Employees' Pension (Second Amendment) Scheme, 2016 - Defer the age of Drawing Pension

MINISTRY OF LABOUR AND EMPLOYMENT NOTIFICATION

New Delhi, the 25th April, 2016

G.S.R. 440(E).-In exercise of powers conferred by section 6A read with sub- section (1) of section 7 of the Employees' Provident Funds and Miscellaneous Provisions Act, 1952 (19 of 1952), the Central Government hereby makes the following Scheme further to amend the Employees' Pension Scheme, 1995, namely :-

1. (1) This Scheme may be called the Employees' Pension (Second Amendment) Scheme, 2016.

(2) It shall come into force from the date of its publication in the Official Gazette.

2. In the Employees' Pension Scheme, 1995 in paragraph 12, after sub- paragraph (7-A), the following sub-paragraph shall be inserted, namely:-

"(7B) (a) A member who has attained the age of fifty-eight years and is otherwise eligible for pension under clause (a) of sub-paragraph (1) of this paragraph, if he so desires, may be allowed to defer the age of drawing pension later than fifty-eight years but not beyond sixty years of age.

(b) In such cases as is referred to in clause (a),-

(i) the amount of pension shall be increased at the rate of four per cent, for every completed year after the age of fifty-eight years which shall be restricted to the wage ceiling given under the proviso to sub-paragraph (2) of paragraph 3;

(ii) the member, at his or her option, may also be allowed to continue contributions under paragraph 3 to the Employees' Pension Fund for the period for which the drawal of pension has been deferred, if the member is continuing in employment after the age of fifty-eight years, and the pensionable service and pensionable salary for the purpose of determination of pension under sub-paragraph (2) will be reckoned taking into account the period for which contributions were made after the age of fifty-eight years but not beyond the age of sixty years;

(iii) in the event of death of the member, who has opted for deferring the age of drawing pension under this sub-paragraph, after attaining the age of fifty-eight years and before the commencement of the pension so deferred, the family of the member will be entitled to pension under clause (c) of sub-paragraph (1) of paragraph 16 from the date following the date of death of the member as if the member monthly pension had commenced on the date of death of the member.".

Key notes Pension - EPS 2nd Amendments 2016

• If Pension member desires, may be allowed to defer the age of drawing pension later than 58 years but not beyond 60 years of age
• The amount of pension shall be increased at the rate of 4%
• the member, at his or her option, may also be allowed to continue contributions under paragraph 3 to the Employees' Pension Fund for the period for which the drawal of pension has been deferred,
• In the event of death, the family of the member will be entitled to pension under para 16 (1)(c) from the date following the date of death of the member as if the member monthly pension had commenced on the date of death of the member.".

Employee Pension Amendment Scheme 2016 - Monthly Orphan Pension

Employee Pension Amendment Scheme 2016

Monthly Orphan Pension

In the Employees' Pension Scheme, 1995, in paragraph 16, in sub- paragraph (4), after the proviso to clause (a), the following shall be inserted, namely:- "(aa) The monthly orphan pension shall be payable to each orphan till such orphan attains the age of twenty-five years: Provided that the monthly orphan pension shall be payable to an orphan beyond the age of twenty-five years, if such orphan is suffering from disorder or disability of mind or who is physically crippled or disabled.".

PF Advance Claim Increased to 1Lakh from 50K

Threshold raised from 50K to 1 lakh for auto claims processing... para 68J Advance from Fund for treatment of illness

In a significant move aimed at providing greater financial support during medical emergencies, the Employees’ Provident Fund Organisation (EPFO) has announced an increase in the withdrawal limit from Provident Fund (PF) accounts. Starting from the new financial year, account holders can now withdraw up to INR 1 lakh for medical treatments, a substantial increase from the previous limit of INR 50,000. Overview of the New EPFO Rule Effective April 16, following approval from the Central Provident Fund Commissioner, the new rule allows PF account holders to access funds for the medical treatment of themselves or their dependents. This change was implemented after modifications were made to the application software on April 10, facilitating a smoother claim process. Claiming Process Explained PF account holders can file their claims online through the official EPFO website (www.epfindia.gov.in). The process involves: Logging into the portal. Navigating to ‘Online Services’ and selecting the relevant claim forms (Form 31, 19, 10C, and 10D). Verifying account details by entering the last four digits of the PF account number. Completing the online claim by clicking ‘Proceed for Online Claim’ and filling out Form 31 for an advance. Uploading a copy of a check or bank passbook and entering the address details. Submitting the claim after receiving and entering an Aadhaar OTP. Medical Emergencies and Hospitalization Withdrawals under Provision 68 JK are specifically for medical emergencies, where the patient must be admitted to a government hospital or one affiliated with the government. In cases where a patient is admitted to a private hospital, the claim will be processed only after an investigation. Additionally, funds can be directly transferred to the hospital’s account, and the treatment receipt must be submitted within 45 days of discharge for final settlement. Additional Provisions Beyond medical emergencies, Form 31 also allows for partial withdrawals under various circumstances such as marriage, loan repayments, and construction or purchase of a property. However, subscribers cannot claim more than six months of basic wages and dearness allowance (or with interest) under these provisions. Key Takeaways Increased Withdrawal Limit: The increase to INR 1 lakh provides substantial financial relief to EPFO subscribers during medical emergencies. Streamlined Online Claims: The updated online system simplifies the application process, making it more user-friendly for subscribers. Restrictions on Use: Withdrawals are strictly for serious health conditions and require hospitalization in specific types of hospitals to qualify for a claim. Direct Payment to Hospitals: For added convenience, payments can be directly made to hospital accounts, ensuring swift financial handling during emergencies.

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PF to be Increased to Rs 21000 from Rs 15000

Synopsis

 

• The Government of India is contemplating enhancing the wage ceiling under the Employees' Provident Fund & Miscellaneous Provision Act, 1952 to at least ₹21,000 from ₹15,000 now to widen the social security coverage, a step towards achieving universal social security.
• The last amendment on the cap of salary was made in 2014 wherein the government had raised the PF salary limit from Rs 6500 to Rs 15000.

Note the news are based on Print Media publication read by me during last week. Any official correspondence to support this news isn't observed yet. Let us wait for the official gazette copy for the same.  

Earlier Post 

PF to be Increased to Rs 25000 from Rs 15000 - CBT to Ministry of Labour

The Jharkhand Payment of Wages (Amendment) Rules, 2023 

The amendment changes the requirement for sending a return regarding fines imposed or deductions made from wages in factories or other establishments. 

The amended rule stipulates that the return should be sent to the Inspector of Factories in case of factories and to the Labour Superintendent in case of other establishments in their respective jurisdictions. This return should reach the designated authority not later than the 15th of February following the end of the calendar year to which it relates. 

The amendment necessitates that returns regarding fines imposed or deductions made from wages in factories or other establishments be sent to the designated authorities within a specified time frame. The deadline for sending the return in Form IV for factories and other establishments according to the amendment is not later than the 15th of February, following the end of the calendar year to which it relates. 

This amendment is in accordance with the Jharkhand Payment of Wages (Amendment) Rules, 2023. This amendment aims to streamline the process of reporting such financial transactions and ensure compliance with the regulations outlined in the Payment of Wages Act, 1936.