What Major Reforms for EPFO Did Employment Minister Mandaviya Unveil?
Synopsis
Key Takeaways
- EPFO offices will be modernized into technology-enabled service centres.
- Citizens can resolve EPF issues at any regional office across India.
- EPF Suvidha Providers will assist members in accessing benefits.
- KYC verification will be initiated for inoperative accounts.
- EPFO fund corpus stands at Rs 28 lakh crore with 8.25% interest.
Vatva (Gujarat), Dec 26 (NationPress) - The Union Labour & Employment Minister Mansukh Mandaviya unveiled plans on Friday to transform all upcoming and many existing EPFO offices into modern, technology-driven, Passport-Seva-Kendra-style single-window service centres. This initiative aims to empower citizens to resolve any EPF-related concerns at any regional office nationwide.
During the inauguration of the newly constructed Bhavishya Nidhi Bhawan of the Employees’ Provident Fund Organisation's (EPFO) Regional Office here, the minister shared that a pilot project is currently in progress in Delhi. Moving forward, beneficiaries will be able to address their issues at any regional office, eliminating the necessity to visit a specific office previously associated with them.
He emphasized that this initiative is part of extensive reforms aimed at fortifying EPFO services across the country.
Dr. Mandaviya also noted that to improve access for workers, particularly first-time users and those not well-versed with digital systems, the government will soon launch the EPF Suvidha Providers. These providers will act as authorized facilitators, assisting members in accessing benefits and resolving issues, thereby bridging the gap between citizens and the EPFO.
Recognizing that a substantial amount of workers’ money remains trapped in inoperative accounts, Dr. Mandaviya announced that the EPFO will initiate mission-mode KYC verification for these accounts and will launch a dedicated digital platform to simplify claim filing and ensure hassle-free settlements for rightful claimants. Furthermore, he revealed that India’s Free Trade Agreements (FTAs) will now incorporate social security protection provisions to guarantee that Indian workers abroad can maintain their PF contributions and access benefits upon their return, similar to the India-UK FTA.
The minister highlighted that the new facility is not just a physical structure but an Aastha Ka Kendra, symbolizing trust. He underscored the EPFO’s crucial role in nation-building, emphasizing the organization's commitment to safeguarding the savings of millions of workers.
"Today, the EPFO manages a fund corpus of Rs 28 lakh crore and offers 8.25 percent annual interest. When workers' funds are with the EPFO, they are backed by the Government of India," he stated, referring to the new office as a “Shramik Ka Mandir”. He remarked, "We can truly honor the Shram Shakti of our nation only through integrity and value-driven work."
Dr. Mandaviya pointed out that under Prime Minister Narendra Modi's leadership, India has experienced a remarkable expansion in social security. "Before 2014, India had only 19 percent social security coverage according to the ILO. Today, that figure has surged to 64 percent, with international organizations like the ILO and ISSA praising India's progress."
"Currently, 94 crore individuals are covered under social security, making India the second-largest in the world in this regard, trailing only behind China. By March 2026, India aims to ensure coverage for 100 crore citizens,” he added. This expansion showcases the Government’s steadfast commitment to providing a secure and dignified life for every worker.
Detailing the reforms, he mentioned that the EPFO is continually evolving with streamlined and technology-led processes: settlements of up to Rs 5 lakh are now automatically processed, withdrawals of up to 75 percent of EPF balances are easily permitted, account transfers have been made seamless, and EPF-related issues can now be resolved at any EPFO regional office nationwide, regardless of the member’s home location.