The Employees Provident Fund Organisation (EPFO), which has more than 7 crore active members working in the organised private sector in the country, has ushered in some landmark reforms on the policy front this year. There are several other initiatives in the pipeline. The purpose of these changes is to simplify the process, bring more transparency and digitally empower the members. Let us know about the five most important changes of EPFO in 2025.
1. Profile updating has become very easy
EPFO has now made the process of updating the profile simpler than ever. If your Universal Account Number (UAN) is linked to Aadhaar, then you can now update details such as your name, date of birth, gender, nationality, parents’ name, marital status, spouse’s name and date of starting the job online without any documents.
However, members whose UAN was created before 1 October 2017 may need to seek the approval of their employer in some cases.
2. PF transfer is now hassle-free when changing jobs
Earlier, transferring PF when changing jobs was a long and sometimes troublesome process. Without the approval of the employer, work could not be done. But now, from January 15, 2025, this process has been made much easier.
Now in most cases, approval of the old or new employer is not required for PF transfer. This makes the PF money transferred to the new account faster and easier.
3. UAN and joint declaration process has become digital
Under the new rules applicable from January 16, 2025, EPFO has made the joint declaration process digital. If your UAN is linked to Aadhaar or Aadhaar is already verified, then you can submit the joint declaration online.
But if your UAN is not yet created, Aadhaar is not linked or the concerned member has died, then in such cases it will be mandatory to submit the physical form.
4. A centralized system started for pension payment
EPFO has started Centralized Pension Payment System (CPPS) from January 1, 2025. Under this, now the pension will be sent directly to any bank account through NPCI platform.
Earlier, PPOs (Pension Payment Orders) had to be transferred from one regional office to another for pension payment, which caused delay. Now this process has been completely abolished. Along with this, the new PPO will now be compulsorily linked to UAN, so that pensioners can also easily submit Digital Life Certificate.
5. Pension process on high salary became clear and transparent
For the employees who want to take pension on their high salary, EPFO has now clarified the entire process. Now a uniform method will be adopted for all.
If an employee’s salary is more than the prescribed limit and he wants pension on it, then he can get this facility by paying additional contribution. Apart from this, the institutions which do not come under EPFO and run their own private trust scheme, will also have to follow this process according to the rules of the trust. Payment and recovery of outstanding contributions will now be done in a different way so that the process is more transparent and trackable.
What does the changed form of EPFO mean?
It is clear from all these changes that EPFO is no longer just an investment tool, but has become a modern and digitally enabled service. By making the process easy and fast, EPFO has given great relief to employees and pensioners.