt to soon decide increased EPFO, ESIC wage ceilings: Mandaviya

The labour ministry will shortly decide on raising EPFO and ESIC wage ceilings, fixing a national floor wage and increasing the minimum pension under EPS, as it targets wider social security coverage

Union Minister Mansukh Mandaviya said conflicts between industry and workers are harmful to the country’s development, and cooperation between the two is essential for workers’ welfare | (Photo: PTI)

Auhona Mukherjee New Delhi

2 min read Last Updated : Feb 06 2026 | 11:35 PM IST

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The Ministry of Labour and Employment will soon make a decision on raising the wage ceilings under the Employees’ Provident Fund Organisation (EPFO) and Employees’ State Insurance Corporation (ESIC), fixing a floor wage, and increasing the minimum pension under the Employees’ Pension Scheme, 1995 (EPS), Union Labour Minister Mansukh Mandaviya said on Friday.

Speaking at the 21st All India Triennial Conference of the Bharatiya Mazdoor Singh (BMS), Mandaviya said the sues had been flagged in recent meetings with the Centre and would be examined in the interest of workers.

Currently, the EPFO wage ceiling stands at ₹15,000 per month, while for ESIC the threshold is ₹21,000. Meanwhile, the minimum pension for the EPS is ₹1,000 per month.

According to the ILOSTAT database, India’s social security coverage in 2025 rose to 64.3 per cent, up from 19 per cent a decade ago. The EPFO’s Central Board of Trustees (CBT) has discussed the issue of raising the minimum wage ceiling for EPFO and ESIC in several recent meetings but a decision has not yet been reached, according to people aware of the matter. Trade unions and industry representatives differ in their suggestions for what the new ceilings should be.

Mandaviya said conflicts between industry and workers are detrimental to the country’s development and stressed the need for cooperation for the welfare of workers, He said that the Labour Codes will promote coordination between industry and unions.

The new Codes will also ensure equal pay between men and women and end discrimination in wages, he added.

The Code on Social Security, 2020 lays down the new provisions for social security coverage in the country, replacing nine older labour laws. The Code on Wages, 2019 states that the Centre will fix a national floor wage that would apply uniformly across all states, but a threshold is yet to be notified by the state.