The Employees’ Provident Fund Organisation is in the process of a huge digital transformation and initiative, this is also being called EPFO 3.0.
What Is EPFO 3.0?
EPFO 3.0 will ensure a paperless withdrawal or transfer of an employees provident fund, therefore for subscribers it is a significant and seamless transformation that is being worked upon. This process will completely put an end to delays and employees will be and transfer their provident fund savings via UPI and UPI-enabled ATMs.
All About EPFO 3.0 Launch
Labour Minister Mansukh Mandaviya had recently stated that the testing of the facility has been completed, and the service is expected to be rolled out soon. The spotlight is on the implementation and just how seamless the process will be.
How Much Can You Withdraw?
Under the new framework of EPFO 3.0, subscribers will be able to withdraw 50-75 percent of their EPF balance via UPI or UPI-enabled ATMs in most applicable conditions. This will offer simplification, instand funds and make digitalisation work for subscribers as they will not have to wait or face delays like earlier as per the planned reform.
The Auto-Settlement Limit
The auto-settlement limit has been raised from Rs 1 lakh to Rs 5 lakh, this provision has been made to allow eligible members to receive funds in their bank accounts within 72 hours for critical needs like medical treatments, education, marriage, and housing.
Core Issues EPFO 3.0 Will Fix
EPFO 3.0 will enable members to use the face authentication technology on the UMANG app for several essential needs. This contactless, AI-driven verification will eliminate the need for physical paperwork or cumbersome OTP delays, allowing users to update information and submit claims online. This will also allow new members to activate UANs directly from their smartphone as well as make the process easier for exisiting members as well.