In a recent notification, the Employees Provident Fund Organisation has mandated that employers must accurately furnish gross wage data in their monthly Electronic Challan-cum-Return (ECR) filings starting from the wage month of August 2025. This move is aimed at ensuring proper implementation of the Employment Linked Incentive (ELI) Scheme.
Why This Matters
The ELI Scheme offers financial incentives to both employers and employees, but only under strict eligibility criteria—one key condition being that the employee’s gross monthly wage must not exceed ₹1,00,000.
To facilitate accurate assessment and disbursement of benefits under the scheme, employers are now required to ensure that gross wages are reported correctly in the ECR.
Key Instructions for Employers
- From August 2025 onwards, employers must:
- Enter correct gross wage details for each employee in the ECR.
- Ensure the data is error-free to avoid disqualification from ELI Scheme benefits.
- All regional, zonal, and district EPFO offices are instructed to widely publicize this directive and ensure strict compliance within their jurisdictions.
Authority and Compliance
This instruction has been issued with the approval of the Central Provident Fund Commissioner and must be treated with priority by all establishments covered under the ELI Scheme.
Employers are advised to update their payroll systems, verify employee wage data, and train HR personnel to ensure compliance with the revised requirements. Non-compliance may result in the loss of incentive eligibility, adversely affecting both businesses and workers.
For further clarification or technical support, establishments are encouraged to contact their nearest EPFO office.