EPFO Scheme: Rs 764 crore released to the pensioners

On May 5, 2020, the Employees Provident Fund Organization has released Rs 764 crores to the pensioners.

Highlights

Around 135 field offices of the scheme processed the payment. This has been done in advance to avoid inconvenience of the pensioners during lock down. The bank branches all over the country have been directed to make sure the pension is credited on time.

EPFO

The EPFO is Employment Provident Fund Organization. It was established under the act EPF and Miscellaneous Provision Act, 1952. The EPFO scheme is implemented by the Ministry of Labour and Employment.

EPFO Scheme, 1952

It was the first EPFO scheme launched by GoI. It paid the labourers accumulated amount and interest upon death and retirement. It allowed partial withdrawals for marriage, education, house construction and illness.

EPF Scheme 1995

The scheme benefitted disabled survivors that faced accidents during duty, widower and children.

In 2014, Universal Account Number was launched for Employees that benefitted through EPFO. In 2018-19, over 61 new subscribers joined the scheme

Social Security Code Bill, 2019

The bill was introduced in 2019 to reduce employee contribution to Provident Fund. The PF has two components namely Employees part and employers’ part. The employees part currently stands at 12% of the basic salary. The bill intends to provide an option to the employees to reduce their contribution.

Month: Current Affairs - May, 2020