EPFO mulls pension hike, ATM withdrawals for PF subscribers
Updated: Apr 30th, 2026
The Employees' Provident Fund Organisation (EPFO) may soon introduce major changes for its subscribers, including a possible increase in minimum pension and the facility of ATM-based withdrawals, as per reports.
The government is reportedly considering a proposal to raise the minimum pension under the Employees' Pension Scheme (EPS-95) from the current ₹1,000 to ₹7,500. The demand for revision has been raised by labour unions and supported by a parliamentary panel, with a final decision expected shortly.
Separately, EPFO is also likely to retain an interest rate of 8.25% on provident fund deposits for account holders. The proposal is awaiting approval from the Finance Ministry, following which the interest will be credited to subscribers’ accounts.
In a move aimed at improving ease of access, EPFO is working on enabling withdrawals through ATMs, which would allow members to access their funds more quickly.
The organisation has also reported improved performance in claim settlements. During the financial year 2025-26, EPFO settled 8.31 crore claims, up from 6.01 crore in the previous year. Of these, 5.51 crore were related to advance or partial withdrawals.
Officials said increased automation has enhanced efficiency, with 71.11% of advance claims settled within three days, compared to 59.19% in the previous year.
Digital initiatives have further streamlined processes, with 6.68 crore claims processed without requiring cheque uploads. Additionally, 1.59 crore accounts were linked to bank accounts without employer approval, and 70.55 lakh transfer claims were auto-processed.
In April 2026 alone, EPFO settled 61.03 lakh claims, with nearly 98.70% processed within 20 days, officials said.
The organisation has also launched a platform called E-PRAAPTI to help users activate inactive provident fund accounts through Aadhaar-based access. The facility is expected to benefit users whose accounts are not linked with Universal Account Numbers, with scope for further expansion in future.
