EPFO Executive Committee Meeting: Key Outcomes

On January 18, 2025, the 111th meeting of the Executive Committee (EC) of the Central Board of Trustees for the Employees’ Provident Fund (EPF) took place at the EPFO Head Office in New Delhi. The meeting was chaired by Ms. Sumita Dawra, Secretary of the Ministry of Labour and Employment. It brought together key figures, including Shri Ramesh Krishnamurthi, the Central Provident Fund Commissioner (CPFC), senior officials from the Ministry of Labour and Employment, and representatives from both employers and employees. This gathering aimed to address several pressing issues related to the EPF and its operations.

Progress on CITES 2.01 Implementation

One of the primary agenda items discussed was the implementation of the Centralized IT Enabled System (CITES) 2.01. The committee acknowledged the significant progress made in this area. CITES 2.01 aims to consolidate existing databases and facilitate a Universal Account Number (UAN)-based ledger for all member accounts. This system will enable faster access to funds and streamline the processing of claims.

Additionally, the committee reviewed the rollout of the Centralized Pension Payment System (CPPS). This initiative is designed to enhance the pension process for approximately 68 lakh pensioners. By ensuring timely and accurate pension disbursements, CPPS aims to improve the overall experience for pensioners. The committee’s discussions highlighted the importance of technology in improving service delivery and efficiency within the EPFO.

Alternative Dispute Resolution Mechanism

Another significant topic of discussion was the proposed adoption of an Alternative Dispute Resolution (ADR) mechanism. The committee recognized the need to reduce the litigation burden and associated delays that often plague the resolution of disputes. The ADR mechanism aims to foster quicker and more amicable resolutions for disputes pending at various levels, including Industrial Tribunals.

This approach is particularly relevant for disputes related to damages under the Employees’ Provident Funds and Miscellaneous Provisions Act, 1952. By implementing ADR, the EPFO hopes to provide expeditious social security to those involved, save resources, and enhance trust among stakeholders. The committee’s commitment to this initiative reflects a broader trend toward resolving conflicts more efficiently and effectively.

Enhancements in Pension on Higher Wages

The committee also focused on the status of pension applications related to higher wages. It was reported that over one lakh pending applications had been examined in the past month alone. The committee noted the issuance of 21,000 demand letters, which resulted from regular monitoring of field offices and timely clarifications.

The disposal of cases has seen a significant increase, with approximately 58,000 cases resolved. To further expedite this process, the committee recommended holding regular video conferences with employers. This initiative aims to accelerate the correction of reverted cases and ensure the submission of joint options by the deadline of January 31, 2025. The committee emphasized the need to complete as much work as possible within the approved framework by the end of the fiscal year, particularly for cases involving high amounts related to Public Sector Undertakings (PSUs).

Improving Grievance Redressal Mechanisms

The EC also reviewed plans to enhance the grievance redressal process within the EPFO. The goal is to improve service delivery, streamline procedures, and reduce difficulties faced by members. An analysis of frequent grievances has led to the identification and categorization of common problems.

The reform process aims to address the root causes of these issues through systemic improvements. In line with this, the EPFO has issued two directives aimed at simplifying the online process for member profile updates and the PF transfer process. These changes are expected to significantly improve the experience for EPFO members, making it easier for them to navigate the system and resolve their issues.

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