EPFO Updates: There is a notable group of employees in India covered by the Employees’ Provident Fund (EPF), who continually experience the rollout of new benefits. If someone in your household has deductions made for EPF through their job, then the recent decision by EPFO to terminate a particular facility will be seen as highly significant.
EPFO is now completely closing down the scheme known as COVID Advance, which was introduced during the COVID-19 pandemic by the government. This scheme had been widely utilized by employees across the country during the peak of the pandemic. With the nation now largely recovering from the effects of COVID-19, EPFO has decided to discontinue this scheme, as officially communicated through a recent statement.
Employees will not get this big decision
EPFO has issued a major alert for all PF account holders, stunning everyone with a crucial decision regarding withdrawals. During the COVID-19 pandemic, EPFO had introduced a new facility named ‘COVID Advance’ to allow employees to withdraw a certain amount from their funds, keeping in mind the welfare of PF account holders.
EPFO has made a major announcement through a recent statement. It has declared that the scheme called COVID Advance, under which funds were accessible, is now being shut down entirely. Employees are no longer permitted to withdraw money from their PF accounts citing COVID-19. Initially, they were allowed to withdraw up to 75% of their basic pay plus DA or from their EPF account for a period of three months.
PF employees get interest annually
There are about 70 million EPF employees nationwide, with a portion of their salary being deposited into their EPF accounts. The government also annually pays interest on this amount, providing significant benefits to individuals. Now, a new facility for EPF employees in your household is going to be restricted.