Indian EPFO subscribers will soon be able to easily withdraw their Employees’ Provident Fund (EPF) directly to their bank accounts using UPI, streamlining access to their funds.
IMAGE: Illustration: Dominic Xavier/Rediff.com
Key Points
- EPFO subscribers will soon be able to withdraw EPF funds directly to their bank accounts via UPI.
- The new UPI facility aims to streamline EPF withdrawals and reduce processing times for over seven crore members.
- EPFO is also using WhatsApp to enhance outreach and provide 24/7 support to members in local languages.
- The organisation has significantly reduced pending litigation cases through focused initiatives and programmes.
- Auto-settlement mode limit for EPF withdrawals has been raised to Rs 5 lakh, enabling quicker access to funds for various needs.
EPFO subscribers will soon be able to withdraw their employees’ provident fund and transfer it directly to their bank accounts through the UPI payment gateway, as testing of the facility has been completed, said Labour Minister Mansukh Mandaviya.
Talking to reporters, the minister stated that the Employees Provident Fund Organisation (EPFO) is taking various initiatives to improve the quality of service delivery.
“We have completed the testing of the facility where members can withdraw EPF (employees’ provident fund) through the use of the UPI payment gateway. The withdrawn amount will be directly transferred into the bank account of the member,” Mandaviya said on Tuesday.
Streamlining EPF Withdrawals with UPI
The labour ministry has been working on a project where a certain proportion of the EPF will be frozen, and a large chunk will be available for withdrawal through their bank account using Unified Payment Interface (UPI).
Subscribers will be able to see the eligible EPF balance available to transfer into their seeded bank accounts.
They will be allowed to use their linked UPI pin for completing the transaction to ensure a secure transfer of money into their bank accounts.
Once the money is transferred into bank accounts, members can use the money as they want, like making payments electronically or withdrawing through bank ATMs using debit cards.
The Employees’ Provident Fund Organisation (EPFO) has been trying to resolve software glitches for the smooth implementation of this system, which will benefit over seven crore members.
At present, EPFO members have to apply for withdrawal claims to access their EPF money, which is time-consuming.
Faster Claim Settlements and Increased Limits
Under the auto-settlement mode, the withdrawal claims are settled electronically without manual intervention within three days of filing the application form.
The limit of this auto-settlement mode has already been raised to Rs 5 lakh from the existing Rs 1 lakh.
This facilitates a large number of EPFO members to access their EPF money within three days for illness, education, marriage, and housing purposes.
Enhanced Outreach via WhatsApp
The minister informed that the EPFO has taken the initiative to use WhatsApp for enhancing outreach and streamlining member services.
EPFO has planned to use the WhatsApp platform with the objective of enhancing outreach and streamlining member services.
The major reasons for using the WhatsApp channel for communications include its use by most mobile users.
Under this facility, the members can simply type ‘Hello’ to EPFO’s registered WhatsApp number, which is verified by a green tick mark for safety and assurance, to initiate the conversation with EPFO.
They can also choose to receive messages from EPFO on their mobile number registered with EPFO.
All communication will be through the local/vernacular language, enabling
greater comfort for members to engage with EPFO in their language.
The members will have 24/7 access, and the automated systems can handle repetitive queries around the clock.
The initiative will focus on members eligible under PMVBRY, who have pending gaps, such as non-completion of Aadhaar Authentication via UIDAI’s Face Authentication technology (FAT) or non-enablement of DBT for their Aadhaar-linked bank account.
Such Members will receive targeted support for resolution on WhatsApp itself.
It will also focus on members requiring guided facilitation to enable quick and seamless access to essential EPFO services, such as viewing PF Balances, the last 5 transactions, claim status, etc.
This service is expected to be launched in a month.
Reducing Litigation and Ensuring Timely Resolution
The minister also informed that the EPFO has undertaken a focused, mission-mode initiative to reduce litigation and ensure the timely resolution of pending cases across various legal forums.
It launched a dedicated mission mode drive for the disposal of cases pending before consumer courts.
Under the “Nidhi Aapke Nikat (NAN)” programme, cases were identified in advance and taken up for expedited resolution.
As a result, the number of pending consumer cases declined significantly from 4,936 as of April 1, 2024, to 2,646 as of March 31, 2026, the minister said.
EPFO is also proactively identifying cases pending before consumer courts and reaching out to citizens through Nidhi Aapke Nikat to facilitate faster grievance redressal.
The overall pendency of litigation cases has reduced from 31,036 cases as of April 1, 2025, to 27,639 cases as of April 1, 2026, reflecting a reduction of 3,397 cases.
This marks the lowest ever level of litigation pendency in EPFO.
Special emphasis was also placed on reducing long-pending cases.
Consequently, the number of cases pending for more than 10 years declined from 8,539 to 4,665, registering a reduction of 3,874 cases, or nearly 45.4 per cent.
In another important initiative to reduce litigation, EPFO conducted a nationwide special campaign during February-March 2026 for cases pending before Central Government Industrial Tribunals (CGITs).
The campaign focused on disputes relating to interest payable by employers on delayed remittances under the Employees’ Provident Funds and Miscellaneous Provisions Act, 1952. Zone-wise Nodal Officers were appointed to coordinate with stakeholders and various CGITs.
This initiative resulted in the disposal of 353 appeals, while efforts are continuing for expeditious disposal of another 650 related cases.
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