The government said in Parliament that Employees Provident Fund (EPF) in inactive accounts A total of Rs.3930.85 crore has been deposited in Labor and Employment Minister Bhupendra Yadav gave this information in a written reply to the question of Sushil Kumar Modi. He said that there is no unclaimed deposit in the Employees’ Provident Fund. As per the Employees’ Provident Fund Scheme 1952, certain accounts are classified as dormant accounts. Yadav said that all such dormant accounts definitely have claimants. The total amount deposited in such dormant accounts till March 31, 2021 is Rs. 3930.85 crores.
More than 18 lakh registered companies
He said that the total number of companies registered with Employees’ Provident Fund Organization (EPFO) in different categories is 18,62,128. Along with this, he said that 1,44,82,359 new employees were recruited by these organizations after October 1, 2020. He said Maharashtra has the highest number of registered institutions (2,97,684), followed by Delhi at 1,14,151, Gujarat at 1,37,686, Tamil Nadu at 1,67,390 and Uttar Pradesh at 1,47,790.
Deducted interest on provident fund
The Employees’ Provident Fund Organization (EPFO) has recently reduced the interest rates on provident funds to 8.1 percent. This is the lowest level in 40 years. The interest rate for PF was reduced from 8.5 per cent in FY 2020-21 to 8.1 per cent in FY 2021-22.
Let us tell you that if a company has more than 20 employees then it is necessary to apply for PF. With the help of provident fund, the future of the employee is secured. EPFO comes under the Ministry of Labor.
When does EPF account get closed?
If you have a job and the company is registered under the EPFO Act, then your salary is deposited in the provident fund every month. If the company you work for is closed and you do not transfer or withdraw money from your PF account to the new company, the account gets closed. However, if there is no transaction for 3 years, then action is taken for it. If there is no transaction for 36 months, then your EPF account is put in the inactive category. Interest is credited to the dormant account.