New Delhi: The Union Labour Ministry has allowed over six crore subscribers of retirement fund body Employees’ Provident Fund Organisation (EPFO) to withdraw an amount not exceeding their three months basic pay and dearness allowance from their EPF account in view of the lockdown to fight COVID-19.
The ministry issued a notification in this regard March 28, 2020 to amend the Employees’ Provident Fund Scheme 1952, a statement said.
The notification permitted non-refundable withdrawal not exceeding the basic wages and dearness allowance for three months or up to 75 per cent of the amount standing to the credit of their EPF account, whichever is less, the ministry said.
The COVID-19 has been declared pandemic and therefore employees working in establishments and factories across entire India, who are members of the EPF Scheme, 1952 are eligible for the benefits of non-refundable advance.
A sub-para (3) under para 68L has been inserted in the EPF scheme, 1952. The amended Employees Provident Fund (Amendment) scheme, 2020 has come into force from March 28.
Following the notification, the EPFO has issued directions to its field offices for promptly processing any applications received from members to help them fight the situation.
In its communication, the EPFO has stated that officers and staff must process claims of EPF subscribers promptly so that relief reaches the worker and his family to help them fight with COVID-19.
PTI