The Government is in the process of achieving a better return on the amount deposited in the Provident Fund (PF) account. The Labor Panel created by the Parliamentary Committee will operate in this direction. This information was provided by three people involved with this development.
The Labor Panel formed last month is scheduled to meet next week. At its first meeting, the panel will brainstorm the management, efficiency and investment of the Rs 10 trillion Fund under the Employees Provident Fund Organization (EPFO). In addition, the panel would also consider ways to make EPFO more profitable for those employed in the integrated and unorganised market. Significantly, the management of EPFO and its fund has not been prosecuted for the last one year. A person associated with this said that the fund managers are now investing their funds in the market, and so we want to test it. Panel members will also assess the impact of coronavirus and lockdown on EPFO funds.
Plan to increase social security
The central government aims to provide security and social security to the unorganized workers in old age. Social security mainly to rickshaw drivers, street vendors, head loaders, brick kiln laborers, cobblers, rag pickers, domestic workers, agricultural construction workers etc. through the Centre’s ambitious scheme Pradhan Mantri Shram Yojana-Dhan Yojana (PM-SYMY) Has to be strengthened. EPFO was earlier only for the organized sector but the central government has also included the unorganized sector in it.
There will be discussion on increasing the pension amount
A person associated with the development said that in the meeting of the Committee on PF Fund held on Wednesday to ensure easy availability of funds to families in case of pension scheme, increase in pension under Employees Pension Scheme (EPS) and death of account holder. Will also be discussed. We are demanding that the minimum pension under the EPS scheme be increased to Rs 5,000 monthly. Many trade unions and labor organizations have also been demanding increase in pension amount for some time.
Will submit report in winter session of parliament
The Parliamentary Committee on PF Fund will hold several meetings to discuss the issue and submit its detailed report to Parliament in the winter session. Members of the committee have asked representatives of the Ministry of Labor to look into the provisions made for workers in organized and unorganized sector in other countries. It is possible that this issue should be discussed in the meeting on Wednesday.
- There will be discussion on increasing the pension under 5000 rupees EPS
- Emphasis on better utilization of EPF fund of Rs 10 trillion
- EPFO is currently paying interest at 8.50 per cent on PF