New Delhi: Retirement fund body Employees’ Provident Fund Organisation (EPFO) yesterday decided to give its members an option to withdraw 75 percent of their funds after one month of unemployment and keep their PF account with the body.
The members would also have an option to withdraw remaining 25 percent of their funds and go for final settlement of account after completion of two months of unemployment under the new provision in the Employee Provident Fund Scheme 1952.
“We have decided to amend the scheme to allow members to take advance from its account on one month of unemployment. He can withdraw 75 percent of its funds as an advance from its account after one month of unemployment and keep its account with the EPFO,” Labour Minister Santosh Kumar Gangwar, who is also the Chairman of EPFO’s Central Board of Trustees (CBT), told reporters after the Trustees meet yesterday.
At present, in case of unemployment, a subscriber can withdraw his or her funds after two months of unemployment and settle the accounts in one go.
The Minister was of the view that this new provision would give an option to members to keep their account with the EPFO, which he can use after regaining employment again.
However, it was proposed that the members would be allowed to take 60 percent of funds as an advance on unemployment for not less than 30 days. But, the CBT raised the limit to 75 percent.
This post was published on June 27, 2018 6:30 pm