India / Corona Relief Package Finance Minister Made This Big Announcement Regarding PF

New Delhi: Finance Minister Nirmala Sitharaman has made some big announcements on Monday to revive the economy from the Corona crisis. These also include the expansion of the self-reliant India Employment Scheme. This scheme was implemented on 1 October 2020. Now this scheme is being extended till 31 March 2022.

Under this scheme, the central government will fill the share of both employer and employee of PF in companies with 1000 employees. The government pays 12%-12% PF of the employee-company.

Under this scheme, if EPFO-registered establishments take such new employees who were not previously registered for PF or who have lost their jobs, then this scheme will benefit their employees.

who will get benefit

New employees will get the benefit of this scheme. Any new employee seeking employment in an EPFO-registered establishment with a monthly salary of less than Rs 15,000 will be benefitted from this. EPF members earning a monthly salary of less than Rs 15,000 who lost their employment during the COVID pandemic from 01.03.2020 to 30.09.2020 and are employed on or after 01.10.2020 will also get the benefit of this scheme.

Central government will give subsidy

• Provides subsidy for two years in respect of newly eligible employees engaged on or after 01.10.2020:
• In an establishment employing 1000 employees, the employee's contribution (12% of the salary) and the employer's contribution (12% of the salary) will be given by the government at 24% of the total salary.
• In the prestige employing more than 1000 employees, only the employee's EPF contribution (12% of salary) will be given by the government.