EPFO is going to offer new beneficial facility for PF account holders. In fact, the EPFO has amended its Employee Provident Fund Scheme, 1952. After this amendment, Employee can withdraw up to 75 percent of outstanding balance from their PF accounts if they have been unemployed for more than a month. But these rules will apply only to those who have not got a second job even after one month of leaving the previous job. Simultaneously, in the event of two months of unemployment under this scheme, people will get the chance to withdraw the remaining 25 percent of their amount.
Labor Minister Santosh Kumar Gangwar told after the meeting of the Central Board of Trustees that he has decided to give an option of withdrawing money from his account after being unemployed for one month by amending the scheme. If he is unemployed for a month, he can withdraw 75 percent of his money from his account and keep his account with the EPFO.
According to the new rules, an employee can withdraw the entire amount from his account only after being unemployed for two months. The Labour Minister Santosh Gangwar said that the aim of this new amendment is to give the members an opportunity to maintain their account with the EPFO, where they can further continue once they get employment again. So, We have decided to amend the scheme, he added.
EPFO extends additional facility to unemployed members to avail non refundable advance upto 75 % of outstanding balance in case of unemployed for more than a month. Existing provision of complete withdrawal after two months of unemployment remains unchanged.
— EPF INDIA (@socialepfo) June 26, 2018
Employee Provident Fund (EPF) is an integral source of an employee’s savings. It has an active subscriber’s base of over 55 million and manages a corpus of over Rs.10.5 trillion. It is more important for an employee to get the timely receipt of requisite information about his EPF balance which helps her/him in planning for any major expenses either by withdrawing from EPF or by availing a loan against the EPF balance. If employees get quick access to the EPF account balance then they will keep updated with the increment in their PF account balance from time to time.