EPFO Alert: Change in EPFO ​​pension rules, direct benefit to 23 lakh employees
 

EPFO Pension Rules: During the last financial year, about 7 lakh claims for withdrawal from EPFO's Employees Insurance Scheme were rejected. After the change, the cases of rejection are expected to reduce...

Good news has come for lakhs of subscribers of the Employees Provident Fund Organization (EPFO). The government has made some changes in the pension rules of EPFO, which will directly benefit about 23 lakh employees of the private sector.

7 lakh claims rejected last year
A statement was issued by the government on Friday regarding the change in pension rules. According to the statement, the government has made changes in Table-D. After this change, now employees with less than 6 months of contribution will also be able to withdraw under the Employees Pension Scheme. Till now, at least 6 months of contribution was required to withdraw. Due to this, about 7 lakh claims of employees were rejected in the financial year 2023-24 alone.

Estimated to benefit more than 23 lakh people
The government believes that the changes made in Table-D of the Employees' Pension Scheme 1995 will benefit more than 23 lakh employees. This change has ensured that now the monthly contribution of the employees will be added to the account and the withdrawal benefits will be calculated in proportion to the service period.

This is how the benefits will be calculated
This means that now the withdrawal amount in the EPFO ​​​​pension scheme for employees will depend on the months of service and the remuneration based on the contribution to EPS. Till now the calculation of withdrawal benefit depended on the period of contributory service, in which at least one contributory service of 6 months was necessary. Till now lakhs of claims were getting rejected due to not having at least one continuous service of 6 months.

Now you will get benefit on fractional service also
The benefits given to those EPFO ​​subscribers who have contributed to EPS and have now left the service or whose age has been completed 58 years are mentioned in Table-D of EPS. After the change in the rules of Table-D, now the employees will be assured to get benefit on the basis of fractional service also.