EPFO settles record 5.08 crore claims worth over ₹2 lakh crore in FY2024-25

The Employees' Provident Fund Organisation (EPFO) has settled a record 5.08 crore claims amounting to ₹2,05,932.49 crore in the financial year 2024-25, the highest in its history, Union Labour and Employment Minister Mansukh Mandaviya announced on Thursday.

The milestone surpasses the 4.45 crore claims worth ₹1,82,838.28 crore settled in FY 2023-24.

Mandaviya credited this achievement to a series of transformative reforms aimed at streamlining claim settlements and minimising grievances among EPFO members.

“We have implemented key measures, including an increase in the ceiling and categories of auto-settled claims, simplified member profile changes, streamlined PF transfers, and improved KYC compliance ratios. These reforms have significantly improved the efficiency of EPFO,” he said.

A key enabler behind the faster claim processing has been the auto-claim settlement mechanism, which ensures claims are settled within three days of submission. The number of auto-claim settlements doubled to 1.87 crore in FY 2024-25, up from 89.52 lakh in the previous fiscal.

Reforms in the PF transfer claim submission process have also yielded positive results. With the introduction of a simplified transfer claim application, only 8% of transfer claims now require attestation from members and employers. While 48% of claims are submitted directly by members without employer intervention, 44% of transfer requests are generated automatically.

Highlighting the success of member profile correction reforms, Mandaviya noted that 97.18% of corrections have been self-approved by members, with just 1% requiring employer approval and only 0.4% needing office intervention. Rejection rates have also declined, with only 1.11% of cases rejected by employers and 0.21% by regional offices.

"These reforms have not only accelerated the claim settlement process but have also contributed to minimizing member grievances, further strengthening trust in EPFO," he added.