EPFO 3.0 Rollout Big Update: Modi government likely to launch EPFO 3.0 by…, UPI withdrawals, new portal and easier services | Explained

The role of EPFO is set to expand after the implementation of the Labour Codes. EPFO is likely to cover not just organised sector employees but also unorganised workers at scale. A

New Delhi: In a significant development ahead of Union Budget 2026, the Employees’ Provident Fund Organisation (EPFO) is reportedly preparing for the major reforms in the provident fund systems — EPFO 3.0. As per an Indian Express report citing a government official, the EPFO 3.0 will bring a new portal, new software at the backend, and the use of AI-powered language translation tools to communicate with members in vernacular languages.

It is important to note that EPFO 3.0 is being designed as a comprehensive overhaul of the retirement fund body’s technology architecture, bringing it closer to a core banking–style system similar to those used by banks today.

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“There will be a complete revamp under EPFO 3.0, new architecture, core banking solution at the backend. We will be able to cater in terms of scale, to all the organised and unorganised workers. It will take into account the increase in volumes. The entire system will change including the portal. As of now, incremental changes are happening, the next phase will take care of all future needs,” said the official, as cited by The Indian Express.

Why EPFO Needs a Core Banking Solution

Notably, the role of EPFO is set to expand after the implementation of the Labour Codes. EPFO is likely to cover not just organised sector employees but also unorganised workers at scale. According to the reports, EPFO may also be entrusted with the administration of a social security fund for unorganised workers, which would be separate from the social security fund for gig and platform workers.

At present, the retirement fund body has nearly 8 crore active members and manages a corpus of around Rs 28 lakh crore. A core banking solution is seen as critical to managing this scale efficiently in the future.

Vernacular Language Support Through AI

EPFO 3.0 will reportedly increase the dependency on AI-based translation tools to communicate with members in their native languages. This will improve the accessibility. “We will use more vernacular tools like Bhashini to give information in the vernacular medium,” the official said.

The Ministry of Electronics and Information Technology has developed an AI-powered language translation platform, Bhashini, is expected to play a key role in member outreach.

Where EPFO 2.0 Stands Today

While EPFO 3.0 is being planned, the ongoing EPFO 2.0 reforms are nearing completion. The much-anticipated UPI-linked withdrawal facility is expected to be rolled out by April, with only three modules pending.

“In September, we rolled out a revamped ECR (electronic challan cum return), an internal user management module which does the internal task allocation. Now we are left with just three modules – pension, claim and overall annual accounts. Work is going on, it is a matter of 1-2 months,” the official said.