In a significant development, the Employees' Provident Fund Organisation (EPFO) has reported a record addition of 19.50 lakh net members in May 2024, marking the highest increase since the issuance of its first payroll data in April 2018.

An official from the Ministry of Labour and Employment said that May 2024 saw a robust addition of 19.50 lakh net members, indicating a year-over-year growth of 19.62 per cent compared to May 2023. This surge is attributed to increased employment opportunities and enhanced awareness of employee benefits.The official also said that approximately 9.85 lakh new members joined EPFO in May 2024, marking a 10.96% increase from April 2024 and an 11.5 per cent increase from May 2023. Notably, the 18-25 age group constituted 58.37% of these new enrollments, reflecting a trend of youth entering the organised workforce.

But at the same time, around 14.09 lakh members exited and re-joined EPFO-covered establishments in May 2024, demonstrating a year-over-year growth of 23.47 per cent compared to May 2023. This indicates a preference among members to transfer their EPF accumulations when switching jobs, ensuring continuity of social security benefits, the official added.

The payroll data also showed a significant increase in female membership, with around 2.48 lakh new female members joining in May 2024, marking a 12.15 per cent increase from May 2023. The net addition of female members stood at approximately 3.69 lakh, reflecting a 17.24 per cent year-over-year growth.

State-wise breakdown showed that Maharashtra, Karnataka, Tamil Nadu, Gujarat, and Haryana emerged as the top states/UTs for net member additions, accounting for 58.24 per cent of the total additions. Maharashtra led with 18.87 per cent of net members added during the month.

At the same time, industries such as expert services, building and construction, garments making, textiles, and engineering products witnessed significant growth in EPFO membership. Expert services alone contributed around 42.33 per cent to the total net membership addition.