EPFO: 79% of new UANs in FY26 generated by Gen Z employees aged 18-30 years, including 28% women

Employees Provident Fund Organisation (EPFO) enrolment data showed Gen Z comprised 79% of the new Universal Account Numbers (UANs) generated in FY26, a report by workforce solutions and talent infrastructure company Quess Corp said.

The numbers demonstrate a “generational shift in the workforce” and show that Gen Z employees are driving formal employment in India, the report, the report titled ‘Pulse FY2026: Shaping India’s Workforce Future’ added.

It analysed data from the EPFO, Periodic Labour Force Survey (PLFS) and industry sources, besides workforce trends, publicly available datasets, industry reports and macroeconomic indicators, it stated.

The report said that retail, e-commerce, logistics, services, and staffing sectors continue to act as major entry points for first-time workers.

• When it comes to the education profile, the workforce in FY26 reflects the broader transformation underway within India’s labour market, as per the report.
• The organised workforce is becoming increasingly educated, with 96% having completed at least Class 10, 61% completing Class 12 or above, and 30% holding graduate or postgraduate qualifications, it said.
• It added that that rising educational attainment, employability skills, and digital readiness are increasingly shaping workforce demand across sectors.

‘Focus must move beyond hiring to building employability’

Lohit Bhatia, Executive Director and Group CEO of Quess Corp in the statement noted that the scale at which young people are entering India’s formal workforce marks a defining shift for both employers and the economy.

“As this new generation enters the world of work, the focus must move beyond hiring to building employability. Apprenticeships are emerging as one of the most effective pathways into formal employment, giving young people the opportunity to gain industry-relevant skills, practical workplace experience and the confidence to build long-term careers,” he added.

For employers, Bhatia believes, this offers a way to develop future-ready talent from day one.

EPF account: Membership — Key highlights

According to the EPFO’s official website, employees get membership only after the application of the PF Act to their organisation / company. An employee cannot join the EPF directly. One can become a member only by way of employment in an establishment covered under the provisions of the EPF & MP Act, 1952. Thus, for workers in a firm to which the Act is not applicable, cannot join the EPF.

There is no age restriction for becoming a EPF member, but an employee who has already attained the age of 58 cannot become a member of the pension fund.

Employees who draw basic wages and dearness allowance (DA) up to ₹15,000 per month are eligible to become a member and will continue to be subscribers even after pay exceeds ₹15, 000. However, contribution to the fund will be restricted to ₹15, 000, with the employer required to match contribution.

Further, employees drawing more than ₹15,000 per month can also choose to be EPF members under para 26(6) of the EPF Scheme. The option has to be submitted to the EPF office within six months of joining of such member.

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