In a sweeping modernisation drive, the Employees’ Provident Fund Organisation (EPFO) has introduced major operational reforms effective from 2025. Aimed at digitising services, simplifying member procedures, and boosting transparency, these changes mark a significant shift towards a more user-friendly EPFO. The revamped processes are expected to benefit over 1.25 crore members annually, easing Provident Fund (PF) transfers worth nearly ₹90,000 crore and dramatically cutting down delays and complaints.
One of the headline changes is the overhaul of Form 13 for PF account transfers. The updated form simplifies the transfer process for members switching jobs. In another win for convenience, employers can now generate Universal Account Numbers (UAN) in bulk even before Aadhaar seeding. Additionally, a new feature in Form 13 now distinctly separates taxable and non-taxable PF savings, streamlining accurate TDS calculations and making tax compliance less of a headache for members and EPFO alike.
Profile management has also become easier. Members with UANs linked to Aadhaar can now update their personal information directly online without needing to submit supporting documents. This move not only cuts administrative red tape but also ensures faster resolution for members needing quick changes to their EPFO profile.
When it comes to PF transfers, the process has been radically simplified. Earlier, transfers typically required employer approvals — a common cause of frustration and delays. Under the new system, members whose UANs are Aadhaar-linked (and issued after October 2017) can transfer balances without employer intervention, provided Member IDs are linked. Even where different UANs exist, as long as the key personal details match, the transfer can be processed automatically.
Adding more muscle to the digital drive, the EPFO has launched the Centralised Pension Payment System (CPPS), rolling out from January 2025. CPPS ensures that pension payments are made directly to any bank through the National Payments Corporation of India (NPCI) platform. This removes the tedious requirement of transferring Pension Payment Orders (PPOs) between offices, speeds up pension disbursements, and supports easy services like submitting a Digital Life Certificate (Jeevan Pramaan). Note: linking UAN with Aadhaar is now mandatory for any new PPO issuance.
Finally, EPFO has clarified the calculation norms for higher pensions. All pensions based on higher salaries will now follow a standardised method to ensure fairness and consistency. Institutions managing their own trusts will have to fully comply with EPFO trust rules. In the interest of transparency, the recovery of dues and payment of arrears will now be handled separately — a move that pensioners and stakeholders have long demanded.
