New Delhi [India]: The Employees’ Provident Fund Organisation (EPFO) has achieved a historic milestone by crossing 5 crore claims settlement in a single fiscal year for the first time, Union Labour and Employment Minister Dr. Mansukh Mandaviya announced.
In the financial year 2024-25, EPFO processed 5.08 crore claims amounting to ₹2,05,932.49 crore, surpassing the 4.45 crore claims worth ₹1,82,838.28 crore settled in FY 2023-24.
Reforms Driving Faster Claim Settlements
Dr. Mandaviya attributed this achievement to a series of transformative reforms aimed at enhancing claim settlement efficiency and reducing grievances among EPFO members.
“We have implemented key measures, including an increase in the ceiling and categories of auto-settled claims, simplified member profile changes, streamlined PF transfers, and improved KYC compliance ratios. These reforms have significantly improved the efficiency of EPFO,” he said.
One of the most impactful initiatives has been the auto-claim settlement mechanism, ensuring that claims are processed within three days of submission.
Doubling of Auto-Claim Settlements
Highlighting the success of automation, Mandaviya revealed that auto claim settlements have doubled to 1.87 crore claims in FY 2024-25, compared to 89.52 lakh auto claims in FY 2023-24.
Additionally, the PF transfer claim submission process has been streamlined, significantly reducing manual intervention:
- Only 8% of transfer claims now require attestation from members and employers.
- 48% of claims are submitted directly by members without employer involvement.
- 44% of transfer requests are generated automatically.
Simplified Member Profile Corrections
The streamlined procedure for member profile corrections has significantly improved efficiency:
- 97.18% of corrections are now self-approved by members.
- Only 1% require employer approval, while office intervention has been reduced to 0.4%.
- Claim rejection rates have dropped to 1.11% by employers and 0.21% by regional offices.
Commitment to Seamless Member Services
Reaffirming the government’s commitment to improving ease of access for EPFO members, Mandaviya emphasized that EPFO will continue leveraging technology and process simplification to provide a seamless service experience.
“These reforms have not only accelerated the claim settlement process but have also contributed to minimizing member grievances, further strengthening trust in EPFO,” he concluded.