EPFO settles 11 lakh claims in July, 43 lakh since April

Retirement fund manager also updated 92% of the annual accounts due for the year 2013-14

Retirement fund manager EPFO has settled over 11 lakh claims, including transfer and withdrawal of provident fund, last month.

"Employees' Provident Fund Organisation (EPFO) has settled more than 11 lakh claims during July 2014. This has taken the cumulative total during this financial year to 43 lakh claims," said an EPFO statement.

Of the 43 lakh claims, more than 68% were settled in less than 10 days.

Besides, the EPFO also updated 92% of the annual accounts due for the year 2013-14. "This achievement is unprecedented and has happened for the first time in the last 30 years," EPFO said.

EPFO has recently issued Universal PF Account Numbers for 4.17 crore contributing members. They have been made available to the employers who in turn have to seed the numbers with KYC details such as bank account, PAN and Aadhaar.

As per latest progress review, more than 30 lakh (KYC) data has been seeded so far. EPFO has set September 15 as deadline for completing this task. These 4.17 crore UANs are expected to be operational by October 15.

The UAN will be portable throughout the working career of the members and can be used anywhere in India. Thus, they will not need to apply for transfer of PF account on changing jobs.

With a view to making inspections of establishments more transparent, objective and to bring in greater accountability on the part of inspecting staff, a new scheme has been introduced by EPFO.

The new system envisages both mandatory and optional inspection of establishments. While mandatory inspections would be applicable in respect of new coverages (firms), establishments registered on ECR portal but not complying and those establishments reported for closure.

The optional inspection would be resorted to in such cases where there is a drop in remittance or membership. It is also been decided shall be uploaded on the EPFO's website and thereby placing the same in the public domain for scrutiny.

It was also stated that social security agreements have been notified with respect to two more countries -- Finland and Sweden. The agreements are operationalised from August 1.

Under the agreement, employees who are deputed for short term assignments are exempted from making social security contributions in the country in which they are deputed provided they carry Certificate of Coverage (CoC).

Facilities also exist for totalization and portability of social security benefits.