EPFO has launched VISHWAS 2026, a one-time scheme that allows eligible employers to settle pending EPF damages and penalty disputes at reduced rates. The scheme is open for six months from 29 June 2026.
Resolving a long-standing dispute regarding EPF damages or penalties through legal channels can take several years. This can delay compliance and increase administrative costs.
The Employees’ Provident Fund Organisation (EPFO) has launched VISHWAS 2026. It is a one-time dispute resolution scheme that allows you to settle EPF damages and penalty-related cases through a digital, time-bound process. The scheme is already in force and will remain open for six months from 29 June 2026.
What does the scheme cover?
VISHWAS 2026 applies to disputes relating to damages or penalties under the EPF law and covers four broad categories:
- Cases currently under challenge before a judicial forum.
- Final penalty or damages orders where recovery is pending or only partly completed.
- Cases where notices have been issued but final orders are yet to be passed.
- Cases where notices have not yet been issued.
Lower rates for eligible cases
For defaults relating to the period before 14 June 2024, EPFO will recalculate damages or penalties at reduced monthly rates:
Period of default | Reduced rate |
Up to 2 months | 0.25% per month |
2 to less than 4 months | 0.50% per month |
More than 4 months | 1.00% per month |
These concessional rates are intended to encourage faster settlement of eligible disputes.
Conditions and exclusions
You must first pay the full statutory interest due before submitting an online application through the EPFO Employer Portal. You must also undertake not to pursue further appeals for the settled dispute.
What does this mean?
The scheme aims to reduce litigation and to help you resolve long-pending EPF disputes more quickly. EPFO has also issued operational guidelines and is setting up dedicated VISHWAS Cells across its field offices to support implementation.
Summary
VISHWAS 2026 is a one-time opportunity for you to settle pending EPF damages and penalty-related disputes through a simplified digital process.
