But can a higher wage ceiling actually help bridge India’s rural-urban divide? The bigger challenge is employment itself. In 2025, only around 14% of rural workers were in regular salaried jobs, compared with around 48% in urban India. This means millions of rural workers remain outside the formal employment system that provides access to benefits such as EPFO. So, what exactly needs to change? India needs more formal jobs in rural areas, greater formalisation of small businesses and simpler access to social security services. Local camps, Common Service Centres, banks, and panchayat-level outreach can also help workers understand how the PF system works, track contributions, and access their savings. The ₹25,000 ceiling can expand coverage, but narrowing the rural-urban gap will require more formal jobs, better wages, and easier access to social security.