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LATEST NEWS UPDATES | EPFO data government cited to show job surge is now down -Aanchal Magazine

EPFO data government cited to show job surge is now down -Aanchal Magazine

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published Published on Jul 19, 2018   modified Modified on Jul 19, 2018
-The Indian Express

EPFO manages social security funds of workers in the organised/semi-organised sector in the country. EPF is applicable to establishments with more than 20 workers.

New Delhi:
The Employees’ Provident Fund Organisation’s (EPFO’s) enrolment numbers, which formed the basis for an ‘independent’ study released earlier this year that the government cited as an indicator of buoyancy in formal job creation in the economy, has now been sharply whittled down for each of the six months where data was released subsequently.

The downward revision in net enrolment numbers that range from 6 per cent to 21 per cent for each of the months between September 2017 and March 2018 has baffled those within the government, with the Ministry of Statistics and Programme Implementation (MoSPI) writing to the EPFO, seeking reasons for the downward revisions.

Cumulatively, for September-March 2017-18, the total net enrolment has been reduced by 12.58 per cent or 4.95 lakh to 34.40 lakh as against 39.35 lakh estimated earlier, fresh data released on June 25 showed.

While initial indicators point to duplications having been weeded out of the EPFO enrolment data and the numbers have been linked with Aadhaar, two government officials admitted that ideally such sharp revision should not have happened. “MoSPI has written to the EPFO asking for the reason but there is no reply yet,” one of the officials said.

The EPFO enrolment numbers along with data of Employees’ State Insurance (ESI) Scheme, National Pension System (NPS), General Provident Fund (GPF) were the basis for a study titled, Towards a Payroll Reporting in India by Soumya Kanti Ghosh and Pulok Ghosh in January this year, which had estimated that around 70 lakh jobs might be created in 2017-18.

EPFO enrollment
 
On the basis of EPFO data, the study had estimated that 36.8 lakh new subscribers in the age band 18-25 years had enrolled during April-November 2017 and extrapolating it for the full year, they had estimated that 55.2 lakh new subscribers would be enrolled in 2017-18. In his Budget speech for 2018-19, then Finance Minister Arun Jaitley had cited the study saying, “An independent study conducted recently has shown that 70 lakh formal jobs will be created this year.”

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The Indian Express, 6 July, 2018, https://indianexpress.com/article/india/epfo-data-government-cited-to-show-job-surge-is-now-down-5247751/


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