The Employees Provident Fund Organisation (EPFO) has allowed its members to take second non-refundable COVID-19 advance.
The Employees Provident Fund Organisation (EPFO) has allowed its members to take a second non-refundable COVID-19 advance. This provision for special withdrawal to meet the financial need of members during the pandemic was introduced in March 2020 under Pradhan Mantri Garib Kalyan Yojana (PMGKY). And an amendment to this effect was made by the Ministry of Labour & Employment in Employees’ Provident Funds Scheme, 1952 by inserting therein sub-para (3) under paragraph 68L, through a notification in the Official Gazette, the Ministry of Labour and Employment said in a statement today.
How much can be withdrawn?
PF subscribers can make a non-refundable withdrawal of basic wages and dearness allowances for three months or up to 75 per cent of the amount standing to member’s credit in the EPF account, whichever is less. EPF members can apply for a lesser amount also.
The Ministry said that 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. Till now, EPFO has settled over 76.31 lakh COVID-19 advance claims, disbursing Rs 18,698.15 crore.
Will you get an advance for the second time?
EPFO said that EPF members who have already taken first COVID-19 advance can now opt for a second advance also. The provision and process for withdrawal of the second COVID-19 advance will be the same as in the case of the first advance.
Claims in three days
The Ministry of Labour & Employment said EPFO has committed to settle the claims within three days of their receipt. “EPFO has deployed a system driven auto-claim settlement process in respect of all such members whose KYC requirements is complete in all respects. Auto-mode of settlement enables EPFO to reduce the claim settlement cycle to just 3 days as against the statutory requirement to settle the claims within 20 days,” the ministry said.