Massive Unclaimed EPF Corpus Revealed
An investigation based on a Right to Information (RTI) response has uncovered that a staggering ₹9,330 crore remains unclaimed across 30.91 lakh dormant Employees' Provident Fund (EPF) accounts. This significant sum represents workers' retirement savings that have not been accessed or transferred by their rightful beneficiaries.
Understanding Dormant Accounts
An EPF account typically becomes inoperative when no new contributions are made for an extended period, and the account holder fails to withdraw or transfer the balance after changing jobs or retiring. Factors contributing to this issue often include workers losing track of older accounts, especially those established before the Universal Account Number (UAN) system, or nominees not completing the necessary claim formalities.
The latest figures, as of March 31, 2026, show a slight improvement from the previous year. On March 31, 2025, EPFO reported 31.83 lakh inoperative accounts holding ₹10,181 crore. This indicates a reduction of about 92,000 dormant accounts and a decrease of ₹851 crore in the unclaimed corpus over one year.
New Scheme Aims to Modernize Services
The disclosure of these unclaimed funds comes as the Centre recently implemented the Employees' Provident Fund Scheme, 2026, effective June 29. This new framework, which replaces the 1952 scheme, aims to streamline regulations, reduce paperwork, and enhance digital access for the nearly eight crore active EPFO subscribers. Despite these modernization efforts, reconnecting millions of workers with their forgotten savings continues to be a major challenge.
Comparing Unclaimed Funds to Public Spending
The sheer scale of the ₹9,330 crore lying idle is highlighted when compared to significant public expenditures. This amount is almost equivalent to the ₹10,169 crore spent on the UDAN regional connectivity scheme since 2016. It also nears the Union government's allocation for the Ayushman Bharat–Pradhan Mantri Jan Arogya Yojana (PM-JAY) in the 2026-27 Budget.
Illustratively, a 2014 government estimate for establishing an Indian Institute of Technology (IIT) was around ₹1,750 crore. Adjusted for inflation, this would be approximately ₹2,934 crore in 2026. Therefore, the unclaimed EPF corpus could fund the establishment of three new IITs, with over ₹500 crore still remaining.
EPFO's Response to RTI Queries
The RTI application also sought year-wise data on inoperative EPF accounts for the past five financial years. However, the Employees' Provident Fund Organisation (EPFO) stated it could only provide information for 2025 and 2026, explaining that its Inoperative Accounts Cell (IAC) was established during 2025-26 and earlier data is not maintained by this cell.
Furthermore, EPFO declined to disclose the number of Aadhaar-linked dormant accounts, the specific amounts within them, or the status of auto-settlement, citing Section 8(1)(e) of the RTI Act. This section exempts information held in a fiduciary relationship from disclosure. The organization also confirmed it does not maintain data on dormant accounts with balances exceeding ₹5 lakh in the format requested.
Ongoing Challenge for Retirement Savings
These findings underscore that while EPF reforms are progressing towards a more digital and efficient system, the task of reconnecting millions of workers with their forgotten retirement savings remains a significant and complex challenge for the organization.