India Adds 21 Lakh Formal Jobs In July As Job Growth Accelerates, EPFO Payroll Data Shows | Economy News


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India’s formal job sector added 21.04 lakh net members in July, led by EPFO, with Maharashtra, Karnataka, Tamil Nadu, Gujarat, Haryana, and Delhi as top contributors.

India’s 18-25 Age Group Drives Most New Formal Jobs

India’s 18-25 Age Group Drives Most New Formal Jobs

India’s formal job sector grew at a steady pace in July with the addition of 21.04 lakh net members, reflecting a 5.6 per cent gain from the previous year, as per provisional payroll data.

The formal job creation accelerated in July, after a weak in April and May. EPFO added 14.3 lakh members in April and 14.6 lakh in May. Meanwhile, the net addition in June stood at 19 lakh, reflecting an increase in pace.

The pickup in formal job creation activity in June-July is linked to seasonal trends due to post-academic hiring cycles.

In 2024-25 so far, net additions are lower at 1.29 crore, indicating slowdown compared to the previous two years. Net additions for 2022-23 and 2021-22 were 1.38 crore and 1.22 crore, respectively.

18-25 age bracket contributes the majority of the new payroll. It includes fresh graduate, diploma holders, ITI trainees, etc.

Which States Are Top Contributors

The top contributors in the EPFO members are from: Maharashtra, Karnataka, Tamil Nadu, Gujarat, Haryana, and Delhi dominate across all age groups.

Southern States, including Tamil Nadu, Karnataka, Telangana, Andhra Pradesh, and Kerala, are  key hubs of new payroll creation. Uttar Pradesh & West Bengal are steadily climbing as sources of formal job growth.

Which Industries Driving Formal Job Creation

According to provisional payroll data, expert services (consulting, IT, BPO, professional services), engineering and contractors and the construction industry, and trading and commercial establishments are largest contributors in the formal job sector.

Textiles, Garments, Cleaning/Sweeping Services remain large employers though with fluctuation.

Both white-collar (IT, finance) and blue-collar (construction, textiles, garments) segments are major contributors.

Varun Yadav

Varun Yadav

Varun Yadav is a Sub Editor at News18 Business Digital. He writes articles on markets, personal finance, technology, and more. He completed his post-graduation diploma in English Journalism from the Indian Inst…Read More

Varun Yadav is a Sub Editor at News18 Business Digital. He writes articles on markets, personal finance, technology, and more. He completed his post-graduation diploma in English Journalism from the Indian Inst… Read More

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