Employees’ Provident Fund Organisation (EPFO) is preparing to roll out a significant digital upgrade that could allow subscribers to withdraw their provident fund (PF) balances through ATMs and UPI platforms.
The initiative, part of the EPFO 3.0 reform agenda, is expected to be discussed at the upcoming Central Board of Trustees meeting scheduled for October 10–11, 2025.
If approved, the new features may be introduced before Diwali, offering enhanced convenience to nearly 8 crore EPFO members across India.
EPFO 3.0 aims to modernize service delivery by introducing banking-like features, including instant access to PF funds, faster claim settlements, and a mobile-friendly interface.
Leading IT firms—Infosys, Wipro, and TCS—are developing the platform and conducting final technical assessments.
Key Features: ATM Withdrawals and UPI Integration
Under the proposed system, EPFO members will be able to withdraw a portion of their PF savings directly from ATMs using a PF-linked card.
Additionally, UPI-based transactions will allow users to access funds instantly, reducing the current processing time of two to three days via NEFT or RTGS transfers.
Members activate their Universal Account Number (UAN) and link their Aadhaar to their bank account to use these features.
The system will also support real-time claim tracking and online corrections through OTP verification, eliminating the need for physical visits to EPFO offices.
Pension Hike Also on the Agenda
Alongside the digital reforms, the Central Board of Trustees will consider a long-pending proposal to increase the minimum monthly pension under the Employees’ Pension Scheme.
Currently set at ₹1,000, the revised amount may range between ₹1,500 and ₹2,500.
This move responds to persistent demands from trade unions and aims to improve retirement security for low-income workers.
Trade Union Concerns Over EPFO Withdrawal Flexibility
Many have welcomed the proposed reforms for their convenience, while trade unions have voiced reservations.
They argue that liberalizing withdrawal options could undermine the core purpose of provident funds, which is to serve as a retirement corpus.
There is concern that easier access might encourage premature withdrawals for non-essential expenses, weakening long-term financial security.
Currently, EPFO regulations permit advance withdrawals of up to ₹5 lakh for specific needs such as housing, education, marriage, and medical emergencies.
The auto-claim facility processes these claims within three days, without requiring manual intervention.
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