New Delhi, December 12, 2024 (Navroze Bureau) – A big and convenient news has come out for lakhs of subscribers of the Employees’ Provident Fund Organization (EPFO). The Ministry of Labor has announced that from January 2025, EPFO members will be able to withdraw the amount deposited from their Provident Fund (PF) account directly from the ATM. This process will be quite simple and EPFO account holders will be able to withdraw their PF amount from the ATM using a special card. The function of this card will be just like a debit card.
Know the purpose of the new facility
This step is going to give relief to more than 7 crore subscribers of EPFO, because at present whenever an employee needs his PF amount, it takes 7 to 10 days to get the full amount. Under this new system, EPFO members will be able to withdraw their amount directly from the ATM, so that they will not have to wait long to get the money. This facility will be directly linked to their bank account, which will make the withdrawal of money even simpler.
How can PF amount be withdrawn from ATM?
This new change in EPFO will be through a special card, which will work like a debit card. The Ministry of Labor and EPFO have started their preparations for the introduction of this new service. This card will allow EPFO members to easily withdraw money from ATM, while it can be used from the ATM machine of their bank. Currently, the EPFO member has to wait for the money to be transferred from his PF account to the bank account to receive the amount, but this new facility will completely change this process.
Change in existing rules
Till now there were some strict rules for withdrawing money from EPFO. If a person has left his job and is unemployed for one month, he can withdraw up to 75% of the amount from his PF account. Apart from this, if a person is unemployed for more than two months, he is allowed to withdraw the entire PF amount. But now with this new facility, this process will become even easier, because the EPFO member will not have to wait long to get his full amount. They will be able to withdraw it directly from the ATM.
Improvement in IT system
To implement this new facility of EPFO, the Ministry of Labor is upgrading its IT system. Labor Secretary Sumita Dawra said that there is a plan to make the IT infrastructure of EPFO at par with the banking system. Its purpose is to provide more transparency and convenience to EPFO members in the withdrawal of their amount. Under the new IT system, EPFO members will now be able to access their PF amount with minimal human intervention, thereby speeding up the claim process.
What will be the benefit to the beneficiaries?
With this new facility, EPFO members will be able to get their PF amount in a very easy way and faster. They can withdraw money directly from the ATM without any hassle or delay. Apart from this, many complex processes will be eliminated, so that EPFO members will not take much time to withdraw their amount. Also, this facility will be available not only for employed employees but also for unemployed employees. If an employee is unemployed and has not been working for more than two months, he will also be able to easily withdraw his entire PF amount from the ATM.
Will there be a limit on the withdrawal amount?
According to reports, EPFO members will be able to withdraw only up to 50% of their total deposit amount from the ATM. This will mean that if someone has sufficient balance, he can withdraw only half of his deposit amount from the ATM. Although the final guidelines have not been issued regarding this yet, it is expected that there may be a certain limit on the withdrawal amount, so that the EPFO fund is also safe.
More improvements expected in future
This change in EPFO is not only being made to make the withdrawal process easier, but the Ministry of Labor is also taking steps to improve the field of social security. Under this, gig workers and platform workers will also be given the benefit of social security scheme. Apart from this, many more reform schemes can also be launched to speed up the claim process of EPFO. Overall, EPFO members will be very happy with this new facility, as it will provide them with a new and easy way to access their PF funds without any delay and complication. However, there may be some limitations in this, such as the limit of the amount of withdrawal at a time, but this facility can prove to be very beneficial in the long run. The Ministry of Labor has started its preparations to fully implement this process, and by January 2025, it will be possible to use this facility.