Withdrawing money from your PF account will become even easier than from mutual funds; the amount will be credited in just two days.
Gone are the days when you had to make repeated visits to offices and wait weeks just to withdraw money from your PF account. Ramesh Krishnamurti, Central Provident Fund Commissioner (CPFC) of the Employees' Provident Fund Organisation (EPFO), has stated that the EPFO has cleared almost the entire backlog of claim settlements. Moving forward, most claims filed by PF members will be settled either on the same day or within two days.
Krishnamurti said, "We have completed almost all pending claim settlement work. Under the new system, we are observing that up to 90 percent of claims are being auto-settled. We expect that most claims filed by members will be settled either on the same day or within a maximum of two days." This implies that withdrawing money from a PF account has now become even easier than redeeming mutual fund investments.
**Streamlined operations through EPFO reforms **
Speaking at a FICCI event, Krishnamurti stated that the EPFO's new employment schemes and ongoing reforms focus on simplifying regulatory compliance for employers while providing world-class services to members. The organization is now concentrating on compliance-related reforms to ease operations for employers and strengthen trust in the EPFO as a reliable social security institution for both employers and employees.
**Building trust among employees and employers**
He emphasized, "I want to highlight that the objective of the EPFO's new employment schemes and reforms is to provide world-class services to our members. I have assured all employers that we will now focus on compliance-related reforms. We hope to further simplify the operational interface between employers and the EPFO. These reforms will boost the confidence of both employees and employers, allowing them to view the EPFO as a trusted partner for their social security and retirement planning."
**Payments via BHIM App**
Krishnamurthy stated that the EPFO will launch a facility to settle provident fund claims using the BHIM app. This will allow claim amounts to be deposited directly into members' UPI-linked bank accounts. The system is expected to be implemented within about a month. As our Minister has indicated, we will initiate the claim settlement process via the BHIM app, with settlements made to UPI-linked bank accounts; this system will be rolled out within a maximum of one month.
**Protection for Delivery Personnel**
Regarding bringing gig and platform workers under the social security umbrella, Krishnamurthy noted that the government's new social security bill includes provisions for a special scheme for gig workers, platform workers, and those in the unorganized sector. This will benefit daily wage laborers alongside delivery personnel. He added that once the government announces the scheme, it will also specify the implementing agency. Under the Social Security Code, there is a provision for the government to introduce a scheme specifically for gig workers, platform workers, and unorganized sector workers.
**Indications Regarding Interest Rate Hikes**
Krishnamurthy remarked that it would be premature to comment on raising EPFO interest rates at this stage. The current interest rate stands at 8.25 percent. We have successfully credited the interest—a significant achievement for the EPFO. In a single instance, interest was credited to the accounts of over 34 crore members by July 3, with approximately ₹1.44 lakh crore transferred at the 8.25 percent rate. I consider this a major milestone.
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