The Employees’ Provident Fund Organisation (EPFO) has issued an important notification on November 22nd, 2024, outlining new guidelines for employees to avail benefits under the Employment Linked Incentive (ELI) Scheme. This move is part of EPFO’s broader strategy to streamline processes and improve the efficiency of the service delivery.
The Ministry of Labour & Employment has made it mandatory for all eligible employees to complete a few critical tasks in order to receive benefits under the ELI Scheme:
- UAN Activation via Aadhaar-based OTP
Employees must activate their Universal Account Number (UAN) through an Aadhaar-based One-Time Password (OTP). This step is crucial as the UAN serves as a unique identifier for all EPF-related transactions. - Aadhaar Seeding with Bank Accounts
To ensure the benefits are transferred directly into employees’ bank accounts, it is necessary to link their Aadhaar number to their respective bank accounts. This will enable Direct Benefit Transfer (DBT) under the ELI Scheme, making the process smoother and more efficient.
Employers’ Role in the Process
Employers play a crucial role in ensuring that all employees who have joined the organization in the current financial year comply with these requirements. The deadline for employers to complete UAN activation and Aadhaar seeding is November 30, 2024. Employers must ensure that their employees’ UANs are activated, and their bank accounts are linked with Aadhaar for seamless transfer of benefits.
EPFO’s push for UAN activation and Aadhaar seeding is a step toward modernization and efficiency. These digital initiatives will make benefit transfers more transparent, faster, and secure. Employees and employers must work together to ensure that all necessary actions are completed before the deadline of November 30, 2024.
By adopting these changes, the EPFO is ensuring a more accessible and operationally efficient system for everyone involved.
