The Employees’ Provident Fund Organisation (EPFO) will launch a Know Your Customer (KYC) drive in mission mode to help return money locked in inoperative accounts to claimants, Union labour and employment minister Mansukh Mandaviya said on Friday.
What steps is EPFO planning to simplify claims and settlements?
Speaking at the inaugural event of a newly constructed EPFO regional office in Gujarat, Mandaviya said the government will launch a “dedicated digital platform” to simplify the process of filing claims and ensuring smooth settlement to the rightful claimant.
How many inoperative EPFO accounts are there, and how much money is stuck?
There were 2.15 million inoperative EPFO accounts as on March 31, 2024, with money amounting to Rs 8,505 crore, according to a written reply in the Lok Sabha by Minister of State in the labour ministry Shobha Karandlaje. In the same year, the amount settled from inoperative accounts to concerned beneficiaries was Rs 2,632 crore. The amount of money stuck in such accounts jumped over five-fold between 2018-19 and 2023-24, from Rs 1,638.4 crore in the earlier year.
What are EPF Suvidha Providers and who will they help?
Additionally, Mandaviya announced a mechanism of EPF Suvidha Providers, who will work as authorised facilitators to guide members, especially first-time users, in resolving issues and accessing benefits.
What did Mandaviya say about India’s social security coverage?
“Before 2014, as per the International Labour Organisation (ILO), India had only 19 per cent social security coverage. Today, this has risen to 64 per cent, with international organisations like the ILO and International Social Security Association (ISSA) commending India’s progress. Today, 94 crore (940 million) people are covered under social security protection, making India the second-largest in the world in social security coverage after China,” Mandaviya said.
What is the government’s target for expanding social security coverage?
The minister had previously set a target of expanding social security coverage to 1 billion workers, from the current ILO estimate of 940 million by March 2026.
