Labour Ministry announced a groundbreaking initiative that will allow Employees’ Provident Fund Organisation (EPFO) subscribers to withdraw their Provident Fund (PF) amounts directly via ATMs starting January 2025. This move is expected to enhance convenience and eliminate manual claim settlement processes, marking a significant milestone in service digitization.
Key Highlights of Initiative
Labour Secretary Sumita Dawra made announcement on Wednesday, emphasizing initiative’s focus on improving ease of access for millions of workers across country. Ministry is upgrading its IT infrastructure to ensure initiative rolls out seamlessly, empowering EPFO subscribers with greater flexibility and reduced dependency on traditional claim methods.
“We are working tirelessly to simplify processes and provide faster claim settlements. By January 2025, EPFO members can withdraw their Provident Fund directly from ATMs, making process entirely hassle-free,” Dawra stated.
Major Improvements in Labour Welfare Services
| Feature | Details |
| Initiative Announcement | Labour Secretary Sumita Dawra announced direct ATM withdrawal for EPFO subscribers. |
| Implementation Date | January 2025 |
| Objective | To simplify claim processes, boost ease of living, and reduce human intervention. |
| Target Group | Over 70 million active EPFO contributors. |
| Technological Upgrade | Enhanced IT infrastructure for streamlined service delivery. |
| Additional Focus | Extending social security benefits to gig and platform workers. |
Additional Labour Welfare Measures
Gig and Platform Worker Welfare
Ministry is working on extending social security coverage to gig and platform workers, a long-overdue initiative aimed at recognizing and addressing their unique needs. These benefits could include medical coverage, provident funds, and financial aid for disabilities.
“A lot of groundwork has been completed. We are finalizing a comprehensive scheme to provide these benefits. A stakeholder committee is actively shaping framework,” Dawra stated.
This follows enactment of Code on Social Security, 2020, which legally acknowledged gig and platform workers in India for first time. upcoming scheme will aim to provide tangible welfare and social security benefits to millions of workers in these sectors.
Decline in Unemployment
Labour Ministry also reported a significant drop in unemployment rates, from 6% in 2017 to 3.2% in 2024. Workforce participation has risen notably, with Labour Force Participation Rate and Worker Participation Ratio climbing to 58%, reflecting a robust economic recovery and increasing job opportunities.
Enhanced Claim Settlement
Over recent months, Ministry has rolled out incremental updates to its systems to ensure faster processing of claims. These changes have paved way for innovations like ATM-based PF withdrawals, creating a framework for real-time fund accessibility.
Future Outlook
introduction of ATM-based PF withdrawals represents a larger shift towards digitized, worker-centric welfare solutions. Ministry’s efforts align with government’s Digital India campaign, which aims to integrate technology into public services for maximum impact.
Moreover, by recognizing gig and platform workers, India is setting a precedent for inclusive labour policies that reflect changing nature of workforce.
Disclaimer
This article is based on information provided by Labour Ministry and publicly available sources. Readers are advised to refer to official announcements for most accurate and up-to-date details. author and publication are not responsible for any discrepancies or changes in information provided.
