EPFO to enable UPI, ATM withdrawals for provident fund from June, expand pension access

The Employees’ Provident Fund Organisation (EPFO) is set to integrate Unified Payments Interface (UPI) for claim withdrawals by the end of May, aiming to streamline transactions and reduce processing time, Labour and Employment Secretary Sumita Dawra announced on Monday. Dawra highlighted that EPFO, which has 7.5 crore active members, has already automated claims up to Rs 1 lakh, introduced self-correction mechanisms, and eliminated redundant processes, bringing down claim processing time to three days.

UPI integration to improve efficiency

For the first time, EPFO has developed a centralised database, paving the way for UPI integration. “We have received suggestions from the National Payments Corporation of India (NPCI) and submitted a proposal to EPFO. Once testing is completed, we expect the UPI-based system to go live by May-end. This will allow members to view their EPFO accounts directly in the UPI interface and make auto-claims. If eligible, approvals will be instant, ensuring quick credit to their accounts,” Dawra said. Stabilising the centralised database is expected to take two to three weeks, after which the UPI frontend will be launched.

Expanded pension access and employment incentives

Dawra also announced major pension reforms, stating that EPFO’s 78 lakh pensioners will now receive benefits through a centralized pension system, allowing them to access their pensions from any bank, instead of being restricted to a few designated ones. Highlighting the government’s Employment Linked Incentive (ELI) scheme, she noted that its funding has been doubled from Rs 10,000 crore to Rs 20,000 crore. The scheme aims to benefit first-time employees, existing workers, and platform workers, with additional health coverage under the PM Jan Arogya Yojana (PMJAY).

The new measures mark a significant step toward digital transformation and improved accessibility for EPFO members across the country.

(With inputs from ANI)