The total amount in inoperative employees' provident fund (EPF) has jumped over five fold to Rs 8,505.23 crore in financial year 2023-24 from Rs 1,638.37 crore in fiscal year 2018-19, Parliament was informed on Monday.
In a written reply to Lok Sabha, the Minister of State Shobha Karandlaje stated that there are no unclaimed accounts in EPF scheme run by retirement fund body Employees' Provident Fund Organisation (EPFO).
However, she stated that as per Para 72(6) of the Employees' Provident Fund Scheme, 1952, certain accounts are classified as 'Inoperative accounts'.
She informed the House that as many as 21,55,387 inoperative EPFO accounts had Rs 8,505.23 crore in 2023-24. In 2018-19, there were 6,91,774 inoperative accounts which had Rs 1,638.37 crore.
Similarly, in 2022-23, as many as 17,44,518 inoperative accounts had Rs 6,804.88 crore.
She told the House that the EPFO will return the amount held in the inoperative accounts to the beneficiaries concerned.
In 2023-24, the total amount of Rs 2,632.29 crore was settled, compared to Rs 2,673.97 crore in 2022-23, while it was Rs 2,881.53 crore in 2018-19.
All such inoperative accounts have definite claimants and whenever such a member files a claim in EPFO, the same is settled after scrutiny, she stated.
Several steps are being taken to raise awareness and improve the utilization of EPFO funds by employees through multimedia activities like educational videos, webinars, social media, print media, etc, the minister told the House.
The EPFO administers three social security schemes namely — Employees' Provident Fund Scheme 1952, Employees' Pension Scheme 1995 and Employees' Deposit Linked Insurance Scheme 1976.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
