EPFO New Rules: This move of EPFO is aimed at making UAN more authentic and error-free. Universal Account Number (UNM) is an important 12-digit unique identification code given to every employee nominated under the EPF scheme.
EPFO New Rules: The Employees’ Provident Fund Organisation (EPFO) has made Aadhaar-based face authentication mandatory for generating new Universal Account Numbers (UANs) from August 1. In a circular issued on July 30, the EPFO has directed its regional officers to generate new UANs only through Aadhaar-based Face Authentication Technology (FAT).
What is the detail
This move by EPFO is aimed at making UAN more authentic and error-free. Universal Account Number (UNM) is an important 12-digit unique identification code given to every employee nominated under the EPF scheme. Without it, EPF contributors may face problems like accessing their PF balance and submitting claims for advance withdrawal.
What are the rules
As per the new rules, new employees will have to complete the process of generating UAN through Aadhaar-based face authentication only. The existing employer-based UAN process will continue as normal except for exceptional cases like international employees and citizens of Nepal and Bhutan. This means that generating UAN through employers will still be allowed in some cases, but the use of Aadhaar-based FAT is now mandatory for most employees. New employees should also note that this process has to be completed through the Umang app.
Who will be affected
The new facial recognition mandate could create problems for staffing firms that provide manpower solutions to multinational companies. In a recent submission to the EPFO, the Indian Staffing Federation (ISF) has highlighted that the revised policy could create problems for employees, as many of them do not have their mobile numbers linked to their Aadhaar. The Indian Staffing Federation (ISF), which represents over 135 contractual staffing firms employing over 18 lakh workers, has highlighted the challenges posed by these new rules. The federation also said that problems could arise due to users’ unfamiliarity with the new system and possible discrepancies in phone models and camera settings during authentication.
