The Central Government’s notification restricting withdrawal of employer’s contribution from the Employees Provident Fund Scheme before 58 years is expected to hit women workers in textile mills.
M. Senthil Kumar, chairman of Southern India Mills’ Association, has said in a press release that implementation of the restrictions for withdrawal of the EPF contribution of 3.67 per cent of employer’s share under the EPF scheme together with the accrued interest from EPF account will benefit only those employees who take continuous jobs till retirement.
In Tamil Nadu, there are nearly two lakh women workers in the textile mills who have enrolled under the PF Act. They are employed in a mill for three to five years and for them, PF contribution is a saving that they take home when they quit working. If they are not able to take back the entire amount, they might blame the management for false commitments. The chance of withdrawal of this amount after 58 years is remote as they might not operate the bank account and might not remember the PF account details. The savings money will be not be available to them at times of need.
Hence, the Central Government should reconsider the restriction and permit workers to take back the entire PF amount when they quit service in an organisation.
M. Senthil Kumar, chairman of Southern India Mills’ Association, has said in a press release that implementation of the restrictions for withdrawal of the EPF contribution of 3.67 per cent of employer’s share under the EPF scheme together with the accrued interest from EPF account will benefit only those employees who take continuous jobs till retirement.
In Tamil Nadu, there are nearly two lakh women workers in the textile mills who have enrolled under the PF Act. They are employed in a mill for three to five years and for them, PF contribution is a saving that they take home when they quit working. If they are not able to take back the entire amount, they might blame the management for false commitments. The chance of withdrawal of this amount after 58 years is remote as they might not operate the bank account and might not remember the PF account details. The savings money will be not be available to them at times of need.
Hence, the Central Government should reconsider the restriction and permit workers to take back the entire PF amount when they quit service in an organisation.