There is good news for millions of jobs. Employees Provident Fund Organization i.e. EPFO has announced some relief to the Employees Provident Fund (EPF) members for payment of interest at PF claim settlement. The new EPFO rule will help EPF members to receive more interest amount at the time of EPF claim settlement and rapid claim settlement. According to the Economic Times news, CBT approved a significant amendment to the EPF Scheme, 1952 paragraph 60 (2) (B) during the Central Board of Trustee Board (CBT) meeting.
What is the provision and what will change now
According to the current provisions, for the claims dealt with till 24th of the month, interest is paid only by the end of the previous month. Now, interest will be paid to the member by the date of settlement. This will provide financial benefits to the members and reduce complaints. According to the news, till now there was further delay in disposal of claims due to lack of disposal till 24th of the month. After this decision, now, these claims will be processed throughout the month, which will reduce pending cases, dispose on time and maximum use of resources. This reflects EPFO’s commitment to efficient, transparent and member-centered service distribution.
What is the new rule on PF claim disposal?
According to the news, after the new provision, interest on EPF balance will be available till the date of settlement of EPF claim. Experts say that under the earlier rule, if a claim was settled by 24th of the month, interest was paid only by the end of the previous month, causing members to lose interest for the days between the onset of the current month and the date of settlement. Now after the new amendment, interest will be available till the actual settlement date.
When will the new EPF Claim Settlement Rules apply?
Expert says that the thing to note is that the official notification for amendment of paragraph 60 (2) (B) has not been issued yet. The new rules of EPF claim settlement will be implemented only after the government issues notifications. That is, the existing/old rules will be applicable for EPF interest payment till then.
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