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The Employees’ Provident Fund Organisation (EPFO) has announced a major financial relief for families of its Central Board employees. The organisation has increased the death relief ex-gratia amount from ₹8.8 lakh to ₹15 lakh, effective April 1, 2025. This enhancement is aimed at providing stronger financial security to the families of deceased staff members.

According to the official circular issued on August 19, 2025, the decision was approved by the Central Board of Trustees (CBT), which is EPFO’s highest decision-making body. The board includes representatives from the central and state governments, employers, and employees.

Who Will Benefit from This Relief?

This enhanced relief fund is only for EPFO’s own Central Board staff, not for all EPF account holders. In case of an employee’s death, the ex-gratia payment will be extended to the nominee or legal heir of the deceased. The amount will be disbursed from EPFO’s Staff Welfare Fund.

This means that while millions of regular EPF subscribers across private and public organisations will not be eligible, the families of EPFO’s in-house staff will directly benefit from this financial support.

Annual Increment of 5% from 2026

In addition to the one-time increase, EPFO has also introduced an automatic annual increment of 5%, starting April 1, 2026. This ensures that the relief amount keeps pace with inflation and rising financial needs.

For example, if the fund stands at ₹15 lakh in 2025, it will increase to ₹15.75 lakh in 2026, and so on in the following years. This progressive approach will significantly improve the long-term financial assistance provided to bereaved families.

Key Highlights from the Official Circular

In its notification, EPFO stated:

“With the approval of the Central Provident Fund Commissioner and the Central Staff Welfare Committee, the ex-gratia death relief fund has been revised from ₹8.80 lakh to ₹15 lakh, effective April 1, 2025. The amount will continue to grow at a rate of 5% annually.”

This decision underscores EPFO’s effort to strengthen the social security framework for its staff members.

Recent Changes Announced by EPFO

Apart from the death relief fund revision, EPFO has also rolled out several employee- and subscriber-friendly reforms:

1. Simplified Death Claim Process
   Earlier, if the nominee was a minor, families had to present a guardianship certificate before the claim amount could be transferred. This requirement has now been scrapped, allowing the funds to be transferred directly into the minor’s account.

2. Easier Aadhaar Linking with UAN
   Many subscribers faced difficulties linking Aadhaar with their Universal Account Number (UAN) due to errors in details. EPFO has simplified the joint declaration process, making it easier for members to update or correct their Aadhaar details. This move is expected to benefit millions of PF account holders across the country.

Not Applicable to Regular EPF Members

It is important to clarify that the revised death relief benefit is not available to general EPF subscribers such as private company employees. The increase applies exclusively to EPFO’s own Central Board employees and staff.

Why This Matters

For EPFO’s in-house staff, this move offers greater financial security to families during difficult times. With the combination of a nearly double ex-gratia payout and annual increments, families can depend on sustained support in case of a sudden loss of income.

At the same time, the organisation’s parallel reforms for subscribers—such as easing death claims and Aadhaar updates—reflect EPFO’s broader efforts to make processes more transparent and user-friendly.