New Delhi, April 3 (H.S.): The Employees' Provident Fund Organization (EPFO) has implemented two key modifications to streamline the claims settlement process, enhancing efficiency for its approximately 80 million members and easing operations for employers. These changes were announced by the Ministry of Labor and Employment, which stated that members wishing to withdraw funds online will no longer need to upload a photo of a canceled check or have their bank accounts verified by their employers. This alteration is expected to benefit over 77 million EPFO members by removing obstacles that may lead to claim rejections.

Since the launch of this initiative on May 28, 2024, 17 million EPF members have already seen positive impacts. The removal of the need to upload a check leaf or a verified bank passbook image is crucial, as it eliminates claim rejections caused by poor-quality uploads, thereby reducing complaints significantly. Additionally, EPFO has abolished the requirement for employer approval to link bank account details with the Universal Account Number (UAN). This change facilitates quicker processing, as it previously added significant delays; employers took an average of 13 days to approve requests after bank verification, while banks typically needed about 3 days.

Now, with around 36,000 daily requests from members to link bank accounts, it is noted that out of 77.4 million active contributors, 48.3 million have already linked their accounts, with 1.495 million approvals pending from employers. By removing the employer's approval requirement, EPFO aims to alleviate the administrative burden on employers and expedite the linking process for members. Those desiring to change their linked bank accounts can easily input the new account number along with the relevant IFSC code using Aadhaar OTP authentication. This streamlined approach is designed to support both members and employers, ensuring a more efficient system for managing deductions and withdrawals.

Hindusthan Samachar / Jun Sarkar