Centre to pay 24% EPF money for pvt firms, staff for 3 months


New Delhi, March 26 | In a major relief for certain private sector companies and their staff, Union Finance Minister Nirmala Sitharaman on Thursday announced that the government will make 24 per cent contribution to the Employees’ Provident Fund (EPF), 12 per cent each for employer and employee for the next three months.

The government will make this contribution only in case of establishments with up to 100 employees, 90 per cent of whom draw less than Rs 15,000 per month, Sitharaman told the media here.

The scheme would benefit 80 lakh employees and 4 lakh establishments, she added.

“That (24 per cent) will be paid for the next three months by the government of India, so that nobody suffers, because the EPF contribution has lost continuity and as a result they could be lot more difficulties. So 12 plus 12, a 24 per cent contribution, which has to go into the EPF account of an employee will be borne by the government of India for the next three months,” she said.

Announcing the second measure for the organized sector, she said that employees would be allowed to take non-refundable advance for 75 per cent from credit in provident fund account or the wages for three months, whichever is lower.

Sitharaman said that around 4.8 crore workers registered with the EPF will be able to withdraw the money.

The decisions come as a major relief for the working class and the private companies which would go through financial stress amid the 21-day nationwide lockdown. The coronavirus crisis has already hampered businesses and normal life across the country.

Of late, the government has announced a slew of measures to provide support to the common man and enterprises, including extension in the deadline for filing I-T and GST return for the financial year 2018-19.

On Thursday, the Finance Minister also announced a Rs 50 lakh per person health insurance cover for the doctors, paramedics, nurses, ‘Asha’ workers, cleaning workers who have been involved in the fight against coronavirus pandemic and treating the affected patients.

She also announced an economic relief package of Rs 1.7 lakh crore for the poor and migrant workers under the Prime Minister Gareeb Kalyan Scheme.

Source: IANS

Sponsors Posts

Covid-19 Lockdown : Greenwood High International School comes forward to help the needy

Covid-19 Lockdown : Greenwood High International School comes forward to help the needy

Bangalore, April 02, 2020 : The nationwide lockdown to combat Coronavirus outbreak in the country has led to severe difficulties for the poor and homeless people. In an effort to help the needy, Greenwood High International School, has come forward to do their bit to the cause. The school have undertaken the initiative to prepare food for 300 underprivileged families every day and distribute  in and around Sarjapur area with the help of Sarjapur police station. This would be a continuous support from the school authority towards the needy people until the lockdown ends. While distributing the food, the school authority also followed the social distancing norms and ensured that necessary precautionary measures like masks and gloves were used in the entire process to provide clean and hygienic food to the people.

Speaking on this initiative, Ms. Niru Agarwal, Trustee, Greenwood High said: “As much as we believe in inculcating the values of benevolence and philanthropy among our students, we practise these ourselves too. Greenwood High has always been compassionate to help those in need and we continue to do so. We are mindful of contributing to the society in multiple ways and are proud to leverage our sources towards such an important cause. Several NGOs, individuals and businesses are pitching in to help the citizens and government through various initiatives with the hope that humanity would survive these dreadful times of coronavirus onslaught. We believe that only by active collaboration between all the members of the society, we will be able to overcome the impact of this pandemic.”


Please enter your comment!
Please enter your name here