EPFO Adds Record 19.5 Lakh New Members In May As Employment Rises | Personal Finance News

The total number of net additions represents a 19.62 per cent increase compared to the corresponding figure for May 2023. The surge in membership is attributed to increased employment opportunities, a growing awareness of employee benefits, and the effectiveness of EPFO’s outreach programs.

The data indicates that around 9.85 lakh new members have enrolled during May 2024. There is an increase of 10.96 per cent in the new members from the previous month of April 2024 and 11.5 per cent increase from the previous year, May 2023.

A noticeable aspect of the data is the dominance of the 18-25 age group, constituting a significant 58.37 per cent of the total new members added in May 2024. This is in consonance with the earlier trend which indicates that most individuals joining the organised workforce are youth, and primarily first-time job seekers.

In addition, the net payroll data for the age group 18-25 for May 2024 is the highest since the first payroll data was published. The payroll data highlights that approximately 14.09 lakh members exited and subsequently re-joined EPFO. This figure depicts year-over-year growth of 23.47 per cent compared to May 2023. 

These members switched their jobs and re-joined the establishments covered under the ambit of EPFO and opted to transfer their accumulations instead of applying for final settlement, thus, safeguarding long-term financial well-being and extending their social security protection.

Gender-wise analysis of payroll data unveils that out of the new members added during the month, around 2.48 lakh are new female members. This figure exhibits year-over-year growth of 12.15 per cent compared to May 2023. 

Also, the net female member addition during the month stood at around 3.69 lakh reflecting year-over-year growth of 17.24 per cent compared to May 2023. The surge in female member additions is indicative of a broader shift towards a more inclusive and diverse workforce.

State-wise analysis of payroll data denotes that net member addition is highest in the five states/ union territories of Maharashtra, Karnataka, Tamil Nadu, Gujarat, and Haryana. These states constitute around 58.24 per cent of net member addition, adding a total of 11.36 lakh net members during the month. Of all the states, Maharashtra is leading by adding 18.87 per cent of net members during the month.