EPFO makes it mandatory to link Aadhaar with UAN to avail EPF benefits

EPFO has extended the deadline for employers to add employees to the ECR list from 1 June 2021 to 1 September 2021 so that employees have more time to link Aadhaar with UAN

EPFO makes it mandatory to link Aadhaar with UAN to avail EPF benefits

The Employees’ Provident Fund Organisation (EPFO) is digitising the process to claim benefits from contributions to a Provident Fund (PF). For this, it will be mandatory for beneficiaries to link their Aadhaar with PF Universal Account Number (UAN).

Why the changes?

The changes have been brought as an amendment to Section 142 of the Social Security Code by the Ministry of Labour and Employment, making it easier to establish the identity of the beneficiary and safeguard the interests of employees, especially in the unorganised sector. Aadhaar seeding will also make it easier for online requests for withdrawals and advances, or updating KYC. 

What are the implications?

All employers who are registered under the Employees’ Provident Fund and Miscellaneous Provisions Act, 1952, are required to file the Electronic Challan-cum-Return (ECR) carrying employee’s details with the EPFO. Going forward, the ECR can only be filed for employees whose Aadhaar number has been seeded with the UAN. 

Non-seeding will not prevent an employee from seeking benefits under the existing law, but can make transfer or withdrawal of PF difficult. According to a statement from the EPFO, an employer can file a separate ECR for non-Aadhaar seeded UAN after completion of the Aadhaar seeding process.

Related: Now get all your EPFO-related queries addressed through WhatsApp

How to seed Aadhaar with UAN?

Employees who have not yet linked their Aadhaar with PF-UAN can do so by logging on to the EPFO employee portal. They need to access the ‘UAN Member e-Sewa’ link with the UAN ID and password, upload Aadhaar details, and verify via an OTP. It is recommended that employees check the status of their application and follow up with their employer if the seeding changes do not reflect even after a few days of uploading the documents.

When is the deadline?

The EPFO office had issued orders stating that the ECR shall be allowed to be filed only for those members whose Aadhaar numbers are seeded and verified with the UAN, with effect from 1 June 2021. However, the date of implementation for filing Aadhaar-verified ECRs has been extended to 1 September 2021, thereby giving employers and employees more time to link their Aadhaar with the UAN. Check how EPFO allows employees from the formal sector to generate UAN directly via its portal. 

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