EPFO 3.0 Reforms: New Pension Plan for Unorganised & Gig Workers with Target Retirement Sum

Cabinet Raises EPFO Wage Ceiling to ₹25,000, 51 Lakh More Workers Covered; EPS Minimum Pension Unresolved

The Union Cabinet has raised the wage ceiling for mandatory EPFO coverage from ₹15,000 to ₹25,000 after a 12-year gap, bringing an additional 51 lakh workers under social security. However, the minimum pension of ₹1,000 per month remains unchanged since 2014, with 45% of 82 lakh pensioners receiving that amount or less, sparking demands for urgent revision.

Cabinet Raises EPFO Wage Ceiling to ₹25,000; 51 Lakh More Workers Covered from Sept 17

Union Cabinet has approved raising the wage ceiling for mandatory EPFO coverage from ₹15,000 to ₹25,000 per month, effective September 17. This will bring 51 lakh additional workers under EPFO, EPS, and EDLI schemes, with annual government outgo increasing by ~₹1,089 crore.

EPFO Wage Ceiling Hiked to ₹25,000 After 12 Years: 8 Cr Subscribers Impacted

The Ministry of Labour has raised the EPFO wage ceiling from ₹15,000 to ₹25,000 after 12 years, expanding mandatory social security coverage to over 51 lakh additional workers. While this boosts retirement savings and formalisation, it may reduce take-home pay for employees earning between ₹15,000 and ₹25,000 and increase costs for employers, especially MSMEs.

EPFO Wage Ceiling Raised to ₹25,000: Mandatory Coverage for 51 Lakh More Employees

The Union Cabinet raised the EPFO wage ceiling from ₹15,000 to ₹25,000 per month, bringing over 51 lakh additional employees under mandatory social security coverage. The move aims to formalise employment and strengthen retirement savings, but trade unions call it "too little too late" while MSMEs worry about increased contribution burden.

RBI Holds Repo Rate at 5.25%; SC Judges Bill Passed as Money Bill; FCRA Amendment Sparks Controversy

This compilation covers critical current affairs for UPSC: the FCRA Amendment Bill facing opposition over asset vesting provisions, the Supreme Court (Number of Judges) Amendment Bill passed as a Money Bill despite controversy, RBI maintaining repo rate at 5.25% with a neutral stance and planning polymer banknotes launch, a new Supreme Court gender sensitivity report replacing the 2023 handbook, and Kerala's worsening floods linked to sedimentation and urbanization. All topics have high Prelims and Mains potential.

PMJDY: 15.36 Crore Accounts Inoperative, 5.72 Crore Have Zero Balance as per RTI

RTI data reveals that despite 59 crore PMJDY accounts, every fourth is inoperative and 5.72 crore have zero balance, signaling gaps in financial inclusion beyond account opening. UP leads in both zero-balance and inoperative accounts, highlighting regional disparities.

RBI Flags Consumption Loan Risk: Gen Z Unsecured Debt Hits 58.4% of Household Borrowings

Gen Z’s buy-now-pay-later lifestyle is driving a surge in unsecured consumption loans. Non-housing retail loans now constitute 58.4% of household debt, with delinquencies rising and fintechs holding 56.8% of small-ticket personal loans. The RBI has flagged these risks for close monitoring.

Centre's ₹62,500 Cr Mobile Scheme, RBI's $72.85 Bn Swap, and E20 Nationwide

The UPSC Key covers multiple critical topics: a new ₹62,500 crore mobile manufacturing scheme with two tracks, India-Mauritius fuel supply agreement, RBI's special forex swap attracting $72.85 billion, India-Bangladesh tensions over extradition, E20 ethanol fuel rollout, and unemployment data. This is a goldmine for Prelims and Mains questions across Economy, IR, Polity, and Environment.