PF Transfer: If you are someone who switches jobs frequently, there is a positive development for you. You no longer need to go through the hassle of applying separately for a Provident Fund (PF) transfer when changing jobs. The Employees’ Provident Fund Organization (EPFO) has introduced an automated PF transfer service for accounts that have Aadhaar-linked Universal Account Numbers (UANs).
PF will be automatically transferred on changing jobs
Union Labor and Employment Minister Mansukh Mandaviya announced that the EPFO has transferred its entire member database to a centralized platform. Following this, several new services will be launched, including faster PF claim settlement and automatic PF transfer upon job change.
You will no longer have to apply on the EPFO website
Previously, when an employee joined a new job, they had to apply for a separate online or offline transfer to link their old PF account with the new one. In many cases, approval from both the old and new employers, as well as the EPFO, was required. This process took a long time. But this will no longer be the case.
Service record will be transferred
Now, if an employee’s UAN is linked to Aadhaar, their PF balance and service record will automatically be transferred to the new account upon changing jobs. This eliminates the need for employees to apply separately on the EPFO website.
UAN does not change
The UAN is a 12-digit unique number linked to all of an employee’s EPF accounts. The UAN number does not change even when a job is changed and remains the same. According to the EPFO, linking old PF accounts is beneficial. This ensures that the employee’s entire service period’s funds are stored in one place. Interest is also accrued on the entire amount, resulting in higher interest. Your total balance is displayed simultaneously, and the process of advance and final settlement becomes easier.
In such cases the account will be deactivated
Employees who change jobs frequently often create multiple PF accounts under different employers. Linking these accounts with the automatic transfer service will now be much easier than before. The EPFO also stated that if no contributions are made to an EPF account for 36 months after retirement, settling abroad, or the member’s death, the account becomes inoperative. Employees can also view and download their entire job and PF records from the Service History section by logging into the EPFO member portal with their UAN and password.