EPFO clarifies on EDLI scheme, says member on LWP is eligible for loss of life profit
The Employees’ Provident Fund Organisation (EPFO) has made it clear {that a} Provident Fund (PF) or an Employees’ Provident Fund (EPF) account holder is eligible for assured profit underneath Employees Deposit Linked Insurance (EDLI) scheme, even when he’s on go away with out pay and its month-to-month EPF or PF contribution shouldn’t be coming to its provident fund account. But the EPFO member must be on the muster roll of the recruiter on the day of loss of life and satisfies different circumstances to say the assured profit.
The EPFO issued notification on this regard citing, “In case where an employee member was on leave without wages (consequently no contribution was payable by the employer) or absent for any other reason and expired during the period, the Assurance benefit is admissible irrespective of the fact that no contribution was paid by the employer, provided he was on the muster rolls of the establishment on the day of death and satisfied the prescribed conditions.”
The EPFO went on so as to add that references and complaints have been acquired that even the place and worker has died whereas in service, some places of work are rejecting the claims saying that the PF contribution was not acquired throughout the previous couple of days and subsequently the EDLI advantages will not be payable on account of such NCP days.
Directing the institutions to keep away from harassing the members of the family of the deceased PF account holder, the EPFO mentioned, “Due verification shall be done but it should be done within 7 days and the family members should not be harassed. In cases where employer states that the member is on the muster rolls and the EO says otherwise, the reason why the employer version is not acceptable to us should be clearly listed out and examined at office.”
The EDLI scheme states that on the loss of life of an worker, whos is a member of the fund or of provident fund exempted underneath Section 17 of the Act, because the case could also be, who was in employment for steady interval of twelve months, previous the month wherein he died, the individuals entitled to obtain the provident fund accumulation of the deceased shall along with such accumulations of the deceased shall along with such accumulations to be paid on quantity equal to:
The common month-to-month wages drawn (topic to a most of ₹15,000) in the course of the twelve months previous the months wherein he died, multiplied by 35 occasions plus 50% of the common stability within the account of the deceased within the fund of of the provident fund exempted underneath Section 17 of the Act, or underneath paragraph 27 or 27A of the Employees’ Provident Fund Scheme, 1952, because the case could also be, in the course of the previous twelve months or in the course of the interval of his membership, whichever is much less topic to a ceiling of of ₹1.75 lakh, offered that the reassurance profit shall not be lower than ₹2.50 lakh or greater than ₹7 lakh.
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