EPFO Introduces One-Time VISHWAS 2026 Scheme For Amicable Settlement Of Provident Fund Penalty Disputes The Employees' Provident Fund Organisation (EPFO) has launched the VISHWAS 2026 scheme, a one-time initiative aimed at resolving disputes related to penalties or damages under specific legal provisions. Effective from 29 June 2026, the program will remain active for six months. The scheme seeks to encourage voluntary compliance among employers, reduce the burden of litigation, and expedite the resolution of long-standing disputes concerning provident fund penalties. Under VISHWAS 2026, eligible employers can settle pending penalty cases by paying significantly lower damages than the legally mandated rates. The revised penalty rates apply to defaults occurring before 14 June 2024. For defaults lasting up to two months, the rate is 0.25 percent per month. Defaults spanning two to four months will incur 0.50 percent monthly, while defaults exceeding four months will face a 1.00 percent monthly rate. The scheme covers four categories of cases. These include disputes where penalty or damage orders are under judicial review, cases with pending or partially recovered damages, instances where notices have been issued but final orders are pending, and cases where notices for penalties have not yet been issued. Employers seeking relief must ensure full payment of statutory interest under Section 7Q of the EPF & MP Act, 1952, or Section 127 of the Code on Social Security, 2020, before submitting applications. Applications must be submitted online via the EPFO Employer Portal using a Digital Signature Certificate or e-Sign. However, certain cases are excluded from the scheme.#provident_fund #epfo #vishwas_2026 #employer_portal #code_on_social_security
Employees’ Provident Fund Organisation Launches One-Time Dispute Resolution Scheme The Employees’ Provident Fund Organisation (EPFO) has initiated “Vishwas 2026,” a one-time dispute resolution program, effective from June 29, 2026. In a statement released on July 17, 2026, the Union Labour Ministry highlighted the scheme’s aim to resolve disputes concerning penalties or damages imposed on employers under specific legal provisions. The initiative, part of the EPF Scheme, 2026, is designed to address long-standing conflicts through a transparent, digital, and time-bound process. The government emphasized that the scheme will remain active for six months from its notification date. The Ministry outlined the scheme’s primary goals: promoting voluntary compliance, reducing litigation, and expediting the resolution of disputes related to penalties or damages. It specifically targets cases where employers face challenges in judicial forums over penalty/damage orders, pending recovery of fines, or incomplete recovery through Recovery Certificates (RRC). Additionally, the scheme covers cases where notices for penalties have been issued but final orders are pending, or where notices have not yet been issued. Under the initiative, employers are required to recalculate damages or penalties for defaults occurring before June 14, 2024. The recalculated rates vary based on the duration of the default: 0.25% per month for defaults up to two months, 0.50% per month for defaults between two and four months, and 1% per month for defaults exceeding four months. The government stated that these reduced rates are intended to incentivize employers to resolve disputes promptly, ensuring compliance while safeguarding employees’ interests.#employees_provident_fund_organisation #epf_scheme_2026 #vishwas_2026 #union_labour_ministry #recovery_certificates
