EPFO Members Can Now Avail Second Covid-19 Advance; Here's All You Need To Know
Under this provision, non-refundable withdrawal to the extent of the basic wages and dearness allowances for three months or up to 75% of the amount standing to member's credit in the EPF account, whichever is less, is provided. The members can apply for lesser amount also.
New Delhi: In an endeavor to support its subscribers during the second wave of the coronavirus pandemic, the Employees’ Provident Fund Organisation (EPFO) has now allowed its members to avail second non-refundable Covid-19 advance.
The Ministry of Labour and Employment said the provision for special withdrawal to meet the financial need of the members during the pandemic was introduced in March 2020 under the Pradhan Mantri Garib Kalyan Yojana (PMGKY), adding an amendment to this effect was made in Employees’ Provident Funds Scheme, 1952, by inserting therein sub-para (3) under paragraph 68L, through a notification in the Official Gazette.
Under this provision, non-refundable withdrawal to the extent of the basic wages and dearness allowances for three months or up to 75% of the amount standing to member's credit in the EPF account, whichever is less, is provided. The members can apply for lesser amount also.
The Covid-19 advance has been a great help to the EPF members during the pandemic, especially for those having monthly wages of less than Rs. 15,000, the Ministry of Labour and Employment said and informed the EPFO has, as on date, settled more than 76.31 lakh Covid-19 advance claims thereby disbursing a total of Rs. 18,698.15 crore.
Stating ‘mucormycosis’ or black fungus has been declared an epidemic recently during the second wave of the pandemic, the ministry said the EPFO in such trying times endeavours to lend a helping hand to its members by meeting their financial needs.
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The members, who have already availed the first Covid-19 advance, can now opt for a second advance also. The provision and process for withdrawal of second Covid-19 advance are same as in the case of the first advance.
Considering the urgent need of the members for financial support in these trying times, the Ministry of Labour and Employment said it has been decided to accord top priority to Covid-19 claims.
Stating the EPFO is committed to settling these claims within three days of their receipt, the ministry said the EPFO has for this deployed a system driven auto-claim settlement process in respect of all such members whose KYC requirements are complete in all respects.
Auto-mode of settlement enables the EPFO to reduce the claim settlement cycle to just three days as against the statutory requirement to settle the claims within 20 days, the ministry added.
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