The Ministry of Labour and Employment has instructed the Employees’ Provident Fund Organisation (EPFO) to ensure Universal Account Number (UAN) activation for employees using Aadhaar-based OTP. The initiative aims to help employees and employers benefit from the Employment Linked Incentive (ELI) Scheme introduced in the Union Budget 2024-25.

UAN activation is crucial for employees to access EPFO’s digital services.

It simplifies managing Provident Fund (PF) accounts, submitting online claims, updating personal details, and tracking claims in real-time. With UAN activated, employees can get seamless, 24/7 access to these services without visiting EPFO offices.

For employers, UAN activation ensures compliance with government schemes and facilitates smoother administration of PF accounts.

Using Aadhaar for UAN activation streamlines processes and improves transparency.

Aadhaar-based verification removes the need for multiple identity documents, ensuring quicker access to entitlements under government schemes.

The Ministry has directed employers to complete UAN activation in two stages:

Current financial year employees: By November 30, 2024, employers must activate UANs for all employees who joined in the current financial year, starting with the latest hires.

Existing employees: Employers should then complete activation for all remaining employees.

In the next phase, biometric authentication using face recognition technology will further enhance the activation process.

How to Activate UAN via Aadhaar-Based OTP

Employers and employees can activate UANs using the following steps:

• Visit the EPFO Member Portal.
• Click on “Activate UAN” under “Important Links”.
• Enter your UAN, Aadhaar number, date of birth, and Aadhaar-linked mobile number.
• Verify details using Aadhaar OTP:
• Click “Get Authorisation PIN”.
• Enter the OTP sent to the Aadhaar-linked mobile number. Upon successful activation, a password will be sent to the registered mobile number.The Ministry’s directive aligns with the government’s broader push for 100% Aadhaar-based biometric authentication.