Now a big update has been revealed regarding EPFO. The government on Monday informed Parliament that 17.49 lakh members of retirement fund body Employees’ Provident Fund Organisation (EPFO) have applied for the option to contribute on their actual (higher) basic salary to finally receive a higher pension following the apex court’s order in November 2022. According to the government, currently these applicants have contributed or are contributing at the prescribed limit of Rs 15,000 per month, irrespective of how high their actual basic salary is.
Over 17 lakh applicants have applied
In a written reply to a question in the Rajya Sabha, Minister of State for Labour and Employment Shobha Karandlaje said, “In the implementation of the judgment passed by the Supreme Court on November 4, 2022, an online facility was provided by the EPFO wherein a total of 17.49 lakh applications for verification of options/combined options were successfully submitted by the applicants.”
Supreme Court had given the order in 2022
The Supreme Court ruled on November 4, 2022, in favour of existing employees being able to opt for a higher pension under the Employees’ Pension Scheme (EPS), 1995.
The Employees’ Pension Scheme 1995 (EPS-95), introduced by the Employees’ Provident Fund Organisation (EPFO) on November 19, 1995, is a social security initiative aimed at meeting the retirement needs of employees in the organised sector. Administered by the EPFO, the scheme guarantees pension benefits to eligible employees who reach the age of 58.
