look news india
EPS New Rules: The central government has recently amended the Employees' Pension Scheme, 1995. Under the new rules, now employees who have contributed for less than six months can also withdraw their PF. This change will benefit more than seven lakh EPS members across the country. Earlier, withdrawal benefits were available only to those employees who had contributed for at least 6 months. Due to this rule, EPS members who closed the scheme before six months (pre-mature) suffered. But now everyone will get the benefit of EPS withdrawal.
Changes in the new rule
As per the revised rules, the exit benefit will now be determined based on the number of completed months of service and salary along with EPS contributions. This includes changes made to Table D, which previously ignored partial service periods for those who contributed less than 6 months. A spokesperson for the Ministry of Labour and Employment said the amendment ensures that all EPS members, regardless of the length of service, will be paid appropriate compensation on exit from the scheme.
Check your eligibility like this
Earlier, many EPS members had left the scheme before completing the prescribed 10 years of contributory service for pension eligibility. These members will now benefit from the withdrawal provisions. Employees who have recently left the job or are considering leaving after 6 months of contribution should check their eligibility for withdrawal benefits under the new rules. They can contact their employer or visit the EPFO website for necessary information regarding claim processing and claims.
According to the central government, the simplification of Table D will benefit more than 23 lakh employees under the scheme. Every year more than 95 lakh EPS members are closing the scheme without completing the mandatory pension contribution for 10 years.