The Employees' Provident Fund Organisation (EPFO) is a social security institution operating under the Ministry of Labour and Employment, Government of India. Its origin lies in the Employees' Provident Funds Ordinance of November 15, 1951, which was replaced by the Employees' Provident Funds and Miscellaneous Provisions Act, 1952 (Act 19 of 1952), enacted on March 4, 1952. The Act was instituted to provide a compulsory contributory fund, solving the problem of financial insecurity for employees in the organised sector upon retirement or early death.
The EPFO administers three main schemes: The Employees' Provident Funds Scheme, 1952 (EPF), The Employees' Pension Scheme, 1995 (EPS), and the Employees' Deposit Linked Insurance Scheme, 1976 (EDLI). The EPF & MP Act, 1952 applies to establishments employing 20 or more persons. Under the EPF Scheme, 1952, both the employer and employee generally contribute 12% of the employee's basic wages and dearness allowance. Section 5 of the Act empowers the Central Government to frame the EPF Scheme. The administration of the EPFO is overseen by the tripartite Central Board of Trustees (CBT). A related concept is the Universal Account Number (UAN), launched on October 1, 2014, to enable PF number portability.
The EPF & MP Act, 1952 is connected to the broader legal framework, having been replaced by the Code on Social Security, 2020. Recently, the EPFO has been undergoing a major technological upgrade, known as EPFO 3.0, to modernize services. This upgrade introduces features like instant withdrawals via Unified Payments Interface (UPI) and ATMs, and increases the auto-settlement limit to ₹5 lakh from ₹1 lakh. A key provision of EPFO 3.0 allows members to withdraw up to 75% of their EPF balance through UPI, while mandating that a minimum of 25% balance must be retained for retirement savings.