EPFO Disbursed Claims | 10 Apr 2020

Why in News

The Employees’ Provident Fund Organisation (EPFO) has processed nearly 1.37 lakh claims and disbursed an amount of Rs 279.65 crore since the launch of the online facility allowing advance withdrawal on March 29, 2020.

Key Points

  • The scheme allowing advance withdrawal from EPF accounts was notified in the wake of the coronavirus pandemic.
  • It allows withdrawal not exceeding the basic wages and dearness allowances for three months or up to 75% of the PF balance, whichever is less.
  • The Finance Minister — as part of the Pradhan Mantri Garib Kalyan Yojana —had said that the government will bear the cost of the provident fund contributions, both of the employer and employees—12% each—for the three months (April - June) for those establishments which have up to 100 employees and 90% of whom are earning less than ₹15,000 per month as salary.
    • The government also relaxed withdrawal conditions from EPF accounts.

Employees’ Provident Fund Organisation (EPFO)

  • It is a government organization that manages provident fund and pension accounts for the workforce engaged in the organized sector in India.
  • It implements the Employees’ Provident Fund and Miscellaneous Provisions Act, 1952.
    • The Employees’ Provident Fund and Miscellaneous Provisions Act, 1952 provides for the institution of provident funds for employees in factories and other establishments.
  • It is administered by the Ministry of Labour & Employment, Government of India.
  • It is one of the World's largest Social Security Organisations in terms of clientele and the volume of financial transactions undertaken.

Source: IE