Govt rolls back decision on tightening PF withdrawal norms

Union Labour Minister Bandaru Dattatreya today announced roll back of the proposal of not allowing employee to withdraw 3.67 % of employer's share in the Employees Provident Fund till retirement. He said the implementation of the notification in this regard issued on 10 th Feb has been cancelled. Addressing a press conference in Hyderabad, he said the existing system will continue to be in force. He said after discussing the matter in the tripartite meeting and considering the demands from various trade unions, ministry has decided to continue the existing system. Stating that keeping the social security interests of the employees in view, he said the ministry proposed a system in which the employee will not be allowed to withdraw 3.67 per cent of the employer's share till his retirement. The notification was supposed to come into force by 1 st May this year. The minister said the decision to roll back the proposal came in the light of some objections raised by some sections of the stakeholders. He further said, the government has taken the decision only to protect the social security interests of employee. Stating that there was some anti-government campaign underway by some sections, the minister said there was no need for apprehensions on the EPF issue.