The employer will now be required to make contributions for employees who earn between INR 15,000/- and INR 21,000/-. As a result, a significant number of employees will now fall under the ambit of the Act. Preliminary market reports indicate that the additional number of employees who will come under the ambit of the Act as a result of this amendment could be around 35,00,000. This would also imply a considerable financial impact on the employers. Additionally, administrative costs will also increase as the employer would now be required to obtain declaration forms and maintain registers /records for the new set of employees.
India