Call for Timely Wage Ceiling Revision: Supreme Court Directs Central Government on EPFO Limits

The Supreme Court has urged the central government to decide on revising the Employees Provident Fund Scheme's wage ceiling. Activist Naveen Prakash Nautiyal's plea emphasizes that the current Rs 15,000 limit is outdated, excluding many workers from social security benefits. The petition seeks regular, metric-linked updates to the ceiling.

The Supreme Court of India has directed the central government to make a decision within four months regarding the revision of the wage ceiling for the Employees Provident Fund Scheme (EPFO), a limit that has remained unchanged for 11 years. The directive follows a petition by activist Naveen Prakash Nautiyal, who argues that the existing ceiling of Rs 15,000 per month is outdated and excludes many workers from the scheme's benefits.

Advocates Pranav Sachdeva and Neha Rathi, representing Nautiyal, highlighted the inconsistency in wage revision frequency, stating that it fails to align with economic indicators like inflation and minimum wages. They noted that despite recommendations for a periodic review, approvals by the Central Board (EPF) in 2022 have yet to prompt action from the government.

Nautiyal's plea seeks to enforce fundamental rights under Articles 14 and 21, calling for a consistent review policy to prevent the scheme from becoming exclusionary. The petition argues for metric-based revisions to expand coverage and fulfill the scheme's social welfare objectives more effectively.

(With inputs from agencies.)