The Ministry of Labour & Employment on September 3, 2026, has urged eligible establishments to avail the benefits of the VISHWAS, 2026 one-time settlement scheme for resolving long-pending disputes relating to EPF damages at substantially reduced penalty rates. The Scheme will remain open until December 28, 2026, and the closing date will not be extended.
The following has been stated:
Under the Scheme, employers can settle disputes relating to delayed EPF contributions by paying significantly reduced damages. While penalties under the normal provisions can be as high as 37% per annum, VISHWAS, 2026 provides for reduced rates of 0.25% per month for delays up to two months, 0.50% per month for delays between two and four months, and 1% per month for delays exceeding four months.
Cases relating to delayed payment of PF contributions prior to June 14, 2024, may be eligible under the Scheme, subject to the applicable conditions and specified categories. These include cases where damages proceedings are pending before a court or tribunal, cases where EPFO has passed a damages order but recovery remains fully or partly pending, cases where a notice proposing damages has been issued but no final order has been passed, and cases involving recorded delays where no damages notice has yet been issued.
The Bombay High Court (Pune Bench), Madras High Court and Kerala High Court have also issued directions in various matters encouraging or directing eligible establishments to approach EPFO and avail the benefits of the Scheme.
The entire settlement process is available online through the EPFO Employer Portal. Employers are required to first clear all outstanding interest on delayed PF contributions and thereafter submit their application under the VISHWAS, 2026 module, along with the required documents and digital authentication.
The revised damages amount will be automatically calculated by the system. Employers will initially be given 15 days to make the payment, with an automatic extension of a further 15 days, wherever applicable. Upon successful payment, EPFO will issue a digitally signed Settlement Certificate, following which the concerned proceedings pending before a court or tribunal will stand closed.
EPFO has established dedicated VISHWAS Cells and Helpdesks at all 153 Regional Offices to assist establishments. Employers may also seek assistance through the EPFO toll-free helpline at 1800-180-1820.
[Release ID: 2306438]
