To ensure speedy settlement of claims, EPFO decided to set up a central clearance house which will be operational on July 1. This will enable subscribers to apply online for settlement of the withdrawal and transfer of funds claims.
Over 50 million subscribers of the retirement fund body EPFO will be able to apply online for transfer and withdrawal of their provident fund. Normally the biggest problem faced by the subscribers is transferring their accounts while changing of job etc. Now this central clearance facility will expedite the process. The facility will enable subscribes to track online the status of their applications for transfer and withdrawals.
Under the new system, the onus of verifying the details of the PF account from previous employers would be on the EPFO. Currently, employees have to get their applications verified from their employers for settlement of claims. The onus of getting the detail of the PF account verified from employers would be on the Employees’ Provident Fund Organisation (EPFO) in the new online system for transfer and withdrawal claims.