EPFO Pension: This is important news for millions of employees and pensioners of the country. The Supreme Court’s important decision regarding EPFO pension is going to come out on Monday. Pensioners hope that their long wait for pension according to salary will end after this decision.
The Supreme Court will consider the review petition filed by the Employees Provident Fund Organization after 21 months on the appeal filed by the Ministry of Pensions and Labor and Employment against the decision of the apex court. A three bench headed by Justice U Lalit will consider the petitions on 18 January. Earlier, both the Kerala High Court and the Supreme Court ruled in favor. Also, the entire pension was rejected pending an appeal by the Ministry of Labor and Employment and a review petition of the EPFO. EPS can be given only to employees who are under the purview of the private sector in the organized sector. The Employee Pension Scheme, 1995 was launched. According to the EPF Scheme, 1952, an institution deposits 8.33 per cent of its employee’s contribution of 12 per cent to the EPF in EPS. When the employee completes the age of 58 years, then that employee can get the benefit of monthly pension from this EPS EPS money.
Also Read: Can You Operate Two PPF Accounts? Check Terms & Conditions Here
The Supreme Court on 1 April 2019 upheld the Kerala High Court’s decision on the monthly pension of the Employees Pension Scheme. The Labor Ministry then filed an appeal against the decision of the High Court despite a review petition filed by the EPFO. On 12 July 2019, a bench headed by the then Chief Justice Ranjan Gogoi ordered hearing of both the petitions. However, no further action was taken in this regard. The Parliamentary Standing Committee, meanwhile, sought clarification in the matter in October last year. ESIC is engaged in providing social security and health facilities to 13.56 crore registered members across the country.
This is an update on increasing the minimum pension
According to media reports, there are over 23 lakh pensioners in EPFO, who get a pension of Rs 1,000 every month. While his contribution to PF is less than a quarter of it. Officials said that if this continues, it will be difficult to manage in future. This is why ‘defined contribution’ should be adopted to make it more relevant. In August 2019, the Central Board of Trustees (CBT) of the EPFO sought to increase the minimum pension from Rs 2,000 to Rs 3,000 as per the pension scheme, however, it was not implemented. According to sources, the government will have to bear an additional expenditure of Rs 4500 crore on implementing the minimum pension of RS 2,000 and if it is increased to Rs 3,000, it will cost the government exchequer a massive Rs 14,595 crore.
This is the rule of EPF deduction
The organized sector companies which come under the purview of EPFO Employees Provident Fund Organization, give full benefits of EPF (Employee Provident Fund) to their employees. Its rule is fixed. Under this, a contribution from both employer and employee in EPF is fixed which is made by adding dearness allowance to the basic salary of the employee. It is 12-12 percent of the basic salary + DA. Of the company’s 12 percent contribution money, 8.33 percent goes to the Employees Pension Scheme i.e. EPS.
Limit of withdrawal of so many rupees from EPS account
There are also rules to withdraw money from EPS EPS Account. Actually, there is 10 years of criteria for this. The more years of service before the 10-year period, the less money you will be able to withdraw together. Experts say that permission to withdraw lumpsum in EPS scheme can be obtained only if you have a job less than 10 years. The amount that will be returned to you will be decided according to Table D given in the EPS scheme 1995.
Withdraw or not when you leave your job
If you lose your job, you can withdraw money from EPF account or not, also know the answer. In fact, under the EPF scheme, the member has an option to withdraw the entire amount after the job is closed and to close the account. If the person is unemployed for more than two months, he can close the account. In such a situation, the lump sum can be withdrawn in full from the EPS and EPF account if the service is reduced by ten years.
ESIC facilitates, no affidavit is needed for unemployment benefits
People receiving unemployment benefits through the Employees’ State Insurance Corporation (ESIC) will no longer have to give any kind of affidavit. Instead, only the information and scan papers sent online by the insured person will be valid. The Union Labor Ministry has taken this decision in view of the difficulties faced by the people in making the affidavit. In the situation arising out of Corona, many workers had to lose their jobs. As a result of this, from March 24, 2020 to December 31, 2020, the Center decided to give unemployment benefits under the Atal Insured Persons Welfare Scheme.
