In today’s press release (March 26, 2020), the Finance Minister announced two major relief for EPF Holders. The government has decided to relax the Employees’ Provident Fund (EPF) withdrawal rules to enable easier access to the money and also pay both the employer and employee contribution to the EPF accounts.
Such relief shall be allowed to certain establishments for the continuity of the account for the next three months. These relaxations in the EPF regulations will be amended wef 1/04/2020.
Here are the two benefits that the government will be ginseng to workers covered under EPFO Scheme:
- Workers will be given an advance of 75% of the amount standing to the credit of the members in PF or 3 months of wages whichever is lower. The withdrawal from the EPF will be non-refundable.
- The government will also pay EPF contribution of 12% of the monthly salary on behalf of employers as well as employees for the next three months for establishments which have upto 100 employees and 90% of whom are earning less than Rs 15,000 per month.