Top News

EPF Withdrawal Rules Change: The Employees' Provident Fund Organization (EPFO) has simplified the online PF withdrawal process. Now the subscribers will not need to upload a verified photocopy of the check or bank passbook to withdraw money from their EPF account. Apart from this, the requirements of verification of bank accounts by the employer have also been abolished.

Why did EPFO ​​make this change?

This new rule will benefit about seven crore EPF account holders across the country. This will speed up the claim settlement process and also increase the ease of doing business for employers.

What was required for EPF withdrawal earlier?

Earlier, EPF account holders used to upload a verified photocopy of the check or passbook of the bank account linked to their UAN (Universal Account Number) or PF account while applying for online withdrawal. Along with this, verification of bank account by the employer was also required. But now, both these requirements have been abolished.

What will be the benefit of this new rule of EPFO?

Faster claim settlement: The EPF withdrawal process will be faster than before.

Reduction in rejection of claims: Problems related to bank account verification will now be over.

All account holders will get benefits: Now this rule has been implemented for all EPF account holders.

Employers' workload will be reduced: Now employers will not have to bear the responsibility of verifying the bank account.

The test was being done from 28 May 2024-
This change was implemented on 28 May 2024 for some KYC-updated members on a trial basis. During this time 1.7 crore EPF contributors got its benefit. After successful testing, it has now been implemented for all EPF account holders.

EPFO's official announcement-

The Ministry of Labor said, "These requirements have been abolished to ensure 'ease of life' for EPF members and 'ease of business' for employers."

Now there will be no need to upload a photo of the check or passbook for EPF withdrawal.

The requirement of verification of bank accounts by the employer has been abolished.

The claim settlement process will be faster and the number of rejected claims will decrease.

This new rule has become applicable to all EPF account holders.

It has been successfully tested from 28 May 2024 and now it has been fully implemented.

Disclaimer: This content has been sourced and edited from Hr Breaking. While we have made modifications for clarity and presentation, the original content belongs to its respective authors and website. We do not claim ownership of the content.