EPFO tightens norms for withdrawal of Provident Fund

EPFO has tightened norms for withdrawal of Provident Fund as well as investment in Varishtha Pension Bima Yojana.

• When the norms comes into force Provident Fund Subscribers will not be able to claim their withdrawal of their fund once they attain the age of 54, they would have to wait up to 57 Years.
• Earlier subscribers were allowed to withdraw their fund of 90% in their PF accounts at the age of 54 and their claims were given one year before the Retirement.
• Presently the retirement age being 58 the new norms will come in line with the earlier provisions.

Transfer of PF to Varishtha Pension Bima Yojana:

• The retirement Body also made change that PF account holders have to wait till they attain the age of 57 years for apply for PF Withdrawal for transferring that to the Varishtha Pension Bima Yojana of Life Insurance Corporation that has over five crore subscribers.
• The PF body also made changes in appointment of up to Joint Secretary level officersthat allows promotion and appointment of officials because earlier EPFO had to get nod from Labour Ministry any appointment with pay scale higher than Rs.14, 300 to Rs. 18, 300 pay band.
• With new norms PF subscribers can directly claim their withdrawal without getting attested from the present or previous employers.

EPFO:

• Employees Provident Fund Organization is statutory body runs under Labour and Employment Ministry.

Key points:

• Inception: 1952
• Headquarters: New Delhi
• Commissioner: H.L Samariya.