EPFO SETTLES 5.68 MN COVID ADVANCE CLAIMS TILL DECEMBER
Retirement fund body Employees’ Provident Fund Organisation (EPFO) has settled 5.68 million Covid-19 non-refundable advance claims, and has disbursed ₹14,310 crore till December 31, 2020, reflecting the adverse impact of the pandemic on the formal sector workforce.
When the coronavirus-induced lockdown was imposed in March, the central government had allowed over 6 crore subscribers of EPFO to withdraw an amount not exceeding their basic pay and dearness allowance for three months from their EPF account, to support them during the nationwide lockdown.
“The EPFO has settled 56.79 lakh Covid- 19 withdrawal claims and disbursed ₹14,310 crore to subscribers during the pandemic till December 31, 2020,” a person aware of the matter said.
According to the person, the EPFO has settled 19.79 million claims related to final settlement, death, insurance, advance claims and disbursed₹73,288 crore till December 31, 2020.
The amount of disbursals under Covid-19 claims to subscribers is a sizeable amount of over one fifth of the total disbursement during the period by the EPFO. According to the person, the quantum of the disbursement amount under the Covid- 19 claims reflects the stress among the formal sector workers due to the adverse impact of the pandemic, which resulted in job loss, pay cuts and forced migration, etc.
The Centre introduced the Pradhan Mantri Garib Kalyan Yojana on March 26, to provide aid to the economically weaker sections in view of the pandemic. It announced the provision for withdrawal from the EPF Scheme. Further, private EPF trusts also settled 4.19 lakh Covid- 19 claims and disbursed₹3,983 crore to the members.