EPFO adds 18.36 Lakh Net Members in the Month of June 2022

The provisional payroll data of EPFO released on 20th August, 2022 highlights that EPFO has added 18.36 lakh net members in the month of June, 2022. For the month of June, 2022 the net member addition has increased by 9.21% as compared to the previous month of May, 2022.

Payroll comparisons between the same months in the previous years of 2021 and 2022 show that the number of net subscribers added in June of 2022 increased by 5.53 lakh.

Around 10.54 lakh of the 18.36 lakh new members who were enrolled this month were the first to be covered by the EPF & MP Act, 1952. Since April 2022, there has been a rising trend in new member joining. A total of 7.82 lakh net members switched positions inside EPFO-administered workplaces, rejoined EPFO, and chose to transfer funds from their prior PF account to their current account rather than request a final PF withdrawal. The number of new students that enrolled this month was higher than the monthly average during the previous financial.

The age group of 22 to 25 years has experienced the highest number of net enrolments, with 4.72 lakh additions during June 2022, according to a comparison of payroll data by age. This demonstrates that a significant percentage of first-time job searchers are entering the workforce in the organised sector.

The establishments covered in the states of Maharashtra, Karnataka, Tamil Nadu, Haryana, Gujarat, and Delhi continue to be in the lead by adding about 12.61 lakh net members during the month, which is 68.66% of the total net payroll addition across all age groups, according to a comparison of payroll figures by state.

An examination of enrolment by gender reveals that there are now 4.06 lakh net female members, up from 3.43 lakh in the previous month, representing an increase of 18.37%. Additionally, it has been noted that female worker participation in the organised sector has increased significantly during the past 12 months. As a result, from 20.37% in May 2022 to 22.09% in the month of June 2022, the percentage share of net female member addition has increased.

The classification of industry-wise payroll data indicates that mainly two categories i.e. ‘expert services’ (consisting of manpower agencies, private security agencies and small contractors etc.) and ‘Trading-Commercial establishments’ constitute 47.63% of total member addition during the month. Comparing industry-wise data with that of previous month, higher enrollments have been noticed in industries namely, ‘Schools’, ‘Garments making’, ‘Expert services’ & ‘Textile’ etc.

The payroll data is provisional because it is continually generated as part of the ongoing process of updating employee records. As a result, the historical data is updated each month. The EPFO began providing payroll information in April 2018 for the period beginning in September 2017.

EPFO’s payroll is a part of the organized sector workforce for those establishments which are covered under the provisions of Employees’ Provident Funds & Miscellaneous Provisions Act, 1952. It is a social security organization, which provides provident fund, pension benefits to the members on their retirement and family pension & insurance benefits to their families in case of untimely death of the member.