The Employees’ Provident Fund Organisation (EPFO) has announced a major update regarding the Death Relief Fund.
In a circular issued on 19 August 2025, EPFO confirmed that the ex-gratia amount has been increased from Rs 8.80 lakh to Rs 15 lakh for the family of a deceased Central Board employee.
Who Will Receive the Amount?
The new ex-gratia amount of Rs 15 lakh will be paid to the family members, nominee, or legal heirs of the deceased employee. The amount will be disbursed from the Staff Welfare Fund.
When Will the New Amount Apply?
This revised benefit will be effective from 1 April 2025. In addition, the ex-gratia amount will be increased by 5% every year, starting from 1 April 2026.
Second Hike by EPFO
This is the second time EPFO has raised the ex-gratia amount. Earlier, during the COVID-19 pandemic, the amount was nearly doubled from Rs 4.20 lakh to Rs 8 lakh to provide better support to families of employees.
Previous Announcement in 2021
In November 2021, EPFO had said:
“Employees’ Provident Fund Organisation has increased the ex-gratia Death Relief Fund from Rs 4.20 lakh to Rs 8 lakh.
This amount will be paid to the nominee or legal heirs of a deceased Central Board employee, provided the cause of death is not related to COVID-19. The payment will be made from the Staff Welfare Fund.”
Objective of the Hike
With this latest increase, EPFO aims to offer stronger financial support to the families of its employees in times of crisis, ensuring more security and assistance during difficult times.
