The Centre has notified the Employees’ Provident Fund (EPF) Scheme, 2026, introducing a completely digital compliance ecosystem for employers and employees, a dedicated framework for international workers, online nominations and claim settlement, and stricter governance norms for exempted establishments.
The notification, issued by the Ministry of Labour and Employment, lays down a comprehensive legal framework governing provident fund administration under the Code on Social Security, 2020.
The EPF scheme consolidates provisions relating to membership, contributions, withdrawals, nominations, employer obligations, exempted establishments, inspections, digital compliance and provident fund administration by the Employees’ Provident Fund Organisation (EPFO).
The new scheme provides that every employee who was a member, or was required to be a member, under the Employees’ Provident Fund Scheme, 1952, shall automatically continue as a member under the EPF Scheme, 2026.
“Employees joining establishments covered under the Code will also become members from the date of joining or from the date the scheme becomes applicable to the establishment, whichever is later. The scheme also permits employers and employees to jointly opt for provident fund contributions on wages exceeding the statutory wage ceiling, subject to the prescribed conditions," the notification stated.
The most significant feature of the new notification is the incorporation of a dedicated framework for international workers.
“The scheme lays down provisions governing membership, contributions and withdrawal of provident fund benefits for foreign nationals working in India as well as eligible Indian employees working in countries with which India has entered into Social Security Agreements (SSAs)," it said.
“It also prescribes procedures for determining eligibility under bilateral agreements and resolving disputes relating to the coverage of international workers, thereby providing greater legal clarity to multinational employers and employees," it added.
The EPF Scheme, 2026, also marks a decisive transition towards digital administration of provident fund services.
Employers will now be required to electronically upload details of newly enrolled employees, employees leaving service, Universal Account Number (UAN) linkages and statutory returns through the designated EPFO portal. They will also be responsible for facilitating generation of UANs wherever required and ensuring that employees have access to their electronic provident fund accounts.
Employees, in turn, will furnish Aadhaar, Aadhaar-linked bank account details, Permanent Account Number (PAN), UAN, previous employment details and family particulars through the online portal.
Annual account statements will be made available electronically, enabling members to monitor their provident fund balances through e-passbooks without depending on physical records.
“The notification also makes electronic nomination the standard mode for all EPF subscribers. Members will be required to submit nominations through the designated online portal and may revise them whenever necessary. Fresh nominations will also be required in specified situations such as marriage, while inconsistent nominations under the earlier framework will have to be updated in accordance with the new provisions," an official said.
Claims relating to provident fund withdrawals, advances and transfer of balances will also be processed electronically. The scheme facilitates automated transfer of provident fund accumulations after verification of the member’s identity and ownership of the account, reducing paperwork and improving processing efficiency.
According to the notification, principal employers engaging contract workers have also been made jointly responsible with contractors for provident fund compliance relating to contractual employees. Delay in filing statutory returns may attract a late fee of Rs 500 per day, subject to the limits prescribed under the scheme.
