EPFO Achieves Historic Milestone with Over 5 Crore Claims Settled in FY 2024-25, Driven by Technological Reforms

Dr. Mandaviya credited this achievement to a series of transformative reforms implemented by EPFO to enhance claim settlement processes and reduce member grievances.

Union Minister of Labour & Employment and Youth Affairs & Sports, Dr Mansukh Mandaviya, announced a landmark achievement by the Employees' Provident Fund Organisation (EPFO), which has surpassed the 5 crore claims settlement mark for the first time in its history. In the financial year 2024-25, EPFO processed over 5.08 crore claims, amounting to Rs. 2,05,932.49 crore. This represents a significant increase from the 4.45 crore claims worth Rs. 1,82,838.28 crore settled in the previous financial year, 2023-24.

Dr. Mandaviya credited this achievement to a series of transformative reforms implemented by EPFO to enhance claim settlement processes and reduce member grievances. "Key measures such as raising the ceiling and categories of auto-settled claims, simplifying member profile changes, streamlining PF transfers, and improving KYC compliance ratios have significantly boosted EPFO's efficiency," he stated.

A pivotal factor in this success has been the auto-claim settlement mechanism, which ensures claims are settled within three days of submission. The impact of this reform is evident, with auto claim settlements doubling to 1.87 crore claims in FY 2024-25, compared to 89.52 lakh auto claims processed during the entire FY 2023-24.

Further reforms in the PF transfer claim submission process have also streamlined workflows. Since the introduction of a simplified transfer claim application, only 8% of transfer claims now require member and employer attestation. Remarkably, 48% of claims are submitted directly by members without employer intervention, while 44% of transfer requests are generated automatically.

Dr. Mandaviya highlighted the success of member profile correction reforms as well. "With the simplified procedure, approximately 97.18% of member profile corrections have been self-approved by members. Only 1% required employer approval, and office intervention was reduced to just 0.4%. Rejection rates have also dropped significantly to 1.11% by employers and 0.21% by regional offices, showcasing the effectiveness of these streamlined processes," he noted.

Reaffirming the government's commitment to enhancing ease of access for EPFO members, Dr. Mandaviya emphasized that the organization will continue leveraging technology and process simplification to ensure a seamless and efficient service experience. "These reforms have not only accelerated the claim settlement process but also minimized member grievances, further strengthening trust in EPFO," he added.

This historic milestone reflects EPFO's dedication to continuous improvement and innovation, setting a new benchmark for service delivery and member satisfaction.