EPF Wage Ceiling Increased to ₹25,000: Can the Additional Employer PF Cost Be Adjusted Within Existing CTC?

With the EPF wage ceiling under Chapter III of the Code on Social Security, 2020 revised from ₹15,000 to ₹25,000 per month with effect from 17 September 2026 , an important question is coming up in HR and payroll discussions: If the employer’s PF contribution increases, can the employer reduce any allowance or other salary component and keep the employee’s overall CTC unchanged? At first glance, this may look like a…