What is the Employees' Provident Fund Organisation (EPFO)?

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What is the Employees' Provident Fund Organisation (EPFO)? Blog Image


A data breach that impacted the systems of the Employees’ Provident Fund Organisation (EPFO) in 2018 exposing the personal data of millions of Indians was found to have been “repackaged” by a Chinese cyber agency, as per a preliminary probe by New Delhi’s cybersecurity agency.

About Employees’ Provident Fund Organisation (EPFO)

  • It is a statutory body that came into existence under the Employees’ Provident Fund and Miscellaneous Provisions Act, of 1952.
  • It is one of the world's largest social security organisations in terms of clientele and the volume of financial transactions undertaken.
  • It is under the administrative control of the Union Ministry of Labor and Employment. 
  • Structure of EPFO:
    • The Act and all its schemes are administered by a tripartite board called the Central Board of Trustees.
    • The board comprises representatives of the government (both central and state), employers, and employees. 
    • The board is chaired by the Union Minister of Labour and Employment, Government of India. 
  • The Central Board of Trustees administers a contributory provident fund, a pension scheme and an insurance scheme for the workforce engaged in the organised sector in India, namely the EPF Scheme 1952, the Pension Scheme 1995 (EPS), and the Insurance Scheme 1976 (EDLI). 
  • EPFO is also the nodal agency for implementing Bilateral Social Security Agreements with other countries on a reciprocal basis. 
  • Coverage: The schemes offered by EPFO cover Indian workers and international workers (from countries with whom the EPFO has signed bilateral agreements).
  • Headquarters: New Delhi

Q1) What is the Employees Deposit Linked Insurance Scheme (EDLI)?

EDLI is an insurance cover provided by the EPFO (Employees Provident Fund Organisation) for private sector salaried employees who are members of EPFO. The EDLI scheme was launched in 1976. The registered nominee receives a lump-sum payment in the event of the death of the person insured (employee) during the period of the service. EDLI scheme covers all organizations registered under the Employees Provident Fund and Miscellaneous Provisions Act, 1952. They must subscribe to this scheme and provide life insurance benefits to their employees.

Source: EPFO data breached in 2018 ‘repackaged’ by Chinese cyber agency, probe finds