The Ministry of Labour and Employment has announced a major step to help workers reclaim their long-forgotten savings.
Millions of people have money lying unclaimed in inactive Employees’ Provident Fund Organisation (EPFO) accounts.
Now, the government plans to return this money directly to the rightful account holders.
This move could bring relief to workers who struggled for years to access their own funds.
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Over 31 Lakh Workers Likely to Benefit
According to officials, more than 3.1 million EPFO subscribers are expected to benefit from this initiative.
In the first phase, around 0.7 million account holders will receive their money directly.
These are people whose details — including Aadhaar-linked bank accounts — are already verified and ready for direct transfer.
This means the process will be faster and smoother for them.
Why Did So Many Accounts Become Inactive?
Many EPFO accounts turn inactive when there are no transactions for several years.
In many cases, workers changed jobs, forgot about small balances, or found the claim process too complicated.
As a result, thousands of crores of rupees remained stuck.
Officials estimate that more than ₹10,900 crore is lying in such dormant accounts across the country.
Government’s Aim: Make It Simple and Transparent
Labour Minister Mansukh Mandaviya said the goal is simple — ensure workers receive the money they legally deserve.
The government also wants to simplify the claims process, which was often seen as lengthy and paperwork-heavy.
Boost for Children of Unorganised Workers
Alongside this move, the ministry has announced improvements in scholarship schemes for children of unorganised workers.
Now, merit-based scholarships of up to ₹25,000 will be offered.
This will add to existing education support and help improve access and fairness.
For millions of workers, this initiative is more than just paperwork.
It is about finally getting access to savings that belong to them — and making the system more worker-friendly in the future.