EPFO Subscribers Can Withdraw PF Through ATMs From 2025, Says Labour Ministry

The Labour Ministry is upgrading its IT systems to improve services for the subscribers of the Employees’ Provident Fund Organisation (EPFO). Starting next year, EPFO subscribers will be able to directly withdraw their provident funds through ATMs, making the process more streamlined and reducing reliance on human intervention.

Labour Secretary Sumita Dawra said that the ministry is committed to improving the convenience of its services. “We are accelerating the claims process and working to simplify the system, ensuring that claimants, beneficiaries, and insured persons can access their claims through ATMs with minimal manual involvement,” ANI quoted her as saying.

She added that the system is constantly being enhanced. “Every two to three months, we are rolling out updates, and a major upgrade is expected by January 2025,” she said. The EPFO, which serves over 70 million active contributors, is central to these changes. Efforts are underway to make EPFO services more user-friendly, she said.

Regarding the extension of social security benefits to gig workers, Dawra said that progress is being made, but did not specify a timeline. “We’ve made significant strides, and the scheme is nearly finalised,” she said. The benefits could include medical coverage, provident fund, and financial assistance in case of disability.

A committee has been set up to design a framework for extending social security to gig and platform workers. These workers were officially recognised in the Code on Social Security, 2020, which lays out provisions for their welfare.

Dawra also addressed the declining unemployment rate, which has significantly reduced since 2017.

“The unemployment rate in 2017 was 6 per cent, but it has now fallen to 3.2 per cent,” she said. Additionally, she pointed out the growing workforce, with an increase in the labour force participation rate and a rise in the worker participation ratio to 58 per cent, with further growth expected.

By making these changes, the EPFO hopes to improve overall service efficiency and streamline the claims process, allowing more workers to have timely and safe access to their provident funds.