Rescinding its earlier call, retirement pension body EPFO has determined to permit early withdrawal of PF certainly functions, like housing, skilled education, medical treatment and wedding of youngsters.
As a result, curbs on accessing entire provident fund corpus, that were to return into impact from May 1, currently stand withdrawn, subject to sure conditions. Trade unions, however, stood firm on their demand for removal of all curbs on withdrawal of “money that belongs to workers”.
However, asserting the choice here on Tuesday, Labour & Employment Minister (Independent Charge) Bandaru Dattatreya, same the choice was taken once “detailed deliberations and on receiving varied representations from trade unions”.
The decision comes daily once thousands of garment staff in Bengaluru took to the streets exigent removal of all curbs on withdrawal of their provident fund accounts.
Dattatreya same a brand new notification would be issued before long, once that the choice would get force with immediate impact. Till then, the notification issued on Gregorian calendar month ten, 2016, imposing curbs on PF withdrawal, that was to require impact from May 1, “has been unbroken inactive until quarter day,” he added.
Flaying a “misinformation campaign” on the difficulty, the Minister processed that the workers Provident Fund Organisation (EPFO) had “decided to pay the total accumulations standing to the credit of a member, together with interest on it up to the date of payment” to a member fulfilling the conditions for withdrawal ordered down within the new notification.
Explaining the difficulty, Labour Secretary Shankar Agarwal same the sooner restriction was solely on three.67 per cent of the employer’s contribution, as out of the twelve per cent leader contribution, 8.33 per cent goes towards pension. “That restriction (on three.67 per cent) has currently been removed,” he said.