There is good news for the employees-account holders of Employees’ Provident Fund Organization. EPFO has made a major change in the pension scheme.
Under this, employees retiring in less than six months can now withdraw deposits under the Employees’ Pension Scheme 1995 (EPS-95), the benefit of which will be available to more than 6.5 crore EPFO subscribers-employees across the country.
In fact, till now the Employees’ Provident Fund Fund (EPFO) allows subscribers to withdraw deposits from the Employees’ Provident Fund account with less than six months of service left, but this has been changed from November 1.
Under the statement issued by the Ministry of Labor, the recommendation made by the Central Board of Trustees (CBT) to the government also includes giving the facility of withdrawal from their EPS account to the members with less than 6 months of service period. Apart from this, the 69th Annual Report on the functioning of the EPFO for the financial year 2021-22 was also approved, which will be presented in the Parliament.
In the 232nd meeting of the Central Board of Trustees, EPF, chaired by the Union Minister of Labor and Employment, Environment, Forest and Climate Change in New Delhi on Monday, the Board has given its 69th Annual Report on the functioning of Employees’ Provident Fund Organization (EPFO) for the year 2021-22.
Approved the report and recommended it to the Government for laying it before the Parliament. The Board along with the audit report in respect of EPF Scheme 1952, Employees Pension (EPS) Scheme 1995 and Employees Deposit Link Insurance Scheme 1976 for the year 2020-21 Audited, approved the annual account and recommended it to the Government for laying it before the Parliament.
The board recommended certain amendments in the EPS to the government. Proportionate pension benefits should be given to such members who have been in the scheme for more than 34 years. This should be done by taking into account the factors for the year “below 35 years” to the year “under 42”.
Also give withdrawal benefits to members with less than six months service and enable same transfer value calculation in cases of exemption or cancellation of exemption from EPS 95. The Board approved the Information Security Policy of the Employees’ Provident Fund Organization.
