Employers with long-pending disputes over delayed Employees’ Provident Fund (EPF) contributions have until December 28, 2026, to settle eligible cases at substantially reduced damages rates under the government’s one-time VISHWAS 2026 scheme.
The Employees’ Provident Fund Organisation (EPFO) has urged eligible establishments to take advantage of the scheme before the deadline, which will not be extended, according to a September 3 release by the Ministry of Labour and Employment.
Under the normal provisions, damages for delayed PF contributions can go up to 37% per annum. However, VISHWAS 2026 provides for substantially lower rates depending on the period of delay.
For delays of up to two months, employers are required to pay damages at 0.25% per month. The rate is 0.50% per month for delays between two and four months, and 1% per month for delays exceeding four months.
Which cases are eligible?
The scheme covers eligible cases involving delayed PF payments made before June 14, 2024. These include:
- Cases where proceedings relating to damages are pending before a court or tribunal.
- Cases where EPFO has passed a damages order, but recovery is still pending, either fully or partially.
- Cases where EPFO has issued a notice proposing damages but has not passed a final order.
- Cases where EPFO records show delays in PF payments, but no damages notice has been issued.
How can employers apply?
The application process is online through the EPFO Employer Portal. Employers must first clear the outstanding interest on delayed PF contributions before applying.
They can then access the VISHWAS 2026 module, select the relevant category, upload the required documents and complete the process through digital authentication.
The system automatically calculates the revised damages amount. Employers get 15 days to make the payment, with an automatic extension of another 15 days wherever required.
After payment is confirmed, EPFO issues a digitally signed Settlement Certificate. The proceedings pending before the concerned court or tribunal are then closed.
What have courts said about the scheme?
The Bombay High Court’s Pune Bench, in a case involving an employer, directed it to apply under VISHWAS 2026 within two weeks. The Madras High Court disposed of a writ petition after the employer expressed willingness to use the scheme.
The Kerala High Court’s Ernakulam Bench has also issued similar directions in 19 separate cases, asking establishments to approach EPFO for settlement under the scheme.
Employers can seek assistance at EPFO’s 153 regional offices, where dedicated VISHWAS Cells and helpdesks have been set up. They can also contact the toll-free helpline at 1800-180-1820.