EPFO Enhances Ex-Gratia Compensation for Families of Deceased Members

The Employees’ Provident Fund Organisation (EPFO) has announced a significant enhancement to its financial support scheme for the families of employees who pass away while in service. Starting April 1, 2025, the ex-gratia assistance provided from the Death Relief Fund will be raised from the existing ₹8.8 lakh to ₹15 lakh.

According to EPFO officials, the revised amount will be disbursed to the family members or legal heirs of the deceased through the Staff Welfare Fund. The decision was taken collectively by the Central Board of Trustees, comprising representatives of the government, employers, and employees.

Adding to this relief, EPFO has also approved an annual 5% increment in the ex-gratia amount beginning April 1, 2026. This step aims to provide sustained financial support to families by offsetting inflationary pressures and reducing the long-term economic burden after the loss of the breadwinner.

Simplified Claim Procedures

EPFO has simultaneously introduced reforms to make the claim process more accessible:

• No guardianship certificate required: In cases where the deceased member leaves behind minor children, settlement amounts will now be directly credited into the children’s bank accounts without the need for a guardianship certificate.
   
• Relaxed Aadhaar requirements: For members who have not linked or verified their Aadhaar with the UAN account, or for those needing corrections in Aadhaar details, EPFO has eased the declaration process to ensure faster claim settlements.
   

These measures reflect EPFO’s commitment to strengthening the social security framework and extending greater protection to employees and their dependents.