EPFO Latest Update: After the revision of the interest rate by the Future Employees Corporation, the employees are going to get money in their account. This will benefit about 73 lakh employees. The EPFO, in its meeting on July 29 and 30, will consider and approve the proposal for setting up a central pension distribution system.
At present, more than 138 regional offices of Employees’ Provident Fund Organization (EPFO) distribute pension separately to the beneficiaries of their area. In such a situation, pensioners of different regional offices are getting pension at different times or days. According to PTI sources, the proposal to set up a central pension distribution system will be placed in the Central Board of Trustees (CBT), the apex decision-making body of EPFO, in a meeting to be held on July 29 and 30.
According to the information, the disbursement of pension will be done using the central database of more than 138 regional offices in the country and this will facilitate credit of benefits in the bank accounts of more than 73 lakh beneficiaries in one go. All the regional offices provide different services to the pensioners in their respective regions and hence pensioners across the country get pension at different times or days.
The proposal for development was approved
. In the 229th meeting of the CBT held on November 20, 2021, the trustees approved the proposal for development of a centralized IT-enabled system by C-DAC.
The Labor Ministry, in a statement after the meeting, had said that thereafter the functioning of the sector would proceed in a phased manner on a central database, which would further improve smooth functioning.
Those less than 6 months will also be able to withdraw money
Centralized system will facilitate de-duplication and merger of all PF accounts of any member and transfer of account will not be required on change of job. The CBT will also consider a proposal to allow withdrawal of deposits from pension accounts by those subscribers who have contributed for less than six months. At present, only those subscribers are eligible for withdrawal from their pension accounts who have contributed for six months to 10 years.
