Over 7.5 crore EPFO members receive major relief. In a significant step that will prove useful to crores of Indian employees, the government has made an immensely important adjustment. Union Labour and Employment Minister Mansukh Mandaviya announced on 24 June 2025 that the Employees’ Provident Fund Organisation raised the auto claim settlement amount from ₹1 lakh to ₹5 lakh. This is going to result in quicker access to funds, particularly in times of emergencies when there is little time.
What This New Rule Means for You
Now if you have a PF account and suddenly need urgent funds, then you don’t have to wait long or worry about exhausting paperwork. EPFO is now easily available up to ₹5 lakh under auto claim settlement. Whether it is for a medical bill, education fee, wedding cost, or for constructing your dream house, the process is now very simple and faster.
Fast Withdrawals Without Papers
Speed is probably the most discussed aspect of this release. Previously, it would take around 10 days for a claim to get settled. Now, almost 95 percent of the claims get settled within 3 days. That is a huge leap. And if your KYC has already been completed and Aadhaar, PAN, and bank account details have already been seeded to your EPFO account, then no document has to be uploaded. It is a seamless process and just needs a couple of clicks.
Access Your Money through UPI or ATM
EPFO members will be able to withdraw cash from UPI or even an ATM by May or June 2025. This is for the first time and is making the withdrawal process even more convenient. The members will not rely on bank visits or complex online processes.
Claim Rejection Rate Falls Sharply
Another significant milestone is the decline in the rejection percentage of claims. Earlier, nearly 50% of all the claims that were being filed were being rejected. Nowadays, only 30 percent are being rejected. This indicates your likelihood of obtaining your claim approval has increased by a long way. It is a huge success for the average worker who can trust their PF savings.
How to Claim Your PF Without Delays
Simply log in to your UAN portal. Ensure your KYC is recent and your details are properly updated. Then proceed to the claim part and follow the procedure to place your request. Your Aadhaar need not even be registered if it already is registered.
EPFO’s Vision for the Future
EPFO has also announced that it is attempting to settle all forms of claims ranging from pension and insurance to 72 hours. Artificial intelligence and machine learning are new technologies being used to enhance the user interface and speed up processes even further.