Automatic PF transfer on job shift
Currently, a subscriber provides his UAN to the new employer who uses it for depositing his EPF contribution
- Published 11.03.19, 2:20 PM
- Updated 11.03.19, 2:20 PM
- a min read
Subscribers of retirement fund body EPFO would not require to file employee provident fund (EPF) transfer claims on changing jobs from the next fiscal as the process would be made automated, according to a labour ministry official.
At present, the subscribers of the the Employees Provident Fund Organisation (EPFO) are required to file the transfer of EPF claims on changing jobs despite having a universal account number (UAN). The EPFO gets about eight lakh EPF transfer claims every year.
“The EPFO is testing the automation of EPF transfer on changing jobs on pilot basis. The facility for all subscribers is expected to be launched any time next year,” a senior labour ministry official said.
The official said, “The EPFO had engaged the C-DAC to study its operating systems to achieve the goal of becoming paperless organisation. At present, 80 per cent of the work is being done online. The automated transfer of EPF on changing jobs is one of the tools to be used to achieve that objective.”
The official explained the moment the new employer files the monthly EPF return, including UAN of the new employee, the EPF contributions and interest would be automatically transferred.
This will enable the employee to get the credits of his EPF contribution during his previous tenure with the old employer into his UAN automatically.
At present, after changing a job, a subscriber provides his UAN to the new employer, who uses it for depositing his EPF contributions.