EPFO Reports 9% Growth in Member Additions for August 2024, Driven by Youth Employment and Job Switchers
The Employees’ Provident Fund Organisation (EPFO) reported a substantial increase in net member additions for August 2024, with 18.53 lakh new members joining, representing a 9.07% year-on-year (YoY) growth compared to August 2023. This growth reflects improved employment opportunities and a greater awareness of employee benefits, driven by EPFO’s enhanced outreach initiatives.
A large portion of these new additions were first-time job seekers, particularly from the 18-25 age group. Out of the 9.30 lakh new members, 59.26% belonged to this age bracket, continuing a trend of young individuals entering the formal workforce. In this group, the payroll data showed an addition of 8.06 lakh members, highlighting the consistent flow of youth into organized employment sectors.
The data also showed that around 13.54 lakh members exited and later rejoined EPFO-covered establishments, reflecting a 14.03% YoY increase. These members opted to transfer their provident fund balances after switching jobs rather than withdrawing them, which strengthens their long-term financial security and maintains their social security coverage.
Female workforce participation also saw a steady rise, with around 2.53 lakh new female members joining in August, marking a 3.75% YoY increase. Net female membership for the month stood at 3.79 lakh, reflecting a 10.41% growth compared to August 2023. This increase signals progress towards gender diversity and inclusion in the organized workforce.
State-wise analysis revealed that Maharashtra, Karnataka, Tamil Nadu, Haryana, and Delhi contributed significantly to the net member additions, accounting for 59.17% of the total growth. Maharashtra led with 20.59% of the overall additions, while states like Gujarat, Telangana, and Uttar Pradesh also contributed significantly, each adding more than 5% of the total net members.
Sector-wise data showed growth in industries such as trading, engineering, construction, agriculture, and beedi making. Approximately 40.36% of new members were from expert services like manpower supply, security services, and contract-based jobs, indicating a high demand for these roles across various sectors.
EPFO began releasing monthly payroll data in April 2018, covering member additions, exits, and re-enrollments from October 2017 onwards. This data serves as an important indicator of employment trends in the organized sector, using Aadhaar-linked Universal Account Numbers (UANs) to track member activity.
In related developments, Union Minister Mansukh Mandaviya is set to launch the ‘eShram-One Stop Solution’ initiative in New Delhi. This platform aims to provide unorganized workers with easier access to multiple social welfare schemes, aligning with the government’s broader goals to enhance social security for workers in the unorganized sector, as outlined in the recent Union Budget.
