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Rediff News  All News  » Business » Aadhaar number not a must for EPFO members

Aadhaar number not a must for EPFO members

June 28, 2013 15:56 IST

AadharNow EPFO's over 5 crore (50 million) members need not necessarily have Aadhaar numbers to avail the benefits of PF body's schemes as these are excluded from Centre's Direct Benefit Transfer programme.

"The schemes under EPFO and ESIC have been excluded from the list schemes identified for implementation of Direct Benefit Transfer," a Labour Ministry letter to EPFO's Central Provident Fund Commissioner stated.

Subsequently, the EPFO head office issued an office order to discontinue submission of monthly report on the progress of the work under the DBT scheme by regional offices.

At present, the money is transferred through NEFT and cheques. The scheme was excluded from the DBT scheme mainly because it was for distributing subsidies and grants and PF money is not a subsidy, an official explained.

In January, the Employees' Provident Fund Organisation had asked the field staff to ensure the collection of data in respect of member joining on or after March 1, on a monthly basis and in respect of existing members by June 30, 2013.

According to the office order issued then, in case an employee does not have the Aadhaar number, the employer can issue an Enrolment Id as per the guidelines of the body. This EID would be converted into Aadhaar number later on, the order had said.

The body had also decided to seek the Aadhaar numbers of its pensioners through the banks.

Later in February this year, after drawing flak from unionist for the move, the Provident Fund body decided to put on hold the decision to make it mandatory for new members joining EPF scheme to provide Aadhaar number as credential for enrolment from March 1, 2013.

The EPFO order circulated in February had observed that getting the Aadhaar was a time consuming process and the scheme covers only 18 states.

The remaining states are covered by the Register General of India under the National Population Register which would be digital database of country's residents.

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