The government recently shared detailed information in the Lok Sabha about the ongoing EPFO 3.0 reforms under the Employees’ Provident Fund Organization (EPFO).
Minister of State for Labour and Employment, Shobha Karandlaje, said that the main goal of these reforms is to make the system faster, more transparent, and user-friendly.
These changes focus on speeding up claim settlements, simplifying processes, and offering all services on a single digital platform.
Centralized Pension System Brings Big Relief
One of the biggest updates is the launch of the Centralized Pension Payment System (CPPS). According to the minister, all EPFO field offices have been using this system since January 1, 2025.
Because of this, more than 7 million pensioners are now receiving their pensions on time every month without errors. Complaints about delays and irregular payments have also reduced significantly.
Faster Claim Settlements and Easy Access to Money
There has been a major improvement in claim settlements as well. The government reported that in the current financial year (up to February 25, 2026), more than 35.2 million claims of up to ₹5 lakh were settled automatically.
In addition, around 71.37% of advance claims were processed automatically, with about ₹51,620 crore released. This means people no longer have to wait long to receive their money.
EPF Account Transfer Made Simple
Transferring an EPF account after changing jobs has become much easier. Earlier, this process required employer approval and multiple steps. Now, it happens automatically once your KYC is updated.
As of February 25, 2026, about 7.05 million auto-transfer claims have been completed without any intervention. Also, more than 2.1 million transfer claims were submitted directly by employees without needing employer help.
A Major Digital Upgrade
Overall, EPFO 3.0 is a big digital upgrade. It reduces paperwork and makes the entire system online and automated. Earlier, claim settlements could take up to 20 days, but now they are completed in less than three days.
This has brought major relief to both employees and pensioners.
What About Minimum Pension Increase?
However, there is still no final decision on one major issue—raising the minimum pension under EPS-95. The government said that the matter is under consideration, but no announcement has been made yet.
As a result, millions of pensioners are still waiting for a clear decision on this important issue.
