69 lakh new EPFO members, yet women hold just 25% of flexi workforce: Report

India’s formal employment ecosystem added more than 69 lakh net Employees’ Provident Fund Organisation (EPFO) members between April and July 2025, underscoring the pace of workforce formalisation. However, women continue to account for a relatively small share of payroll-linked employment, highlighting a persistent gender imbalance in the labour market.

According to Quess Corp’s Pulse H1 FY2026: India’s Workforce Landscape & Quess Corp’s Role in it report, EPFO recorded 69.03 lakh net member additions during the four-month period. The figures point to sustained growth in formal employment, even as female representation remains below national workforce averages.

Formal workforce expansion gathers pace

The report shows a steady rise in monthly EPFO additions during the period:

• April 2025: 14.31 lakh net additions
• May 2025: 14.62 lakh net additions
• June 2025: 19.05 lakh net additions
• July 2025: 21.04 lakh net additions

Nearly 48 lakh net additions were recorded in the first quarter of FY26 alone, reflecting continued momentum in bringing workers into the formal employment system.

The data suggests formalisation is accelerating across industries, supported by increasing payroll enrolments and broader adoption of social security coverage.

Gender gap remains a structural challenge

Despite the growth in formal jobs, women remain significantly underrepresented in the workforce.

According to the Quess report:

• Female Labour Force Participation Rate (LFPR): 33.7%
• Women’s share of the flexi workforce: 25%
• National workforce average for women: around 34.3%

An analytical reading of the data indicates that rapid formalisation alone has not translated into proportional gains in female workforce representation.

Quess’s internal workforce data reveals an even wider gap. Women account for 17% of the company’s workforce, representing around 82,000 workers, while men make up 83%.

The report noted that this level remains below both the 25% flexi workforce average and the 34% national workforce average.

Participation varies sharply across sectors

The report highlights significant differences in female representation across industries.

Women account for:

• 32% of workers in IT/ITeS
• 26% in HHO
• 22% in EMPI
• 20% in FMCG
• 18% in retail
• 17% in logistics

Representation falls considerably in several sectors:

• 9% in telecom
• 6% in agriculture
• 5% in public enterprises

According to the report, the disparity reflects a broader structural challenge, with women continuing to be underrepresented in sales, logistics and frontline operational roles.

Younger women form a significant share of the workforce

The report also points to a strong youth presence among female workers.

Among women employed within Quess’s workforce:

• 35% are aged 21-25
• 27% are aged 25-30
• 12% are aged 18-21

The age profile suggests younger women are entering the workforce in greater numbers, although overall representation remains comparatively low.

Formalisation linked to new UAN registrations

Workforce formalisation is increasingly being driven through Universal Account Number (UAN) creation.

Quess reported generating 26,000 new UANs during H1 FY26, bringing previously unorganised workers into the formal employment system and expanding access to social security benefits.