EPFO settles 60% claim advance cases, raises withdrawal limit to Rs 1 lakh, informs Labour Ministry

The Employment Provident Fund Organisation (EPFO) has achieved a significant milestone by resolving 60% of advance withdrawal claims through an automated payment mode. This approach has led to the settlement of 2.16 crore cases in the current financial year, surpassing the previous year's settlement of 89.52 lakh claims. 

These details were shared by the Minister of Labour and Employment, Shobha Karandlaje, in a written reply to the Lok Sabha. The minister noted that the withdrawal limit for processing advance payments has also been increased to Rs 1 lakh, aimed at enhancing the efficiency and satisfaction of consumers with the EPFO services. 

In a bid to streamline its operations further, the EPFO has automated claims under various categories such as illness, housing, education, and marriage. According to the Labour Minister, the introduction of this auto mode has expedited the process, clearing claims within a mere three-day window. "EPFO achieved a historic high of 2.16 crore claim settlement as of March 6, 2025, during the current financial year, up from 89.52 lakh in FY 2023-24," she confirmed. This leap in efficiency and service delivery reflects the organisation's commitment to improving its processes and meeting the demands of its members more effectively. 

The EPFO has also introduced new measures to simplify correction processes for member details. Members with Aadhaar-verified Universal Account Numbers (UANs) can now make necessary changes independently, reducing the need for EPFO interventions.

Presently, about 96% of corrections are completed without EPF office involvement, and over 99% of claims are submitted online. This shift towards digital operations is further evidenced by the 7.14 crore claims filed online as of early March 2025.

Moreover, the requirement for employer attestation of Aadhaar-verified UANs for transfer claims has been largely eliminated, simplifying the process for members significantly.

Additionally, the EPFO has provided a de-linking option for members whose accounts were mistakenly linked by establishments. Since the introduction of this option on January 18, 2025, over 55,000 members have successfully de-linked their accounts by February's end. This initiative is part of a broader strategy to ensure that members' accounts are accurately managed and that they have greater autonomy over their information. The introduction of upfront validations further assists in guiding members about the eligibility of their claims, thus preventing the filing of ineligible claims.