Employee Provident Fund Organisation (EPFO) (HT Photo)

Communist Party of India (CPI) MP Binoy Viswam wrote to Minister of State for labour and employment, Santosh Gangwar, bringing to minister’s consideration ‘the worrying state of affairs in the Employees Provident Fund Organisation (EPFO).’

In his letter, Viswam identified to Gangwar two main problems with ‘immediate’ concern: a cap on the computation of pension and elevating of month-to-month minimal pension. The points, he wrote, had been adversely affecting the lives of tens of millions of staff within the nation.

“The central government contributes 1.16% of EPF subscribers’ monthly salary towards their Employee Pension Scheme (EPS) account, but the salary base for computation is capped at Rs 15,000 per month, so that the monthly contribution doesn’t exceed Rs 174 per month,” Biswam wrote in his letter.

The Rs 15,000 capping, Biswam stated, ‘defied logic’ when the seventh Pay Commission beneficial Rs 18,000 per thirty days, as of January 1, 2016, because the minimal wage.

He additional identified that an professional committee appointed by EPFO had beneficial elevating the minimal month-to-month pension to Rs 2,000 whereas the Labour Standing Committee’s suggestion on this regard was Rs 3,000.

However, Biswam lamented, until date the federal government had not taken motion as per any of those suggestions.

He additional known as the provident fund a ‘vital component’ of staff’ wages throughout their employment. Mentioning how EPFO has been introduced beneath the Social Security Code within the new labour legal guidelines, Biswam known as on the federal government to boost each the computation cap and minimal pension and show it’s certainly ‘pro-workers.’

Concluding his letter, Biswam wrote {that a} optimistic response from Gangwar will convey immense aid to tens of millions of staff.

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