EPFO Shock to retired employees
EPFO – 2014 సెప్టెంబర్కు ముందు రిటైరీలకు షాక్.. అధిక పెన్షన్కు అనర్హులయ్యే అవకాశం.!
EPFO – सितंबर 2014 से पहले सेवानिवृत्त होने वालों के लिए झटका.. उच्च पेंशन के लिए अयोग्यता की संभावना
EPFO – सप्टेंबर 2014 पूर्वी सेवानिवृत्तांना धक्का.. उच्च निवृत्ती वेतनासाठी अपात्रतेची शक्यता
EPFO Shock for retirees before September 2014.. Chances of disqualification for higher pension.
The Employees Provident Fund Organization (EPFO) is throwing a series of thunderbolts at the salaried employees after the Supreme Court orders to give higher pension to those who have made PF payments on the actual salary.
Possibility of disqualification for higher pension : EPFO
EPFO : The Employees’ Provident Fund Organization (EPFO) is throwing a series of thunderbolts at the salaried employees after the Supreme Court directed to give higher pension to those who have made PF payments on actual salary. The company is not letting go of the old hopefuls who retired eight years ago and will get a higher pension with the Supreme verdict.
The rules that disqualified a large percentage of those who retired before September 1, 2014, from receiving a higher pension have recently come to light. March 4 is the deadline for those who retired before September 2014 to apply for higher pension following the Supreme Court verdict, and the Union Labor Ministry announced two days ago that 91,259 online applications have been received till this date. Experts say that most of them will be ineligible for higher pension. To this extent, the shocking fact has been revealed in the information obtained by the English daily Times of India under the Right to Information Act. That is..
The then EPFO had notified December 1, 2004 as the cut-off date for Employees’ Pension Scheme (EPS) members to submit a joint option (employee and employer together) for payment to the pension fund on actual salary, thereby seeking higher pension.
- Subsequently, the pension fund stopped receiving payments made by employers on high wages. This was clarified in a circular issued by EPFO on November 11, 2006.
- Due to this EPS members who wanted to opt for higher pension could not submit joint option under para 11(3) of EPS while in service.
- Another circular issued by EPFO on November 22, 2006 stated that ‘the option of making payment to the Pension Fund on actual salary in excess of the statutory pensionable salary limit is available to members only under Section 26(6) of the EPF Scheme and not under Section 11(3) of the EPS Scheme’. Also para 11(3) states that the statistical method for determining pensionable pay is specified.
- In October 2016, the EPFO issued a circular removing the cut-off date as per the Supreme Court order and rejected all the applications seeking joint option between December 1, 2004 and March 23, 2017.
2004 to mark 1st December
EPFO claims that more than 90,000 applications have been received seeking higher pension. Many of the retirees who were in service between December 1, 2004-March 23, 2017, were not allowed to apply for the higher pension then, so many of them have applied now. Experts suggest that the organization should consider December 1, 2004 to apply higher pension to all those eligible who have made payments to EPFO on actual salary. Meanwhile, EPS members who have retired after September 1, 2014 are now able to submit a joint option form through the unified portal. EPFO has extended the deadline till May 3 for them to apply for higher pension.
NOTE : EPFO | Shock for retirees before September 2014.. Chances of disqualification for higher pension
