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Dr. Mansukh Mandaviya Chairs 238th Central Board of Trustees (CBT) Meeting of EPF

Key updates on EPF reforms, Vishwas Scheme, doorstep Digital Life Certificate, and digital transformation for members.

Major Decisions Taken by the CBT

During the 238th CBT meeting, chaired by Union Minister Dr. Mansukh Mandaviya, several major reforms were approved to simplify and modernize EPF services for members.

1. Simplified EPF Partial Withdrawals

The CBT has simplified and liberalized partial withdrawals for members to meet financial needs without compromising retirement savings.

  • Merged 13 complex provisions into 3 categories: Essential Needs (illness, education, marriage), Housing Needs, and Special Circumstances.
  • Members can now withdraw up to 100% of eligible balance including both employee and employer contributions.
  • Education withdrawals allowed up to 10 times and marriage withdrawals up to 5 times.
  • Minimum service period reduced to 12 months for all partial withdrawals.
  • Special Circumstances withdrawals no longer require explanation.
  • Mandatory minimum balance of 25% ensures continued high-interest compounding.
  • Premature final settlement period extended from 2 to 12 months, and pension withdrawal from 2 to 36 months.

2. Vishwas Scheme to Reduce Litigation

The Vishwas Scheme aims to reduce EPF-related legal disputes by rationalizing penal damages.

  • Penal damages reduced to 1% per month with graded rates for short defaults.
  • Applies to ongoing, finalized, and pre-adjudication cases under Section 14B.
  • Helps both employers and members save on legal costs, ensures timely compliance, and simplifies penalty calculations.
  • Scheme duration: 6 months, extendable by another 6 months.

3. Doorstep Digital Life Certificate Services

EPFO will partner with India Post Payments Bank (IPPB) to provide doorstep Digital Life Certificate (DLC) services for EPS pensioners.

  • Cost: Rs 50 per certificate, fully borne by EPFO.
  • Service available for elderly pensioners, especially in remote areas.
  • Ensures timely pension continuity and faster family pension initiation.

4. EPFO Digital Transformation (EPFO 3.0)

A comprehensive member-centric digital framework was approved to modernize provident fund services.

  • Hybrid digital design integrating Core Banking Solution with cloud-native, API-first, microservices-based modules.
  • Automated, faster claim processing and instant withdrawals.
  • Multilingual self-service portal and seamless payroll-linked contributions.

5. Key Digital Initiatives Launched

  • Re-engineered Return Filing Module: Simplifies employer contributions and reduces errors.
  • Re-engineered User Management Module: Enhances system security and facilitates new office creation.
  • Upgraded e-Office Version 7: Improves workflow, document management, and faster service delivery.
  • SPARROW for APAR Management: Paperless, transparent performance appraisal system.

6. EPFO Investment and Social Security Updates

  • Four fund managers selected to manage EPFO’s debt portfolio for five years.
  • Pradhan Mantri Viksit Bharat Rozgar Yojana (PM-VBRY) launched to generate over 3.5 crore jobs (2025–2027).
  • India recognized globally for expanding social security coverage to 64.3% of the population.
  • EPFO became a member of the ISSA Bureau, enabling knowledge sharing and global best practices adoption.
  • Digital reforms include Passbook Lite, Annexure K online, and FAT-enabled UAN activation via UMANG App.

FAQs About EPF Reforms

Q1: What are the new EPF partial withdrawal rules?

Partial withdrawals are now simplified into three categories: Essential Needs, Housing Needs, and Special Circumstances. Members can withdraw up to 100% of eligible balance, with easier eligibility and fewer restrictions.

Q2: What is the Vishwas Scheme?

Vishwas Scheme reduces penal damages for delayed PF remittances to 1% per month, aiming to minimize litigation and simplify compliance for employers and members.

Q3: How will pensioners benefit from doorstep DLC services?

Pensioners can submit their Digital Life Certificate at home via IPPB’s network. EPFO bears the cost, ensuring timely pension and easier access, especially for the elderly in rural areas.

Q4: What digital reforms has EPFO introduced?

EPFO 3.0 introduces a member-centric digital platform, automated claim processing, multilingual self-service, upgraded e-office, re-engineered modules, and SPARROW for APAR management.

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