Higher PF Pension: The process of implementing the applications submitted for implementing the Higher PF Pension scheme in the Employees’ Provident Fund Organization i.e. EPFO will be completed by the end of March this year.
There are strong indications that the members who have opted for higher pension in the EPF will start getting pension from April-May this year. However, in the meantime, there has been disappointing news for more than 7 lakh EPF members and pensioners. The Employees’ Provident Fund Organization (EPFO) says that out of 17.49 lakh applicants seeking higher PF pension in proportion to their salary, 7.35 lakh are not eligible for this benefit.
Even after two years of the Supreme Court’s verdict on Higher PF Pension, only 24,006 individuals have received revised pension so far. Along with this, 2.14 lakh applications are still being reviewed by EPFO, while 2.24 lakh applications are yet to be sent to the agency by employers. Meanwhile, EPFO has returned 3.92 lakh applications to employers due to incomplete details, while demand letters for additional payment have been issued to 2.19 lakh applicants.
Kerala lags behind in disposing of applications
Kerala has lagged behind in sanctioning applications for the Joint Option Scheme. So far, only 27.35 per cent of the applications have been processed in the state. At the national level, the settlement rate is 58.95 per cent. Out of 72,712 applications submitted from Kerala, only 19,886 have been disposed of. These include applications that were rejected and those for which demand letters have been issued.
EPFO estimates that Rs 1.86 lakh crore will be required to approve at least half of the combined option applications for high PF pension. The organisation has long been citing this financial burden as the reason for the delay in approvals. A sample check of 38,000 applications has revealed that the pension fund will lose Rs 9,500 crore by paying higher pension. EPFO has said that it will use the data collected to calculate the additional financial liability. These estimates have been revealed in the documents of the recent EPFO Board of Trustees meeting.
This scheme was implemented after the Supreme Court verdict: EPFO’s popular Higher PF Pension scheme is being implemented as per the Supreme Court verdict of November 4, 2022. Under this, those who had initially applied are getting pension, but after this, the applications sought by all interested members of EPFO to give the option of higher pension have not been fully implemented due to several complications.
Related Articles:-
- Transferring PPF maturity funds? Know the tax implications before you do
- IMD Alert! There will be heavy rain in these states in the next 48 hours
- New Rules For Vehicle: No petrol, diesel for these vehicles from April: Details Here
- Post Office Best Scheme: You can earn 2 lakh rupees from interest only, know all details
- Train Delay Cancellation Rights: Can you claim a refund if the train is late? Know Here
