Coronavirus: Govt allows non-refundable advance withdrawals under EPFO

The Union’s Ministry of Labor and Employment has notified an amendment to the employee benefit plan (EPF) to allow withdrawal of the non-refundable advance by members in the event of a Covid-19 pandemic.

EPFO instructed its field offices to implement the amendment.

The GSR 225 (E) notification modifies the 1952 EPF regime to allow the withdrawal of the non-repayable advance by EPF members following the Covid-19 pandemic in the country.

The notification allows a withdrawal not exceeding the basic salary and the high cost allowance for three months or up to 75 percent of the amount credited to the member in the EPF account in the event of a pandemic.

The notification stated: “Covid-19 has been declared a pandemic by the competent authorities for the whole country and, therefore, employees working in establishments and factories throughout India, who are members of the EPF regime, 1952, are eligible for non-refundable advance benefits.

“A subparagraph (3) under paragraph 68L was inserted into the ETH plan, 1952. The amended plan, the employee benefit plan (modification), 2020, came into force on March 28, 2020.

Following the notification, EPFO ​​issued instructions to its field offices to promptly deal with any requests received from EPF members to assist them in dealing with the situation.

In its communication, EPFO ​​stated that officers and staff must quickly deal with complaints from EPF subscribers so that help reaches the worker and his family to help them fight with Covid-19.

.

Leave a Comment