The central government is set to revamp India’s social security system with a significant EPFO update in 2026. This change promises better financial protection for millions of private-sector workers. A key part of this reform is the proposed increase in the EPF wage ceiling, which has stayed at ₹15,000 since 2014. Reports indicate it could rise to ₹21,000 or ₹25,000, greatly expanding mandatory provident fund coverage.

Union Labour Minister Mansukh Mandaviya confirmed that this move aims to adjust legal benefits to match current inflation and the increasing minimum wages across different states. At the same time, the ESIC salary limit is likely to increase, allowing more workers to access important medical and sickness benefits.