EPFO to Finalize Pension Applications for Higher Wages by March 31
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Synopsis
The EPFO has processed 70% of Pension on Higher Wages applications and aims to complete all by March 31, 2025. The initiative is part of efforts to enhance member benefits and streamline processing.
Key Takeaways
- 70% of PoHW applications processed
- All applications to be finalized by March 31, 2025
- Unified Pension Scheme introduced for EPFO employees
- Centralised Pension Payment System implemented
- Transition to Aadhaar-Based Payment System emphasized
New Delhi, Feb 26 (NationPress) The Employees Provident Fund Organisation (EPFO) has successfully processed 70 percent of the applications submitted under the Pension on Higher Wages (PoHW) scheme, with an objective to finalize all applications by March 31, 2025, as stated in an official announcement on Wednesday.
This update was shared by the EPFO during the Executive Committee (EC) meeting of the Central Board of Trustees, EPF, which was presided over by Labour and Employment Secretary Sumita Dawra.
The executive committee directed the EPFO to expedite the processing of cases for members who have submitted the necessary amounts, particularly for major public sector undertakings (PSUs), as indicated in the statement. The pension plan for higher wages is being executed in line with a Supreme Court ruling on the matter.
In a bid to enhance the living conditions of its members, the EPFO is also developing a strategy for streamlining claim processing, which includes improving the validation process for partial withdrawals. The committee received updates regarding this progress, noting that a technical committee has suggested simplifying validations in Form 31 for advance withdrawals.
During the meeting, the committee officially adopted the Unified Pension Scheme for EPFO officers and staff, in accordance with a recent gazette notification from the Ministry of Finance. This significant move aims to create a structured and reliable pension system for EPFO employees within the National Pension System (NPS).
Beginning April 1, 2025, the Unified Pension Scheme guarantees financial security post-retirement, providing a minimum assured pension along with extra benefits such as family pension options and adjustments for dearness relief. EPFO officers and staff can now choose to switch from the NPS to the UPS.
Additionally, the committee was informed that the Centralised Pension Payment System (CPPS) was launched across all regional offices in January 2025. This new framework allows pensioners to access their pensions effortlessly from any bank and branch throughout the country. In January 2025, 69.4 lakh pensioners successfully received their pensions via CPPS, achieving a remarkable 99.9 percent success rate.
The committee underscored the urgency of transitioning to the Aadhaar-Based Payment System (ABPS) promptly, ensuring that pension payments are directly credited into Aadhaar-linked bank accounts for enhanced security and efficiency.
The committee further evaluated the progress under CITES 2.01, which involves the EPFO migrating from decentralized databases to a centralized system. This modernization initiative is expected to be finalized by March 31, 2025, and aims to enhance claims settlement and payment processes, replacing outdated Field Office Application Software.
Moreover, the EPFO briefed the EC on the initiative called EPFO 3.0, an endeavor to evolve into a future-ready, member-focused, and technology-driven organization.
