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The Ministry of Labour and Employment has notified the Employees' Provident Funds Scheme, 2026, the Employees' Pension Scheme, 2026 and the Employees' Deposit Linked Insurance Scheme, 2026 under the Code on Social Security, 2020.
They replace the schemes framed under the Employees' Provident Funds and Miscellaneous Provisions Act, 1952 - the EPF Scheme of 1952, the Employees' Pension Scheme of 1995 and the older Family Pension Scheme of 1971, and the EDLI Scheme of 1976.
The change is legal and administrative rather than structural: PF balances, Universal Account Numbers, past contributions and existing benefits all continue unchanged.
Withdrawal heads have been streamlined from 13 to three broad categories - essential needs, housing, and special circumstances - with defined limits and frequency caps.
For the first time the scheme codifies the principal employer's liability for contract workers engaged through contractors who are not independently registered.
| Element | Earlier position | Under the 2026 schemes |
|---|---|---|
| Parent law | Employees' Provident Funds and Miscellaneous Provisions Act, 1952 | Code on Social Security, 2020 |
| Provident fund scheme | EPF Scheme, 1952 | EPF Scheme, 2026 |
| Pension scheme | Employees' Pension Scheme, 1995 (earlier Family Pension Scheme, 1971) | Employees' Pension Scheme, 2026 |
| Insurance scheme | EDLI Scheme, 1976 | EDLI Scheme, 2026 |
| Withdrawal heads | 13 separate purposes | Three broad heads: essential needs, housing, special circumstances |
| Contract workers | Liability worked out through general principles | Principal employer's liability written into the scheme |
| Digital processes | Built up administratively by EPFO over time | Formally recognised in the scheme text |
The Employees' Provident Fund is a defined-contribution savings pot: the employee and employer each contribute a fixed share of wages every month, EPFO declares an annual rate of interest, and the accumulated balance is paid out at retirement or exit, with partial withdrawals allowed for specified purposes. The Employees' Pension Scheme is a defined-benefit stream: a portion of the employer's contribution is diverted to it, and it pays a monthly pension after retirement subject to service conditions. One gives a lump sum, the other an income. Both are administered by EPFO under the Ministry of Labour and Employment, and both have now been re-framed under the Code on Social Security, 2020.
Simple Analogy: EPF is the savings account you empty when you stop working; EPS is the salary that keeps arriving after you stop.
A dispute-resolution scheme notified alongside, offering reduced damages in specified ongoing litigation and compliance matters.
A structured opportunity for establishments to regularise historical compliance defaults.
The third transition scheme, aimed at bringing uncovered workers on to the rolls.
Code on Wages 2019, Industrial Relations Code 2020, OSH and Working Conditions Code 2020, and the Code on Social Security 2020.
The same concept appears in the Contract Labour (Regulation and Abolition) Act, 1970, where the principal employer is answerable for a contractor's default.
GS Paper 2 > Governance > Welfare schemes and social security; GS Paper 3 > Indian Economy > Employment
General Awareness > Financial and social security institutions
General Awareness > Government schemes
General Awareness > Current Affairs
A permanent identifier allotted to an EPF member that links all provident fund accounts held across employers; UANs continue unchanged under the 2026 scheme.
The establishment for which contract labour works; under the 2026 scheme it bears initial and ultimate liability for provident fund contributions where the contractor is not independently registered.
Employees' Deposit Linked Insurance - a life insurance cover linked to the provident fund account, re-notified as the EDLI Scheme, 2026.
The portion of a member's accumulation available for withdrawal under a given head, after leaving the prescribed minimum balance intact.