“Request for UAN for this Member Id TNMASxxxxxxxxxxxxx is already underprocess. (through ECR)“. This sentence is haunting many EPF members. I have received many queries of the employee who want to know the meaning of this sentence. I don’t have a concrete reply except the suggestion to wait for some more days.
But, This is a genuine problem not only for me or employees but also for the Employee Provident Fund organisation as well. It is a delay from the employer side which comes in the way of UAN allotment. However, EPFO is pursuing the employers to fall in the line. The EPFO has written the third letter to its regional PF commissioner in this regard. The EPFO has instructed to get the UAN issued and activated to all the active members.
Since December 2015, the EPFO is asking for the allotment of UAN to every PF member who is currently contributing. It has also asked to activate the UAN at the portal as soon as possible. EPFO is asking to approve the KYC and Adhaar of the every active member.
Despite reminders of EPFO, there are many employers who are delaying in this regard. The above-mentioned sentence is the result of employer’s lethargy (might be deliberate). Because employers don’t clarify about the UAN of an employee.
How UAN Gets Stuck
A newly joined employee may have or have not the UAN. If the new employee has the UAN already, it should be mentioned to the EPFO. If the employee doesn’t have the UAN, the employer should request for UAN generation.
But, employers don’t clarify in this regard. They neither tell the existing UAN number nor place a request of UAN generation. This situation lingers on for months.
Meanwhile, the employer remits the EPF contribution to the EPFO. This remittance happens with the new PF member ID. Thus, the EPFO gets the information about the new PF member ID but no information about the UAN.
Because of this delay, the EPFO can neither generate new UAN nor attach the existing PF account to an existing UAN.
The result of this delay come in the form of this standard response.
“Request for UAN for this Member Id TNMASxxxxxxxxxxxxx is already under process (through ECR). “
What is ECR In EPF
ECR stands for Electronic Challan cum Return. This is an electronic monthly return to be uploaded by the employers through the Employer e-Sewa portal.
The return consists the member wise details of the wages and contributions. It includes basic details for the new and existing members.
After the upload of ECR into e-sewa portal, A challan is generated. Using this challan, the employer deposit the EPF contribution into designated branches of SBI. Thus, each ECR is linked with a remitted challan. The ECRs uploaded but not remitted lapse after 15 days of the generation of the challan.
The upload of ECR each month relieves the employers from filing any paper return and monthly/annual returns. When the employer deposits the EPF contribution along with the ECR, the member balance gets updated. It happens on a monthly basis. Once it is updated the PF member can check the EPF account balance.
What is EPFO Doing
EPFO is getting strict about this delay. Within 2 months it has shot 3 letters to the regional PF commissioner. In the recent letter, it has asked following steps.
- Ensure that all the active members (currently contributing) activate the UAN and get their KYC uploaded into the UAN portal.
- If there is no activation of UAN or incomplete KYC is found along with the no contribution, the regional EPFO should ask the exit date from the employer. Because it happens only if the employee has left the company.
- The regional PF commissioner must monitor the UAN activation of member through the MIS portal.
- The EPFO has instructed the regional PF offices to devise the strategy for UAN activation and KYC approval.
- EPFO has advised to focus on top 20% employers.
- There would be a separate dashboard to pick out those UAN where no contribution is being made and date of exit is also not given.
Current Situation of UAN
Of the contributing members, 30.72 lac (18.32%) are yet to be allotted UAN. It is because the employer did not clarify about their UAN. The employers did not tell whether these members already have UAN are new UAN is required.
40% of allotted UAN is not yet activated. I would urge you to activate the UAN as soon as possible because it gives you more power regarding your EPF account.
Aadhaar & PAN is available in case of 29% of contributing members to whom UAN is allotted.
Bank account details are available in case of only 56% of contributing members. Are you one of them? if yes, give it immediately through the UAN portal or your employer. Without the bank account, you would not get the PF balance.
Why Employers Are Slow to Respond
There are too many cases of not getting the UAN. Today, if an employee does not get the UAN, it is only because of the employer. Often employers do not tell the UAN or they delay the allotment of the UAN. Besides this, employers do not approve the KYC documents uploaded by the employee.
Whereas the approved Adhaar number and Activated UAN makes an employee empowered. Such employee can withdraw the EPF balance without the signature of the employer. But you can see there are only 29% employees who have approved Adhaar with the EPFO.
There may be genuine reasons such as manpower shortage or heavy workload. But, there are also reasons to be suspicious. Often, employer
Often, employer arm-twist the outgoing employee on the basis of EPF attestation. To teach the erring employee, Employer use these tactics.
- Employers do not submit the exit date of the employee to the EPFO. Without the exit date, an employee can neither withdraw the PF balance nor transfer it.
- Employers delay the new UAN generation, it works as a deterrent of leaving the job early.
- Employers do not tell the UAN to the employee. This is to keep the keys of PF with itself.
- Employers do not approve the Adhaar as KYC. Once the Adhaar gets linked to the UAN, you don’t need employer’s signature for EPF withdrawal or Loan against EPF.
What Should be Your Steps
The mischief of employer exists but you should not give any leeway to them. If you want to keep the keys of EPF in your hand, you should follow these tips.
- Discover you UAN as soon as possible. You can check you UAN online if you know the EPF member ID. You can even generate the new UAN before getting the job.
- If you have UAN already, you must tell it to the new employer. You should fill the UAN in the EPF membership form.
- Fill the EPF membership form yourself and double check the spelling of you name and father’s name. Pay special attention to the date of birth. There should not be an error in your personal detail. If you find any error further, rectify it as soon as possible.
- Activate UAN as soon as you know it. Through the UAN portal, you can upload the KYC details.
- If you have Adhaar number, write it in the membership form. The existing employee should give Adhaar number through the UAN portal.