Deadline Extended Yet Again! EPFO Pushes UAN Activation and Aadhaar Seeding to Jan 15

In a turn of events that impacts millions of employees and employers across the nation, the Employees Provident Fund Organisation (EPFO) has announced yet another extension for the universal account number (UAN) activation and the mandatory seeding of bank accounts with Aadhaar. Originally set to end on November 30, and later pushed to December 15, the deadline is now extended to January 15, 2024, as per an official circular dated December 20.

This extension will provide employees and employers additional time to meet the requirements essential for availing benefits under the Employment Linked Incentive (ELI) scheme.

UAN Activation Explained

UAN activation is the process of registering a universal account number (UAN) to access EPFO services online. The UAN, a unique 12-digit number issued by the EPFO to eligible employees, serves as a key identifier for an individual's provident fund account.
Activating a UAN is mandatory for utilizing a range of EPF-related online services, including:

• Withdrawing EPF online.
• Checking EPF account balances.
• Updating personal contact information.

How to Activate UAN Online; A Step-by-Step Guide

Employees who have missed the deadline or are not aware of How to activate their UAN can follow these steps:

Step 1: Visit the EPFO Member Sewa portal.

Step 2: Go to the important links section on the page and Click on 'Activate UAN'

Step 3: Next you will have to enter UAN, Aadhaar number, date of birth, and the Aadhaar-linked mobile number.

Step 4: Agree to Aadhaar OTP verification and click on Get Authorization PIN
Step 5: You will then receive an OTP .Enter the OTP received on your Aadhaar-linked mobile to complete activation.

Importance of Employment Linked Incentive (ELI) Scheme and Aadhaar-Bank Account Seeding

To ensure seamless direct benefit transfers (DBT), bank accounts must be seeded with Aadhaar. This linkage enables the EPFO to directly transfer disbursed funds to the intended beneficiary's bank account, eliminating delays and enhancing transparency.
For employees, Aadhaar-bank seeding is indispensable to receiving benefits under schemes like the ELI, which was introduced in the Union Budget 2024-25. Employers are urged to prioritize compliance to ensure that employees can avail these benefits without complications.

The ELI scheme aims to promote formal employment and incentivize employers to create new jobs. It mandates UAN activation and Aadhaar-linked bank accounts for employees to qualify for its benefits. The extended deadline provides a much-needed window for employers to meet these requirements.