Nearly Rs 39,500 Crore Provident Fund Withdrawn Since Lockdown Came Into Effect
A total of Rs 39,402.94 crore was withdrawn from provident fund accounts since the coronavirus lockdown came into effect in India, the government said on Monday.
In a written reply to questions in the Lok Sabha, Labour Minister Santosh Gangwar said Rs 39,402.94 crore was withdrawn from EPF accounts between March 25 and Aug. 31 this year. The maximum withdrawals were recorded in Maharasthra (Rs 7,837.85 crore), followed by Karanataka (Rs 5,743.96 crore) and Tamil Nadu & Puducherry (Rs 4,984.51 crore).
The total EPF withdrawals in Delhi during the period stood at Rs 2,940.97 crore.
The minister informed Lok Sabha that in order to ameliorate the hardships faced by the labourers due to economic disruption caused by Covid-19 pandemic, various initiatives have been taken by the Ministry of Labour and Employment as part of Pradhan Mantri Garib Kalyan Yojana and Atmanirbhar Bharat.
These include payment of 12% employers' share and 12% employees' share under Employees' Provident Fund, totalling 24% by the government for six wage months from March to August 2020 for all the establishments having up to 100 employees with 90% of such employees earning less than Rs 15,000 monthly wage.
Besides, the government also reduced EPF contribution from 12% to 10% of wages for the wage months of May, June and July 2020. A non-refundable covid advance from the EPF by amending the EPF Scheme, 1952 was also unveiled.