Ministry directs EPFO to ensure UAN activation for employees through Aadhaar-based OTP

New Delhi: The Ministry of Labour and Employment has directed the Employees’ Provident Fund Organisation (EPFO) to work in a campaign mode with employers and ensure the activation of the Universal Account Number (UAN) of employees, the ministry said in a release on Thursday.

EPFO will involve their zonal and regional offices for effective outreach, as per the release. The move is part of announcements made by the government in the Union Budget 2024-25 to ensure the benefits of the Employment Linked Incentive (ELI) Scheme go to the maximum number of employers and employees.

The Central Government has already issued directions to ministries/departments to ensure payments of subsidy/incentives to the beneficiaries of the welfare schemes through the Aadhaar Payment Bridge and ensure 100 percent biometric Aadhaar authentication.

Using Aadhaar as an identity document simplifies government delivery processes, enhances transparency and efficiency, and ensures beneficiaries receive their entitlements seamlessly. Aadhaar-based verification eliminates the need for producing multiple documents to prove one’s identity.

In the first stage, employers are required to complete the process of UAN activation through Aadhaar-based OTP for all their employees joining in the current financial year by November 30, 2024, starting with the latest joinees. They must then complete the process for all employees working with them.

UAN activation provides employees with seamless access to EPFO’s comprehensive online services, enabling them to efficiently manage their Provident Fund (PF) accounts, view and download PF passbooks, submit online claims for withdrawals, advances, or transfers, update personal details, and track claims in real time. This allows employees 24/7 access to EPFO services from the comfort of their homes, eliminating the need for physical visits to EPFO offices.As per the budget announcements, the government will implement 3 schemes for ‘Employment Linked Incentive’ as part of the Prime Minister’s package. These will be based on enrollment in the EPFO and focus on recognition of first-time employees and support to employees and employers. The ELI Scheme aims to create over 2 crore jobs in the country in a period of 2 years. This will significantly contribute to increasing employment opportunities and enhancing livelihood.