EPFO Records Highest Member Addition in April 2024: 18.92 Lakh New Members

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EPFO Reports Record Net Addition of 18.92 Lakh Members in April 2024, Marking Highest Monthly Increa

Team FS

21/Jun/2024

Key Points:

EPFO recorded a net addition of 18.92 lakh members in April 2024, the highest since April 2018.
Young adults (18-25 age group) accounted for 55.50% of the new additions.
Female participation saw a notable increase with 2.49 lakh new female members, a 35.06% rise from March 2024.

The latest provisional payroll data released by the Employees' Provident Fund Organisation (EPFO) on June 20, 2024, underscores a robust resurgence in India's employment landscape, particularly within the real estate sector. In April 2024, EPFO recorded a historic net addition of 18.92 lakh members, marking the highest monthly increase since the inaugural payroll data publication in April 2018. This remarkable surge represents a substantial 31.29% rise compared to March 2024, indicating a strong recovery and growth in employment.

Year-on-Year Growth and Demographic Trends

A year-on-year analysis reveals a solid 10% growth in net member additions compared to April 2023. This consistent increase in EPFO's membership base reflects sustained expansion and economic activity within the formal workforce.

Young Workforce Influx

The demographic breakdown of the data highlights a significant influx of new members within the 18-25 age group, constituting a substantial 55.50% of the total additions in April 2024. This trend underscores the entry of young adults into the formal workforce, often for the first time, indicating a vibrant job market and opportunities for youth employment.

Job Transitions and Continuity

Additionally, approximately 14.53 lakh members exited and rejoined EPFO establishments during the month, reflecting a 23.15% increase from March 2024. This movement suggests ongoing job transitions among EPFO-covered establishments, with many members opting for continuity in their social security benefits.

Gender-wise Insights

The gender-wise data shows a notable increase in female participation in the workforce. In April 2024, there were around 2.49 lakh new female members, marking a significant 35.06% rise in net female additions compared to March 2024. This increase highlights the growing inclusion and participation of women in the formal sector, contributing to gender diversity in the workforce.

Geographical Contributions

Geographically, states like Maharashtra, Karnataka, Tamil Nadu, Gujarat, and Haryana emerged as the top contributors to net member additions, collectively accounting for 58.30% of the total. Maharashtra led the way with 20.42% of net additions, showcasing its robust economic environment and employment opportunities.

Industry-specific Growth

Industries such as expert services, commercial trading, and engineering sectors saw significant membership growth. The expert services sector alone contributed 41.41% to the total net additions, reflecting the rising demand for specialized skills and professional services in the current economic landscape.

Conclusion

The April 2024 payroll data from EPFO presents a positive outlook on India's employment scenario, driven by government initiatives, urbanization, and economic recovery. The record net addition of 18.92 lakh members not only highlights the dynamic nature of the job market but also underscores the importance of continuous efforts to enhance employment opportunities across various demographics and sectors.

For more detailed insights and updates on employment trends and economic developments, stay tuned with Finance Saathi, your go-to source for comprehensive financial news and analysis.

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