The centralized system approved by the EPFO ​​Board of Directors will be able to consolidate all PF accounts

The Employee Provident Fund Organization (EPFO) has approved a centralized IT system developed by C-DAC for employee-friendly actions, will consolidate all EPF accounts of its members and cancel the requirements for employees. Transfer in case of job change.

In short, employees soon won’t have to worry about transferring their EPF accounts to the new organization when changing jobs.

This centralized system will facilitate the deduplication and consolidation of all PF accounts of members. Whenever a member changes jobs, it will cancel the requirement to transfer the EPF account.

EPFO’s Central Board of Directors (CBT) made this decision at a meeting held on November 20, 2021.

As of now, if someone changes jobs, then that person’s new EPF will be opened in the new organization, and the employee must transfer his or her money (held in the EPF account created by the previous organization) to the new account.

If the employee’s Universal Number (UAN) is linked to Aadhaar, this must be done online on the EPFO’s member Sewa portal. If UAN is not associated with Aadhaar, employees can transfer money to a new EPF account by submitting a form to the new employer.

According to the statement by the Ministry of Labor after the board meeting on November 20, “C-DAC has approved the development of a centralized IT support system. After that, on-site functions will be transferred to the central database in stages to achieve smoother operations and Enhanced service delivery. The centralized system will facilitate the deduplication and consolidation of all PF accounts of any member. It will eliminate the requirement to transfer accounts due to job changes.”

See also  It is Nomura: India's bank faces greater credit risk as bank failure