![THE EMPLOYEES' PENSION SCHEME, 1995
In exercise of the powers conferred by Section 6A of the Employees' Provident Funds and
Miscellaneous Provisions Act, 1952 (19 of 1952), the Central Government hereby makes the following
Scheme, namely;-
1. Short title, commencement and application
(1) This Scheme may be called the Employees' Pension Scheme, 1995;
(2) (a) This Scheme shall come into force on 16th day of November, 1995;
(b) Subject to the provisions of this Scheme the employees have an option to become the
members of the Scheme with effect from the 1st April, 1993 ;
(3) Subject to the provisions of Section 16 of the Employees' Provident Funds and Miscellaneous
Provisions Act, 1952, this Scheme shall apply to the employees of all factories and other
establishments to which the Employees' Provident Funds and Miscellaneous Provisions Act,
1952 applies or is applied under sub-section (3) or sub-section (4) of Section 1 or Section
3 thereof.
2. Definitions
riI
(1) In this Scheme unless the context otherwise requires ;-
(i) "Act" means the Employees' Provident Funds and Miscellaneous Provisions Act, 1952 (19
of 1952);
(ii) "actual service" means the aggregate of periods of service rendered from the 16th November,
1995 or from the date of joining any establishment whichever is later to the date of exit from
the employment of the establishment covered under the Act;
(iii) "Commissioner" means a Commissioner for Employees' Provident Funds appointed under
Section 5D of the Act;
(iv) "contributory service" means the period of 'actual service' rendered by a member for which
the contributions to the fund have been '[received or are receivable] ;
(v) "eligible member" means an employee who is eligible to join the "Employees' Pension
Scheme";
(vi) "Existing Member" means an existing employee who is a "Member of the Employees' Family
Pension Scheme, 1971";
(vii) "Family" means
(i) wife in the case of male member of the Employees' Pension Fund;
(ii) husband in the case of a female member of the Employees' Pension Fund: and
(iii) sons and 2[***J daughters of a member of the Employees' Pension Fund;
1. . Subs. by G.S.R 134 dated 281h February 1996. for the word "received" (w.e.f 161h March 1996)
The word "unmarried" omitted. ibid (w.e.f, 16 th March, J996)
I1](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-9-320.jpg)
![Explanation :
The expression "sons" and "daughters" shall include children '[legally adopted by the
member.
(viii) "Pension" means the pension payable under the Employees' Pension Scheme and also includes
the family pension admissible and payable under the Employees' Family Pension Scheme,
1971 immediately preceding the commencement of the Employees' Pension Scheme, 1995
with effect from the 161h November, 1995.
(ix) "Member" means an employee who becomes a member of the Employees' Pension Fund in
accordance with the provisions of this Scheme.
2Explanation :
An employee shall cease to be the member of Pension Fund from the date of attaining 58
years of age or from the date of vesting admissible benefits under the Scheme, whichever is
earlier.
(x) "Non-Contributory Service" is the period of "actual service" rendered by a member for
which no contribution to the "Employees' Pension Fund" has been 3[received or are
recei vable].
"orphan" means a person, none of whose parents is alive 4[***].
"past service" means the period of service rendered by an existing member from the date
of joining Employees' Family Pension Fund till the 151h November, 1995.
"Pay" means basic wages, with dearness allowance, retaining allowance and cash value
of food concessions admissible, if any.
"Pension fund" means the Employees' Pension Fund set up under sub-section (2) of Section
6A of the Act.
"pensionable~ service" means the service rendered by the member for which contributions
have been' [received or are receivable].
(xi)
(xii)
(xiii)
(xiv)
(xv)
S[(xvi) "permanent total disablement" means such disablement of permanent nature as
incapacitates an employee for all work which he/she was capable of performing at the time
of disablement, regardless whether such disablement is sustained in the course of
employment or otherwise;]
(xvii) "Table" means Tableappended to this Scheme.
(xviii) The words and expressions defined in the Act but not defined in this Scheme shall have'
the same meaning us assigned to them in the Act.
1. Subs. Ibid .. for "adopted by the member legally before death in service' (w.e.f. 16'h March, 1996).
2. Inserted by G.S.R. 66 dated 22nd February. 1999 (w.e.f. 6.3.99)
3. Subs. by.G.S.R. 134 dated the 28th February. 1996 for the word "received" (w.e.f. 16th March. 1996)
4. Certain words omitted, ibid (w.e.f, Ioth March. 1996).
5. Sub. by G.S.R. 134 dated the 28th February 1996. (w.e.r. 16th March. 19961
4
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3. Employees' Pension Fund.
(1) From and out of the contributions payable by the employer in each month under Section 6
of the Act or under the rules of the Provident Fund of the establishment which is exempted
either under clauses (a) and (b) of sub-section (1) of Section 17 of the Act or whose
employees are exempted under either paragraph 27 or paragraph 27-A of the Employees'
Provident Fund Scheme, 1952, a part of contribution representing 8.33 per cent of the
Employee's pay shall be remitted by the employer to the Employees' Pension fund within 15
days of the close of every month by a separate bank draft or cheque on account of the
Employees' Pension Fund contribution in such manner as may be specified in this behalf by
the Commissioner. The cost of the remittance, if any, shall be borne by the employer.
(2) The Central Government shall also contribute at the rate of 1.16 per cent of the pay of the
members of the Employees' Pension Scheme and credit the contribution to the Employees'
Pension Fund:
Provided that where the pay of the member exceeds '[rupees six thousand and five hundred]
per month the contribution payable by the employer and the Central Government be limited
to the amount payabl.: on his pay of rupees ~~ sa'I1louaadFiveHu.o.dred Oal,
(3) Each contribution payable under sub-paragraphs (1) and (2) shall be calculated to the nearest
rupee, fifty paise or more to be counted as the next higher rupee and fraction of a rupee less
than fifty paise to be ignored.
(4) The net assets of the Family Pension Scheme, 1971 shall vest in and stand transferred to the
Employees' Pension Fund.
~. Payment of contribution
(1) The employer shall pay the contribution payable to the Employees' Pension Fund m respect
of 2[each member] of the Employees' Pension Fund employed by him directly or by or through
a contractor.
(2) It shall be the responsibi lity of the principal employer to pay the contributions payable to the
Employees' Pension Fund by himself in respect of the employees directly employed by him
and also in respect of the employees employed by or through a contractor.
Recovery of damages for default in payment of any contributions
(1) Where an employer makes default in the payment of any contribution to the Employees'
Pension Fund, or in the payment of any charges payable under any other provisions of the
Act or the Scheme, the Central Provident Fund Commissioner or such officer as may be
authorised by the Central Government, by notification in the Official Gazette, in this behalf,
may recover from the employer by way of penalty. damages at the rates given below :-
Subs. by G.S.R. - dated ~ 1st May. ~()OI for "rupees five thousand" (w.e.f, 1st June. 2001)
Subs. by G.S.R. 134 dated ~8th February. 96. for "the member" (w.e.f, 16th March. 1996)
:;](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-11-320.jpg)
![Period of default Rate of damages
(Percentage of arrears per annum]
(a) Less than two months
(b) Two months and above
but less than four months
(c) Four months and above
but less than six months
(d) Six months and above
Seventeen
Twenty-two
Twenty-seven
Thirty-seven
(2) The damages shall be calculated to the nearest rupee, 50 paise or more to be counted as
the nearest higher rupee and fraction of a rupee less than 50 paise to be ignored.
1[6. Membership of the Employees' Pension Scheme
Subject to sub-paragraph (3) of paragraph 1, the Scheme shall apply to every employee
(a) Who on or after the 16th November, 1995, becomes a member of the Employees' Provident
Fund Scheme, 1952, or of the Provident Funds of the factories and other establishments
exempted by the appropriate Government under section 17 of the Act, or in whose rase
exemption has been granted under paragraph 27 or 27-A of the Employees' Provident Fund
Scheme, 1952, from the date of such membership;
(b) Who has been a member of the ceased Employees' Family Pension Scheme, 1971 before
the commencement of this Scheme from 16th November, 1995;
(c) Who ceased to be a member of the Employees' Family Pension Scheme, 1971 between I"
April, 1993 and 15th November, 1995 and opts to exercise his option under Paragraph7;
(d) Who has been a member of the Employees' Provident fund or of Provident Funds of factories
and other establishments exempted by the appropriate Government under section 17 of the
Act or in whose case exemption has been granted under Paragraph 27 or 27A of the
Employees' Provident Fund Scheme, 1952, on 15th November, 1995 but not being a member·
of the ceased Employees' Fami ly Pension Scheme, 1971 opts to exercise his option under
paragraph 7J.
Explanation :
All employer shall cease to be the member of Pension Fund from the date (~f attaining
58 years of age or from the date of vesting admissible benefits under the Scheme,
whichever is earlier.
Z[6A. Retention of membership
A member of the Employees' Pension Fund shall continue to be suclt member till he
attains the age of 58 years or he avails the withdrawal benefit to whicb he is entitled.
under para 14 of the Scheme, or dies, or the pension is vested in him ill terms of para
12 of the Scheme, whichever is earlier.)
L Subs. by G.S.R.134 dated 28th February, 1996 (w.e.f. 16th March, 19%)
2. Ins. by G.S.R. 66, dated the 22nd February. 1999 (w.e.f. 6th March. 1999)
6](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-12-320.jpg)
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1[7. Option for joining the Scheme.
(1) Members referred to under sub-para (c ) of Paragraph 6 who have died between 151April,
1993 and 151hNovember, 1995 shall be deemed to have exercised the option of joining the
Scheme on the date of his death.
(2) Members referred to in sub-paragraph (c ) of paragraph 6 who are alive shall have the option
to join the Scheme as per the provisions of paragraph 17 from the date of exit from the
employment.
(3) Members referred to in sub-paragraph (d) of paragraph 6 shall have the option to join the
Scheme as per the provisions of Paragraph 17 from 16thNovember, 1995.]
8. Resolution of doubts.
If any doubt arises whether an employee is entitled to become a member of the Employees' Pension
Fund, the same shall be referred to the Regional Provident Fund Commissioner who shall decide
the same:
Provided that both the employer and the employee shall be heard before passing final order in the
matter.
9. Determination of eligible service.
The eligible service shall be determined as follows:
(a) In the case of "new entrant" the "actual service" shall be treated as eligible service. The total
actual service shall be rounded off to the nearest year. The fraction of service for six months
or more shall be treated as one year and the service less than six months shall be ignored.
Explanation :
In the case of employees employed seasonally in any establishment the period of "actual
service" in any year, notwithstanding that such service is less than a year shall be treated
as a full year.
(b) In the ease of the "existing member" the aggregate of actual service and the 'past service'
shall be treated as eligible service.
Provided that if there is any period in the "past service" for which the contributions towards
the Family Pension Scheme, 1971 has not been received, the said period shall count as eligible
service only ifthe contributions thereof have been received in the Employees' Pension Fund. -
Explanation :
For tile purpose of this sub-paragraph the total past service for less than six months shall
be ignored and the total past service for six months and above shall be rounded to a year.
1. Subs. by G.S.R. 114 dated the 28th February. 1996 (w.e.f. 16th March. 1996)
7](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-13-320.jpg)
![10.
~~
Determinatio.n of Pensi~nable Service. .. . f
(1) The pensionable service of the member shall be determined with reference to the contnbutions I'.,.
I[received or receivable] on his behalf in the Employees' Pension Fund. •
(2) In the case of the member who superannuates on attaining the age of 58 years, and/or who'
has rendered 20 years pensionable service or more, his pensionable service shaIl be increased I
by adding a weightage of 2 years. ~•. Determination of Pensionable Salary. I
~. (1) Pensionable salary shall be average monthly pay drawn 2[in any manner including on piece- i
rate basis] during the contributory period of service in the span of 12 months preceding the J
date of exit from the membership of the Employees' Pension Fund.
11.
"[Provided that if a member was not in receipt of full pay during the period of twelve
months preceding the day he ceased to be the member of Pension Fund, the average of
previous 12 months full pay drawn by him during the period for which contribution to
the pension fund was recovered, shall be taken into account as pensionable salary for
calculating pension}
(2) If during the said span of 12 months there are non-contributory periods of service including
cases where the member has drawn salary for a part of the month, the total wages during
the 12 months span shall be divided by the actual number of days for which salary has been i
drawn and the amount so derived shall be multiplied by 30 to work out the average monthly
pay.
(3) The maximum pensionable salary shall be limited tofive thousand rupees per month.
4[Provi?ed that if at the oPti.on of the employer and employee, cont~ib~tion paid on salary f'"
exceeding Rs 5,000/- per month from the date of commencement ot this Scheme or from' .
the date salary exceeds Rs. 5000/- whichever is later, and 8.33 per cent share of the
employers thereof is remitted into the Pension Fund, pensionable salary shall be based on
such higher salary.
12. Monthly Member's Pension.
(1) A member shall be entitled to :-
(a) superannuation pension if he has rendered eligible service of 20 years or more and retires on
attaining the age of 58 years;
(b) retirement pension, if he has rendered eligible service of 20 years ormore and retires or'
otherwise ceases to be in the employment before attaining the age of 58 years;
(c) short seryicc pension, if he has rendered eligible service of 10 years or more but less than
20 years.
1. Subs. by G.S.R. 134 dated the 28'10February. 1996 for "received" (w.e.f. 16,hMarch, 1996).
Ins. ibid (w.e.f. 16'10March. 1996).
Ins. by G.S.R. 66 dated 22"d February. 1999 (w.e.f. 6th March, 19(9).
,11
Ins. by G.S.R. 134. dated 28 February. 1996 (w.e.f. 16th March. 1(96).
2.
3.
4.](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-14-320.jpg)
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(2) In the case of a new entrant the amount of monthly superannuation pension or retiring
pension, as the case may be, shall be computed in accordance with the following factors
namely ;- -
Monthly member's pension = Pensionable salary X Pensionable service
70
'[***]
(3) In the case of an employee 2[who was a member of the ceased Family Pension Scheme,
1971] and who has not attained the age of 48 years on the 16th November, 1995 :
Superannuation/retirement/short service pension shall he equal to the aggregate of ;-
(a) Pension as determined under sub-paragraph (2) for the period of pensionable service renderer
from the 16th November, 1995 or Rs 635/- per month whichever is more;
3[(b) Past service pension benefit shall be as given below :- -
The past service benefit payable on completion of 58 years of age on 16.11,95
Years of past Salary upto Salary more than
Service Rs. 2500/- R~. 2500/- per
per month per month
(1) (2) (3)
(i) Upto 11 years 80 85
(ii) More than 11 years but 95 105
upto 15 years
(iii) More than 15 years but 120 135
less than 20 years
(iv) Beyond 20 years 150 170
subject to a minimum of Rs. 800/- per month provided the past service is 24 years. If the aggregate
service of the member is less than 24 years, the pension and the benefits computed as above shall be
reduced proportionately subject to a minimum of Rs. 450/- per month]
<I[ (c) On completion of the age of 58 years after 16-11-95, the benefit under column (2) or column
(3) above. as the case may be shall be multiplied by the factor given in Table B corresponding
to the period between 16-11-95 and date of attainment of age 58 to arrive at past-service
pension payable.]
I. Certain words omitted by G.S.R. 134 dated the 281h February, 1996 (w.e.f. 161h March 1996)
Subs. by G.S.R. 134 dated the 28.1, February. 1996 (w.e.f 16110 March 1996).
. Subs. by G.S.R. 134. dated the 28'" February, 1996 (w.e.f 16'" March 1996).
Ins. ibid. (w.e.f. 16'" March 199(,).
')](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-15-320.jpg)
![(4) In the case of an employee '[who was a member of the ceased Family Pension Scheme, 1~71]
and has attained the age of 48 years but less than 53 years on the 16,thNovember, 11995, the
superannuation/retirement pension shall be equal to the aggregate of : -
(a) pension as determined under sub-paragraph (2) for tne period of service rendered from the
16th November, 1995 or Rs. 438/- per month whichever is more;
(b) past service benefit as provided in sub-paragraph (3) subject to a minimum of Rs. 600/- per
month provided the past service is 24 years. Provided further that if it is less than 24 years
the pension payable and the past service benefits taken together shall be proportionately less
subject to the minimum of Rs. 325/- per month.
In the case of an employee 2[who was a member of the' ceased P~~~!~' ?~!"!~!~!"!Scheme, !971)"~d
who has attained the age of 53 years or more on the 16thNovember, 1995, the superannuation/
retirement pension shall be equal to the aggregate of :
(a) pension as determined under sub-paragraph (2) for the period of service rendered from the
16thNovember, 1995 per month or Rs.335/- per month whichever is more.
(b) Past service benefits provided in sub-paragraph (3) subject to the minimum of Rs. 500/- per
month, provided the past service is 24 years. Provided further that if it is less than 24 years
the pension payable and the past service benefits shall be proportionately lesser but subject
to the minimum of Rs. 265/- per month.
(6) Except as otherwise expressly provided hereinafter the monthly members pension under sub-paragraphs
(2) to (5) mentioned herein above, as the case may be, shall be payable from a date
immediately following the date of completion of 58 years of age notwithstanding that the member
has retired or ceased to be in the employment before that date.
(5)
(7) A member, if he so desires, may be allowed to draw monthly reduced pension from a date earlier
than 58 years of age but not earlier than 50 years of age. In such cases, the amount of pension
shall be reduced at the rate of 3[three per cent for every year the age falls short of 58 years].
(8) If a member ceases to be in the employment by way of retirement or otherwise earlier than the
date of superannuation from which pension can be drawn, the member may, on his option, either
be paid pension as admissible under this Scheme on attaining the age exceeding 50 years or he
may be issued a scheme certificate by the Commissioner indicating the pensionable service, the
pensionable salary and the amount of pension due on the date of exit from the employment. If hel
she is subsequently employed i~ an establishment coverable under this Scheme, his/her earlier service
as per the scheme certificate shall be reckoned for pension along with the fresh spell of pensionable
service. The member postponing the commencement of payment of pension under this paragraph
shall also be entitled to additional relief sanctioned under this Scheme from time to time:
1. Subs. by G.S.R. 134 dated the 28,h February, 1996 (w.e.f. 16'h March 1996)
2 Subs. byG.S.R. 134, dated the 28'h February, 1996 (w.e.f 16'h March, 1996)
3. Subs. by G.S.R. 134, dated the 28,h February. 1996b (w.e.f, 16'hMarch, 1996).
IO](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-16-320.jpg)
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Provided that if the member does not take up an employment coverable under this Scheme, but
dies before attaining the age of 58 years, the amount of contributions received in his Case shall
be converted into a monthly widow pension/children pension. The widow pension in such cases
shall be calculated at the scale laid down in Table 'C' and the children pension at 25 per cent
thereof for each child (upto two). If there is no widow then the orphan pension shall be payable
at the rate of 75 per cent of the amount which would have been payable as a widow pension
subject to the provisions of the paragraph 16.
I
n12A. Option for commutation.
< A member eligible to pension may, in lieu of pension normally admissible under paragraph 12, opt
on completion of three years from the commencement of this Scheme, to commute upto a maximum
of one third of his pension so as to receive hundred times the monthly pension so commuted as
commuted value of pension. Balance pension will be paid on monthly basis as per option exercised
under paragraph 13. III
I..
r
Explanation :
If for example, the normal pension under paragraph 12 is Rs. 600, and the pensioner opts
to commute one third of his monthly pension, the commuted value will be equal to 1/3
x 600 x 100 = Rs.20,000 and the same shall be paid at the time of exercise of option for
commutation. The balance of pension payable on monthly basis is Rs. 400.
Options for return of capital.
(1) A member eligible to pension may, in lieu of pension normally admissible under paragraph 12,
2[subject to commutation of pension, if any, under paragraph 12A] opt to draw for reduced
pension and avail of return of capital under anyone of the three alternatives given below :-
S.No. Alternatives Revised pension payable Amount payable as
return of capital
1. Revised pension
during life time of
member with return of
capital on his death.
Revised pension during
the life time of member,
further reduced pension
during life time of____ __
the widow or her
remarriage whichever
is earlier and
return of capi talon
Widow's death/re-marriage.
90% of original
monthly pension
100 times the original
monthly pension on
death of member to the
nominee.
90 times the original
monthly pension on
death of widow/
remarriage to the
nominee.
2. 90% of original
monthly pension
to the member. On
his death 80% of
the original
monthly pension
to the widow.
G 'h Ins. by .S.R. 134, dated the 28 February, 1996 (w.e.f. 16th March, 1996)
Ins: by. G.S.R. 134, dated the 28th February, 1996 (w.e.f 16'h March, 1996)
11](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-17-320.jpg)
![S.No. Alternatives Revised pension Amount payable
payable as return of Capital
3. Pension for a fixed 87.5% of the 100 times the original
period of 20 years original monthly monthly pension at the end
notwithstanding pension for a fixed of 20 years from the
whether the member period of 20 years. date of commencement
lives for that period The pension wiIl of pension to the member
or not. cease thereafter. if he is ali ve, otherwise
to his nominee.
Explanation 1.
In alternative 2, if the '[spouse] dies or remarries before the death of member, capital equal to
times the original monthly pension shall be paid to the nominee on the member's death.
Explanation 2.
In alternative 3, if the member dies before the end of 20 year period, the pension shall be
to his nominee for the balance period.
Explanation 3.
In the case of a member who is eligible for permanent total disablement pension, and where
payment of such pension is to commence before his attaining the age of 50 years the options
also be admissible but in such cases the actual pension payable shall be reduced by 1% and
return of capital shall be further reduced by Rs. 1,000/- for every year by which the age at
commencement of pension falls short of 50 years.
2[Expiallation 4.
In cases of exercise of option for commutation under paragraph 12A, balance monthly pen'
payable after commutation shall be deemed to be the original monthly pension for the purpose
this paragraph.]
(2) The option under sub-paragraph (1) shall be exercised by the member at the time of submissi
of the application form for pension in accordance with the provisions of this Scheme. The opti
once exercised shall be final. If no option is exercised, the member shall be deemed not to
exercised any option under this paragraph and his/her pension shall be determined under
provisions of paragrapn12:- -- - .
(3) Notwithstanding that the capital is returned under this paragraph the widow/children shall
to be eligible for normal widow pension/children pension/orphan pension under paragraph 16 of
Scheme from the date immediately following the date of death of the; member. .
1. Sub';. by G.S.R. 134. dated the 28,h February. 1996 (w.e.f 16,h March 1996).
2. Ins. Ibid. ( we.f. 16'hMarch 1996).
12](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-18-320.jpg)
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Benefits on leaving service before being eligible for monthly member's pension.
(1) If a member has not rendered the eligible service prescribed in 'paragraph I[9] on the date
of exit, or on attaining 58 years of age whichever is earlier, he/she shall be entitled to a
withdrawal benefit as laid down in Table 'D' or may opt to receive the scheme certificate
provided on the date he/she has not attained the 58 years of age:
Provided that an existing member shall receive additional return of contributions for his/her
past service under the Employees' Family Pension Scheme, 1971 computed as withdrawal-cum-
retirement benefits as per Table 'A' multiplied by the factor given in Table 'B'.
Benefits on permanent and total disablement during the service
(1) A member, who is permanently and totally disabled during the e~y!~j'~;:~~ ~!iu!!be ~i,~;ikJ
to pension as admissible under sub-paragraph (2) to (5) of paragraph 12 as the case may
be subject to a minimum of Rs. 250/- per month notwithstanding the fact that he/she has not
rendered the pensionable service entitling himlher to pension under paragraph 12 provided
that he/she has made at least one month's contribution to the Pension Fund.
(2) The monthly member's pension in such cases shall be payable from the date following the
date of permanent total disablement and shall be tenable for the life-time of the member.
(3) A member applying for benefits under this paragraph shall be required to undergo such medical
examination as may be prescribed by the Central Board to determine whether or not he or
she is permanently and totally unfit for the employment which he or she was doing at the time
of such disablement.
16. Benefits to the family on the death of a member
(1) 2[Pension to the family] shall be admissible from the date following the date of death of the
member if the member dies ..
(a) while in service, provided that at least one month's contribution has been paid into the
Employees' Pension Fund, or
(b) after the date of exit but before attaining the age of 58, from the employment having
rendered service entitling himlher to monthly member's pension but 3[before the
commencement of pension payment or]
(c) after commencement of payment of the monthly member's pension
The cases where a member has rendered less than 10 years eligible service on the date of
exit but has retained the membership of the Pension Fund, and dies before attaining the age
of 58 years, shall be-regulated under sab-paragraph (8) of paragraph 12. .
(a) The monthly widow pension shall be :-
(i) in the cases covered by clause (a) of sub-paragraph (1), equal to the monthly member's
pension which would have been admissible as if the member had retired on the date of
death or Rs .450/- or the amount indicated in Table CC' whichever is more.
Note:-
,
(2)
l.
2.
3.
Subs. by G.S.R. 134. dated the 28'h February. 1996, (w.e.f, 16·hMarch 1996).
SUbs. by G.S.R. 134 dated the 28·hFebruary. 1996 (w.e.f. 16'hMarch 1996) .
•h Subs. by G.S.R. 134 dated the 28 February. 1996 (w.e.f. 16th March. 1996).
13](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-19-320.jpg)
![(ii) in the cases covered by clause (b) of sub-paragraph 0), equal to the monthly member's
pension which would have been admissible as if the member had retired on the date of
exit or l[Rs. 450/- per month] or the amount indicated in Table 'C' whichever is more.
(m) in the cases covered by clause (c ) of sub-paragraph (1), equal to 50 per cent of the
monthly member's pension payable to the member on the date of his death subject to
a minimum of l[Rs. 450/- per month.]
2[(iv)in all the cases, where the amount of family pension sanctioned under the
Ceased Family Pension Scheme, 1971 and is paid/payable under this scheme is
less than Rs. 450/- per month, the amount of family pension in such cases shall
be enhanced to Rs. 450/- per month.]
(b) the monthly widow pension shall be payable upto the date of death of the widow or remarriage
whichever is earlier.
Note:- In cases where there are 2 or more widows, family pension shall be payable to the eldest
surviving widow. On her death it shall be payable to the next surviving widow, if any. The
term "eldest" would mean seniority with reference to the date of marriage.
(3) Monthly children pension: -
(a) If there are any surviving children of the deceased member, falling within the definition
of family, they shall be entitled to a monthly children pension in addition to the monthly
widow/widower pension.
(b) Monthly children pension for each child shall be equal to 25 per cent of the amount
admissible to the widow/widower of the deceased member as monthly widow pension
payable under sub-paragraph (2) (a) (i) provided that minimum monthly children pension
for each child of the deceased member shall not be less than 3[Rs. 150/- per month.]
4[(C) Monthly children pension shall be payable until the child attains the age of 25 years.]
(d) The monthly children pension shall be admissible to maximum oftwo children at a time
and will run from the oldest to the youngest child in that order.
Y(e) If a member dies leaving behind a family having son or daughter who is
permanently and totally disabled such son or daughter shall be entitled to
payment of monthly children pension or orphan pension, as the case may be,
irrespe-ctivlrl/f-age' and number 'of children in the family in addition to the
pension provided under clause (d).] '
1. Subs. by G.S.R. 41 dated 12'hJanuary, 2000 (w.e.f, 29th January, 2000)
2. Inserted by G.S.R. 41 dated 12'10January 2000 (w.e.f. 29th January. 2000)
3. Subs. .by G.S.R. 41 dated 12'10January 2000 (w.e.f, 29th January, 2000)
4. Subs. by G.S.R.134. dated the 28,10February. 1996 (w.e.f. 16,10March. 1996).
5. Inserted by G.S.R. 66 dated 22'td February. 1999 (w.e.f 6.3.99)
14](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-20-320.jpg)
![,
ber's
I .te of
nore.
fthe -ct to I
i
. the
ne is
shall
riage
-ldest
. The
nition
mthly
nount
.nsion
msion
onth.]
ears.]
a time
ho is
ed to
ry be,
o the ..
(4) (a) If the deceased member is not survived by any widow but i~ survived by children falling
within the definition of family or if the widow pension is not payable, the!children shall
be entitled to a monthly orphan pension equal to 75 per cent of the amount of the
monthly widow pension as payable under sub-paragraph (2) (a) (i) provided that
minimum monthly orphan pension for each orphan shall not be less than I[Rs. 250/- per
month.]
(b) In the event of death or remarriage of the widow/widower after sanctioning of widow/
widower pension the children shall be entitled in lieu of the monthly children pension,
to a monthly orphan pension from the date following the date of death/remarriage of the
widow/widower.
2[~r.) Thf" monthly orph:m pension shall be admissible to a maximum of 2 orphans at a time
and shall run in order from the oldest to the youngest orphan.]
(5) (a) A member who is not married or who does not have any living spouse and/or an eligible
child may nominate a person to receive benefits as laid down hereinafter provided that
in the event of his/her acquiring a family subsequently, the nomination so made shall
become void. In the event of death of the member such a nominee shall be entitled to
receive a monthly pension equal to the monthly widow pension, as admissible under
sub-clauses (i) and (ii) of clause (a) of sub-paragraph (2).
3[(aa). If a member dies leaving behind no spouse and/or an eligible child falling
within the definition of family and no nomination by such deceased member
exists, the widow pension shalt be paid under sub-clauses (i) and (ii) of clause
(a) of sub-paragraph 2 either to dependent father or dependent mother as the
case may be. On grant of Pension to such dependant father and in the event of
death of the father pensioner, the admissible pension shall be extended to the
surviving mother life long.]
(b) If the deceased member had not rendered pensionable service on the date of exit from
the employment which would have made him entitled to a monthly members pension
under paragraph 12, but had opted to retain the membership of this Scheme under sub-paragraph
(8) of paragraph 12, 4[~henominee or the dependant father or the
dependant mother as the case may be] shall be entitled to return of capital as
provided in sub-paragraph (1) of paragraph 13.
'[16A. Guarantee of pensionary benefits
None of the pensionary benefits under the Scheme shall be denied to any member or
beneficiary for want of compliance of the requirement by the employer under sub-paragraph
(1) of paragraph 3 provided, however, that the employer shall not be absol ved of his liabilities
under the Scheme.]
1. Subs. by G.S.R. 41 dated 12thJanuary 2000 (w.e.f. 29th January, 2000)
2. Ins. by G.S.R. 134, dated the 28lh February, 1996 (w.e.f 16th March 1996).
1 Inserted by G.S.R. 66 dated 22ndFebruary, 1999. (w.e.f 6.3.99)
4. Sub. by G.S.R. 66 dated 22ndFebruary, 1999 (w.e.f 6.3.99)
S. Inserted by G.S.R. 134 dated the 28th February 96 (w.e.f. 16lh March 1996)
15](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-21-320.jpg)
![1
1[17. Payments on exercise of option
(1) Beneficiaries of the deceased members of Employees' Famify Pension Scheme, referred to
in sub-para (1) of paragraph 7, shall receive higher of the benefits available under the
Employees' Family Pension Scheme, 1971 and under this Scheme. .
(2) Members referred to in sub-paragraph (2) of paragraph 7 shall have the option to join the
Scheme by returning the amount of withdrawal benefit received, if any, together with interest
at the rate of 8.5% per annum from the date of payment of such withdrawal benefit and date.
of exercise of the option, to receive monthly pension as per the provisions of this Scheme.
(3) Members referred to in sub-paragraph (3) of paragraph 7 shall be deemed to have joined
the ceased Employees' Family Pension Scheme, 1971, with effect from 1.3.1971 on remittance
of past period contribution with interest thereon.].
2[17A. Payment of Pension
The claims, complete in all respects submitted along with the requisite documents shall be.
settled and benefit amount paid to the beneficiaries within thirty days from the date of its
receipt by the Commissioner. If there is any deficiency in the claim, the same shall be recorded
in writing and communicated to the applicant within thirty days from the date of receipt of
such application. In case the Commissioner fails without sufficient cause to settle a claim
complete in all respects within thirty days, the Commissioner shall be liable for the delay
beyond the said period and penal interest at the rate of 12 per cent per annum may be,
charged on the benefit amount and the same may be deducted from the salary of the
Commissioner. ]
18. Particulars to be supplied by the employees already employed at the time of commencement
of the Employees' Pension Scheme
Every person who is entitled to become a member of the Employees' Pension Fund shall be asked"
forthwith by his employer to furnish and that person shall, on such demand, furnish to him for.
communication to the Commissioner particulars concerning himself and his family in the form
prescribed by the Central Provident Fund Commissioner.
19. Preparation of Contribution Cards
The employer shall prepare an Employees' Pension Fund Contribution Card in respect of each'
employee who has become a member of the Employees' Pension Fund.
20. Duties of Employers.
(1) Every employer shall send to the Com.~m- ission"er within three months of the commencement
of thiifSch-eme, a consolidated return of the employees entitled to become members 'of the
Employees"Pension Fund showing the basic wage, retaining allowance, if any, and dearness]
allowance including the cash value of any food concession paid to each of such employees;'
Provided that if there is no employee who is entitled to become a member of the
Employees' Pension Fund, the employer shall send a "Nil" return.
1. Subs. by G.S.R. 134, dated the 28'h February, 1996 (w.e.f 16'h March, 1996).
~ ~ 2. Ins. by G.S.R. 376 dated the 27 October, 1997 (w.e.f, 8 November. 1997)
16](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-22-320.jpg)
![I
,!
'erred tol
ider thef
join the r
interest I
md date I
)C.h~me·r
~~omedl
ruttance II
(2) Every employer shall send to the Commissioner within fifteen days of the close ofeach month
a return in respect of the employees leaving service of the employer during the preceding
month.
Provided that if there is no employee leaving service of the employer during the preceding
month the employer shall send a "NIL" return.
(3) Every employer shall maintain such accounts in relation to the amounts contributed by him to
the Employees' Pension Fund as the Central Board may, from time to time, direct and it shall
be the duty of every employer to assist the Central Board in making such payments from the
Employees' Pension Fund to his employees as are sanctioned by or under the authority of
the Central Board.
(4) Notwithstanding anything contained in this paragraph, the Central Board may issue such
directions to the employers generally, as it may consider necessary or expedient, for the
purpose of implementing the Scheme, and it shall be the duty of every employer to carry
out such directions.
le of its
ecorded 21. Employer to furnish particulars of ownership.
ceipt of
a claim
e delay
nay be
of the
.ement
~asked
.im for
e form '
feach
ement
of the
irness
iyees:
Every employer in relation to a factory or other establishment to which the Act applies or is
applied hereafter shall furnish to the Commissioner particulars of all the branches and departments,
owners, occupiers, directors, partners, managers or any other person or persons who have the
ultimate control over the affairs of such factory or establishment and also send intimation of any
change in such particulars, within fifteen days of such change, to the Commissioner by registered
post.
22. Duties of contractors
Every contractor shall, within seven days of the close of every month, submit to the principal
employer a statement showing tilt! particulars in respect of employees employed by or through him
in respect of whom contributions to the Employees' Pension Fund are payable and shall also furnish
to him such information as the principal employer is required to furnish under the provisions of this
Scheme to the Commissioner.
23. Allotment of Account l[Numbers]
(1) For purposes of this Scheme, where the member has already been allotted or is allotted
hereafter an account number under the Employees' Provident Fund Scheme, 1952, he shall
retain the same account number.
(2) In the case of employees of the establishments exempted from the Employees' Provident
Fund Scheme-,1952;Unoe"f Section 1Tof the Act, who are members of theEmployees'
Family Pension Fund. the account number already allotted shall be retained by them. '
(3) In the case of employees of the establishments exempted from the Employees' Provident
Fund Scheme, 1952, under Section 17 of the Act, who are not members of the Employees'
Family Pension Fund but opt to become members of the Employees' Pension Fund and in
case of new employees of such establishments, fresh account numbers shall be allotted by the
Commissioner.
I. Subs. by G.S.R 134. dated the 28'h February, 1996 (w.e.f 16'" March. 1996)
17](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-23-320.jpg)
![lhed 30. Audit
The accounts of the Employees' Pension Fund including the administrative expenses incurred in
running this Scheme shall be audited in accordance with the instructions issued by the Central
Government in consultation with Comptroller and Auditor-General of India.
las not i . 31. Rounding up of the Benefits
previou
ion to th
led by th
missione
/emmen
ion Fun
e Central
onwards
All items of benefits shall be calculated to the nearest rupee, 50 paise or more to be counted as
the next higher rupee and fraction of a rupee less than 50 paise shall be ignored.
32. Valuation of the Employees' Pension Fund and review of the rates of contributions and
quantum of the pension and other benefits
1[(1) The Central Government shall have an annual valuation of the Employees' Pension Fund made
by a Valuer appointed by it.]
(2) At any time, when the Employees' Pension Fund so permits the Central Government may
alter the rate of contributions payable under this Scheme or the scale of any benefit admissible
under this Scheme or the period for which such benefit may be given.
33. Disbursement of Pension and other benefits.
The Commissioner shall with the approval of the Central Board enter into arrangement for the
disbursement of pension and other benefits under this Scheme with disbursing agencies like Post
Offices or Nationalised Banks or Treasuries. The commission payable to the disbursing agencies
and other charges incidental thereto shall be met as provided in paragraph 27 of this Scheme.
Registers, Records, etc.
The Commissioner shall, with the approval of the Central Board, prescribe the registers and records
to be maintained in respect of the employees, the form or design of any identity card, token or disc
for the purpose of identifying any employee or his nominee or a member of a family entitled to
receive the pension and such other forms/formalities as have to be completed in connection with
the grant of pension and other benefits or for the continuance thereof subject to such periodical
verfication as may be considered necessary.
34.
35. Power to issue directions.
The Central Government may issue, such directions as may be deemed just and proper by it for
resolving any difficulty in the disbursement of pension and other benefits or for resolving any difficulty
in implementation of this Scheme.
36. Regional Committee •.--· '
The Regional Committee set up under paragraph 4 of the Employees' Provident Fund Scheme,
1952, shall advise the Central Board, on such matters, in relation to the administration of this
Scheme as the Central Board may refer to it from time to time and in particular, on - -
. (a) progress of recovery of contributions under this Scheme both from factories and
establishments exempted under Section 17 of the Act and other factories and establishments
covered under the Act.
I. Subs. by G.S.R. 134, dated the 28th February, 1996 (w.e.f 16th March 1996)
19](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-25-320.jpg)
![,
I TABLE B
1[(See Paragraphs 12 and 14)]
I FACTOR FOR COMPUTATION OF PAST SERVICE
rship I BENEFIT I[UNDER THE CEASED] FAMILY PENSION
SCHEME FOR EXISTING MEMEBRES ON EXIT FROM
THE EMPLOYMENT
(1) (2) I I[YEARS] FACTOR
Less than 1 1.049 I Less than 2 1.154
Less than 3 1.269
Less than 4 1.396
Less than 5 1.536
Less than 6 1.689
Less than 7 1.858
Less than 8 2.044
Less than 9 2.248
Less than 10 2.473
Less than 11 2.720
Less than 12 2.992
Less than 13 3.292
Less than 14 3.621
Less than 15 3.983
Less than 16 4.381
Less than 17 4.819
Less than 18 5.301
Less than 19 5.810
Less than 20 6.414 "
Less than 21 7.056
Less than 22 7.761
Less than 23 8.531
Less than 24 9.390
SUbs. by G.S.R. 134, dated the 28'h February, 1996 (w.e.f 16'hMarch. 1996).
23](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-29-320.jpg)
![CLARIFICATIONS
[PARA 6; PARA 7 & PARA 171
MEMBERSHIP OF THE EMPLOYEES' PENSION SCHEME, 1995
Exercisin2 of option to become member from a retrospective date. j [Refer Para 6 (d) Para 7(3) and Para 17(3)1
IOPTION ADMISSIBLE - FROM 1.3.1971
(i) Para 6 (d) read with Para 7(3) of the Employees' Pension Scheme, 1995 provides that every
employee who has been a member of Employees' Provident Fund Scheme, i952iExemptea r-und
as on 15.11.1995 but not the member of Employees' Family Pension Scheme, 1971 can become
a member of the Employees' Pension Scheme, 1995. It was clarified that option in such cases can
be exercised from 16.11.1995 (on or after 16.11.1995) with retrospecti ve effect from 1.3.1971,
i.e. the date of introduction of the erstwhile EP.Scheme provided that the member pays the arrears
of contribution with interest thereon, as prescribed for EP.Scheme, 1971.
MEMBERS OF EFPS, 1971 - OUT OF EMPLOYMENT - BENEFITS NOT WITHDRAVN
(0) A member of the Provident FundlFamily Pension Scheme, 1971 who is out of employment on
or after }S' April, 1993 but has not withdrawn the benefit, he continues to be a member of
Family Pension Fund. He automatically acquires the membership of the E.P.S., 1995 on its
introduction from 16.11.1995, as an existing member ofE.F.P.S., 1971 on 1511.1995 provided
he has not attained the age of 58 years.
BENEFITS WITHDRAWN - OPTION ADMISSIBLE
(iii) Even if such a member has already withdrawn the benefit under the EFPS, 1971, he may opt
from the date he quits the service by returning the withdrawal benefit with interest calculated @
8.5% per annum as provided in sub-para (2) of para 17 of the Employees' Pension Scheme, 1995,
and avail of the admissible benefits under the Employees' Pension Scheme, 1995. In both the
above cases, no extra contribution will be payable in the given situation.
MEMBERS OF EFPS - RETIRED FROM 1.4.93 ONWARDS - OPTION ADMISSIBLE
6v) Such of the EPFIFJ.>Fmemoors who retired from service from 1.4.1993 onwards and settled their
PF accounts may also opt to join the Employees' Pension Scheme, 1995 from the date of exit by
refunding the withdrawal benefit availed of with interest calculated @ 8.5% per annum as provided
in sub-para (2) of para 17 of the Employees' Pension Scheme, 1995.
[C.P.F.C.'s circular No:2(l)Clarificationl96. dated 22'" December, 1995 and No:2(4)Clarification!96, dated 23"'
May, 1996.]
27](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-34-320.jpg)
![OPTION ADMISSIBLE - FROM THE DATE OF COVERAGE - EFPS. 1971
(v) In cases where the establishment was covered from a retrospective date, the E.P.E contri
is also collected from a retrospective date whereas contribution to the E:EP.S, 1971 was rec:ov'ere:c:t.[P•.•I•.
only from the prospective date i.e., from the date of issue of coverage letter. In such cases, al
the employees of that establishment become members of EPF from the date of coverage,
membership to the EFPS, 1971 was treated only from the prospective date (i.e. from the date
issue of coverage letter). Accordingly, the benefits under the EFPS, 1971 are also admissible
reference to his membership to the EFPS, 1971.
In a related case the Gujarat High Court decided the issue and as per the operative part of
judgement, an employee becomes family pension fund member w.e.f. the date he becomes eli
to contribute to the P.E under the E.P.F. Scheme, 1952. In view of this, on option, necessar
diversion may be made from the P.E accumulations from the date the member becomes
to contribute to the E.P.F. (Le. for the pre-discovery period). After such diversion the
would become eligible for Monthly Pension benefits under the Employees' Pension Scheme, 1
with reference to the date from which the employee became member of the EPE
[C.P.F.C.'s circular No:Pensionl2/4/Clarificationl97, dated 7UtApril, 1998]
OPTION NOT ADMISSIBLE
(vi) A PF member who retired between 1.4.1993 and 15.11.1995 and got his P.E account settled
was not a member of the erstwhile Employees' Family Pension Scheme, 1971 .is not eligible to
exercise his option in favour of the E.F.P.S, 1971lEmployees' Pension Scheme, 1995
[C.P.F.C.'s circular No:2(4)Clarificationl96, dated 17thJuly, 1996.]
PARA 9
ROUNDING OFF OF FRACTION OF SERVICE FOR 6{SIX) MONTHS OR MORE
As provided under para 9(a) & 9(b) the fraction of service for 6 months or more shall be treated.
as one year and the service less than 6 months shall be ignored. The eligible service of 9 years and
months and above need be rounded off to 10 years.
[C.P.F.C.'s clrculae No:Pensionl2(4)/Clarificationl96, dated 17'h July, 1996.]
SEASONALLY EMPLOYED - ACTUAL SERVICE
According to the explanation below para 9(a),in the case of employees employed seasonally,
actual service during the year shall be treated-as full year. For the period not attended when
employment is offered it has to be treated as non-contributory service.
[C.P.F.C.'s circular No:Pensionl2(4)/Clarificationl96, dated 17tb July, 1996.]
28](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-35-320.jpg)
![By, t
en t
PARA 12
"'ALCULATION OF MONTHLY PENSION UNDER PARA 12(3~ lU41 AND 12(5)
Minimum pension provided for in sub-para (3), (4) and (5) of Para 12 would be applicable in
~pect of retirees who will be availing their pension on attaining 58 years of age. The same consideration
~iJl not be extendable to premature retirees who are applying for early pension. In their cases,
otwithstanding their age, they will be clubbed with the current retirees and their claims settled in
~cordance therewith on par following the provision of sub-para (5) under Para 12 i.e. allowing uniform
~inimum pension of Rs.500 in every case without eo-relating to their age group from the equity point
(view as clarified in the table indicated below:
I
AGE AGGREGATE DISCOUNT NET PENSION
r YEARS MINIMUM @3% PAYABLE
5 Rs. Rs. Rs.
50 500 120 380
51 500 105 395
52 500 90 410
53 500 75 425
d 54 500 60 440
0
55 500 45 455
56 500 30 470
57 500 15 485
58 500 - 500
,; ~unt @ 3% should be on diminishing balances)
":I--P.F.C.'scircular No:PensionlComputer196IPt.I, dated 9th January, 1997.]
d
6 DMISSIBILITY OF PENSION TO MEMBERS IN THE AGE GROUP OF 50-57 YEARS
1 M> ARE CONTINUING IN SERVICE.
In case a member desires to draw Reduced Pension before completion of the age of 58 years, he
ay be granted pension if he is otherwise eligible but subject to the condition that he is not continuing
service. .- .-~-'-'~.-- •..--.-.~ -
he4" [C.P.F.C.'s circular No:PIPIC/v1I96, dated lOth May, 1996.] he:
WAL OF EARLY PENSION DATE OF COMlfENCEMENT OF PENSION
The drawl of early pension under para 12(7), earlier to attaining the age of 58 years is linked to
~conditionalities, namely:
1 .~
.' 29
ibution
.overed
Ithough
e, their
date of
-le with
t of the
eligible
cessary
eligible
rembe
e, 199
led an
!ible t
treate
) and](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-36-320.jpg)
![1. Exit from service; and
2. Express desire indicated by the member to draw reduced pension after discounting at prescri
rate.
It will therefore, be appropriate to regulate it strictly in accordance with the desire/choice
by the member and any decision for regulating it administratively either following the date of
or date of filing the application form will be relatively arbitrary and may not suit every
requirement. Since the payment of early pension involves financial implications in the form of
arrears if allowed retrospectively and permitting higher pension prospectively for a longer
of time besides other preferences of the member, it will be inappropriate to follow any
determined process in this regard rather allowing it to be regulated in accordance with the
being expressed by the member concerned.
It is, therefore, felt that you may ascertain the position properly from the member
Endeavor may be made for providing a column in the application form itself to indicate this pas;t.
by the member concerned while applying for sanction of early pension. In an event, when in
of asking, the member concerned has not indicated any specific choice, date of application
be treated as the date from which the early pension is to be paid.
[C.P.F.C.'s circular No:Pension-In(2)98/CEPSlPt, dated 11th March, 1999.]
As per para 12(7), the pension shall be reduced @ 3% for every year the age falls short
years. Reduced Pension is to be calculated on diminishing balance.
[C.P.F.C.'s circular No:Pensionl2(4)/Clarificationl96, dated 24th January, 1997.]
58 YEARS OF AGE - PENSION TO BE GRANTED - NO DIVERSION OF PF
CONTRIBUTION TO THE PENSION FUND
Such of the members who attain the age of 58 years but still continue in service beyond
of 58 years would start getting pension on attaining the age of 58 years. Thereafter no diversion
contribution to the Pension Fund would be required to be made. The employer's share of
in respect of them will remain in their respective provident fund account.
[C.P.RC. 's circular No:2(1)Clarificationl96, dated 22nd December, 1995 and No:Pensionl2(
dated 23rd May, 1996.]
A member exit from service on voluntary retirement scheme before attaining the age of 50
if so desires, may draw a monthly reduced pension from a date earlier than 58 years of age
earlier than the 50 years of age subject to application of reduction factor as prescribed in Para
of Employees' Pension Scheme, 1995 .
. [C.P.F.C.'s circular No:PensionlClarification!95, dated 29'h January, 1996.]
30](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-38-320.jpg)
![MEMBERS OF EFPS. 1971 - NOT ATTAINED THE AGE OF 48 YEARS/ATTAI~ED THE
AGE OF 48 YEARS BUT LESS THAN 53 YEARS/ATTAINED THE AGE OF 53 YEARS. AS
ON 16..11.1995 - CLARIFICATION
The factual legal position as actuarially conceived regarding paragraph 12(3), (4) & (5) of the EPS,
)995, is as under.-
Sub-paragraphs (a) and (b) of paragraphs 12(3), 12(4) and 12(5) are to be read independent of
the words "subject to a minimum of Rs.800/-", "subject to a minimum of Rs.600/-" and "subject to
a minimum of Rs.500/-" provided the past service is 24 years. In other words, a person will be entitled
10 a minimum pension of Rs.800/-, Rs.600/- or Rs.500/-, as the case may be, only if:
0) On the date of his superannuation on attaining the age ot 58 years, he had rendered 24 years of
service; and
(Ji) The aggregate of (a) and (b) under paragraphs 12(3), 12(4) and 12(5), as the case may be, is less
than the prescribed minimum of Rs.800/-, Rs.600/- or Rs.500/- as the case may be.
In case the past service, i.e. eligible service on the date of attaining 58 years of age is less than
24 years of service, pension (i.e. pension according to formula) and the benefit (i.e. the past service
benefit) will be reduced proportionately and in such cases, the minimum pension and past service
benefit taken together will be Rs.450/- p.m., Rs.325/- p.m. and Rs.265/- p.m. respectively.
This may be treated as interpretation of the provisions of paragraph 12 decided by the Central
Government under paragraph 41 of the EPS, 1995.
[Ministry of Labour letter No.R-15025/01/99-SSII, dated 10thMay, 1999 circulated vide C.P.F.C.'s circular
No:PensionlI2/33IEPS/Amendmentl96, dated 11th/17thMay, 1999.]
'ED
YOND
COMPUTATION OF PENSIONARY ENTITLEMENT FOR MONTHLY MEMBER PENSIUN
- REGULATING PENSION QUANTUM - FURTHER CLARIFICATION WITH REGARD TO
GOVT.'S LETTER DATED 10.5.1999
Following further clarification with appropriate examples are issued with regard to computation of
Monthly Member Pension and in regulating the quantum of Pension amount payable under para 12(3)
to 12(5) of E.P.S., 1995 :
icatio
1.1 As per Rule 12(2) Future Service Pension to be calculated (say FPEN). If FPEN is more than the
minimum prescribed (e.g., 635/438/335 as the case may be),then FPEN will not beincreased.
If FPEN is less than the-Minimum, then FPEN will be increased to the Minimum.
50 Y
e but
As per Rule 12(3) Past Service Pension to be calculated (say PPEN).
Aggregate of 1.1 & 1.2 will be called Total Pension (TPEN).
If TPEN is more than the minimum prescribed (e.g. 800/600/500 as the case may be) then TPEN
is the Pension payable.
1.5 If TPEN is less than the minimum, then TPEN shall be increased to the Minimum (say MPEN).
31](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-39-320.jpg)
![f 1.6 Total Service == Family Pension Scheme Service + Employees' Pension Scheme Service (Say T
If TS is 24 years and above then MPEN is the Pension Payable. '
If TS is less than 24 years then Pension Payable == MPEN x TSI24. •
2.1 Sub-paragraph (a) & (b) of Para 12(3), 12(4), 12(5) are independent of the minimum pensi
proviso clause, as clarified by Government. That if "Total Pension" is more than "Minimu •
Aggregate Pension" then "Total Pension" shall be payable notwithstanding the period of servi
rendered. In such a case linkage of 24 years service requirement and proportionate reductions
the service is less than 24 years will not be relevant. The aggregate of (a) & (b) being equal
or more than the minimum prescribed in the proviso clause as the case may be, shall be payab] 3)
2.2 Aggregate minimums prescribed under proviso clause of Para 12(1 I ?(d). 12~5) i.e. R:;.~QO,' 3
Rs.600/- or Rs.500/- as the case may be, are payable only if the following conditions are sausned
• The member attains the age of 58 years.
• Member has rendered 24 years of eligible service.
• Aggregate of (a) & (b) is less than the prescribed minimum of Rs.800/-; Rs.600/- and A''' •.JVUI
as the case may be.
If the eligible service is less than 24 years, the aggregate minimum of Rs.800/-, Rs.600/-
Rs.500/- as the case may be, shall be reduced proportionately but not lesser than Rs.500/-
Rs.325/- or Rs.265/- per month respectively.
2.3 If the member leaves the service before attaining the age of 58 years, i.e. early pension
currently upto November, 2000AD only an aggregate minimum of Rs.500/- will be considered
the aggregate minimum pension, subject to having 24 years of eligible service and discounting
pension @ 3% per annum for every year falling short of 58 years. In other words, the early .
till November, 2000 will be clubbed with the Para 12(5) category irrespective of their age as
16.11.1995, in order to remove the anomalies in the early pension cases. Likewise during
five years i.e. from November, 2000 to November, 2005 the early retirees minimum pension q
shall be restricted to Rs.600/ Rs.335 IRs.438 IRs.635 will be regulated. Such as retirees
November, 2000 AD i.e. during first five years shall be given the credit of Rs.335/- or
amount as per pension formula whichever is higher irrespective of age group as on 16.11.1995
Rs.438/- for retirees during next five years, i.e., between November, 2000 AD to N
2005 AD.
2.4 "Minimum Future Pension" has no relation with "Minimum Aggregate Pension". If "Formula
.fallsshort of "Mihiffiumruture Pension" the' "Minimum Future Pension" shall apply. If
. Pension" is more than "Minimum Aggregate Pension" then notwithstanding-
(a) Number of years of service rendered bya member is less than 24 years and/or
(b) "Minimum Future Pension" is more than "Formula Pension", "Total Pension" shall be payable.
2.5 Government in their reference dated 10.5.1999 clarified that "Past Service" may be read as "Eligi
Service" for the purpose of proportionate reduction if the service is less than 24 years.
32](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-40-320.jpg)
![• *In the case of 22 years of eligible service for "Y" category Rs. 458/- will be payable.
• In the case of 23 years of eligible service Rs. 508/- will be payable,
( Please see and be guided as clarified under 2.4)
3.2) Example 2 :-
Past Service
Pensionable Service
Eligible Service
Age at Exit
Pensionable Salary
12 years
5 years
12 + 5 = 17 years
58 years
Rs.5000/-
95 X 1.689 = 160 5000 X 5170 = 3571- 160 + 357 = 517/- Since the aggregate of (a)
105 X 1.689 = 177 50(lO X 5170 = 357/- 177 + 357 = 534/- & (b) is more than the
minimum aggregate Pension
of Rs. 500/-, proportionate
reduction will not apply
even if the eligible service is
less than 24 years.
Accordingly aggregate of (a)
& (b) as calculated shall be
payable.
Aggregate of
(a) & (b)
Past Service
Benefit
[Sub-Para (b)]
Pensionable Service
Benefit
[Sub-Para (a)]
Proportionate Reduction
[C.P.F.C.'s circular No:Pension-If7(2)98/CEPS/Vo!! dated 29th June, 1999.)
PARA 12A
COMMUTATION TO THE EXISTING MEMBERS PENSlONERS AS ON 16.11.1998 -
DATE OF COltlMENCEMENT
Commutation option is permitted to the existing member pensioners as on 16.11.1998, in the month
in which it has been recei ved or from the 151 of the following month.
[C.P.F.C.'s circular N():Pensioll.:v7{2)9'8TCEP8,dated 9'h June, 1999.)
PARA 12A AND PARA 13
COMMUTATION OF PENSION - DATE FROM WHICH ADMISSIBLE - GUIDELINES
Commutation of Pension as provided under para 12A came into force from 16.11.1998. All existing
member pensioners in payment as on l6.11.1998 are entitled to exercise this option alongwith the new
member pensioners from 16.1 t .1998 onwards.
34](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-42-320.jpg)
![:tion
The detailed procedure followed in developing the software (for calculation of commutation amount
through computers) for release of commutation is as under.-
i) Commutation of Pension is effective from 16.11.1998 onwards.
ii) All the existing eligible member pensioners (granted under Para 12) in payment as on 16.11.1998
are entitled to exercise the commutation option. Option is required to be filed in writing on a plain
paper by the eligible member pensioner himself.
iii) The commutation option should be from the prospective date oniy. In other words from the date
the application for commutation option is filed (on or after 16.11.1998) the amount of commutation
will be worked out from the first of the following month, so as to make necessary adjustments in
the pension in payment and also to avoid administrative inconvenience,
iv) Commutation can be made upto a maximum of 1I3rdof pension. It implies that the member pensioner
can commute at any percentage rate not exceeding one third (33.33%) of the original monthly
pension.
(a) ~ALCULATION OF REDUCED PENSION UNDER PARA 13(1) - AFTER COMMUTATION
OF PENSION AND ON EXERCISING OPTION FOR RETURN OF CAPITAL
sion
iate
'ply
:e IS
ars.
, (a)
I be
v) On commutation of the original monthly pension, the balance of pension (original monthly pension
minus value of pension commuted) shall be treated as monthly pension for the purpose of payment
of pension on monthly basis and for exercising the option under paragraph 13(1) for Return of
Capital.
vi) In such cases (i.e. after commutation of pension), the reduced pension as provided under para
13(1) shall be calculated on the original monthly pension. The following example will illustrate:
(a)
(b)
(c)
(d) - - (e)
nonth
(f)
(g)
ES
isting
~new (h)
Original monthly pension under para 12
Amount of pension commuted under Para 12A
Amount of commuted value of pension
(200 x 100 = 20,000)
Balance of original monthly pension (600 - 200)
Reduced pension under Para 13(1) for ROC (Reduction
for option-I at the rate of 10% of original pension)
(600 - 200 - 60)
Rs.600
Rs.200
Rs.20,000
Rs.400
Rs.340
Pension in'pllymefft(on commutation andReturn of
Capital)
ROe as per the option exercised
(400 x 100= Rs.40,000 (Option 1 & 3)
(400 x 90 = Rs.36,000 (Option 2)
Spouse Pension on death of Member pensioner
[50% of original monthly pension as at (a)]
Rs.340
Rs.300
35](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-43-320.jpg)
![vii) For the existing member pensioners in payment as on 16.11.98, the payment of pension is to be
regulated as per the example shown under point (vi) on filing the option for commutation
on or after 16.11.98.
viii) Option once exercised is final and irrevocable. These options for commutation and Roe shall be
exercised while submitting the claim form in respect of claims that will be filed and received on or
after 16.11.98.
ix) On allowing the commutation option on or after 16.11.98, an Annexure showing the calculation of
commutation revised ROe, Pension in Payment shall be prepared and sent to the paying branches!
members pensioners concerned, for incorporating in the PPOs appropriately. A revised PPO
indicating the changes made be forwarded to the paying branches for record and to regulate the
payment to the member pensioner accordingly.
x) Annual relief as applicable is to be calculated on the original monthly pension as at (a) instead of
on the balance of original monthly pension as at (d), even after allowing commutation, to the eligible
beneficiaries.
xi) Commutation facility is not applicable to permanent and total disablement pensioners.
[C.P.F.C.'s circular No:2/4/Clarificationl961B, dated 30tla October, 1998.]
PARA 13.
RETURN OF CAPITAL TO THE NOMINEE - NOMINEE PREDECEASES - FRESH
NOMINATION
In the event of death of the member pensioner, amount of 'Return of Capital' is admissible to the
nominee (declared by the member-Pensioner in claim Form lO/D). A fresh nomination will be required
to be executed by the Pensioner if the nominee predeceases the pensioner himself.
[C.P.F.C.'s circular No:2(l)Clarificationl95, dated 22'" December, 1995.J
RETURN OF CAPITAL TO THE DISABLED PENSIONERS - IN THE CASE OF PENSION
COMMENCING BEFORE ATTAINING THE AGE OF 50 YEARS - APPLYING THE
REDUCTION FACTOR
Explanation 3 under Para 13(1) of the Employees' Pension Scheme, 1995 provides that in the
case of a member who is eligible for permanent total disablement pension and where the payment of"
such pension is commenced before~his attaining the age of 50 years, the option shall also be
admissible but in suc~h~~s~s the actual pension payable shall be reduced by 1% and the return 6f
capital shall be further reduced by Rs.I ,000/- for every year by which the age at commencement of
pension falls short 50 years.
The matter has been examined in detail in consultation with the Consultant Actuary, and it is
clarified that in the event of payment of disablement pension commencing before attaining age of 50
years thededuction wiIl apply both in the quantum of pension as also in the amount of capital return
as under:-
36](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-44-320.jpg)
![1be
nor
n of
hes/
Jpo
the
dof
ible
the
[red
he
of
f
of
o .m
• Consider a disabled Pensioner aged 35
• Original Pension Rs.500/- - opted for ROC
• ROC Pension in normal course would have been Rs.450/- and ROC as Rs.50,000/-.
• In case of Disablement Retirement Reduction In ROe = ks.45u x.OJ x (50 - 35) = R~.67.50
• ROC Pension Payment = Rs.450 - Rs.67.50 = Rs.382.50
• Return of Capital = Rs.50,OOO - (50-35) x Rs.1,000 = Rs.35,000.
This will mean that a pension in payment is to be reduced by 1% and the Return of Capital is
to be further reduced by Rs.1,000/- per year falling short of years to 50 years of age.
NOMINATION IN FAVOUR OF A PERSON BECOMES VOID ON ACOUIRING A FAMILY
DY THE MEMBER
As per para 16(5)(a) if a nomination is made by any member in favour of a person the same shall
become void in the event the member acquires a family subsequently. Similar is the general provision
in regard to nomination contained in EPF Scheme, 1952 which shall apply by virtue of Para 38 of the
Employees' Pension Scheme, 1995.
ADMISSIBILITY OF PENSION TO WIDOW & CHILDREN AFTER DEATH OF THE
MEMBER WHO DIED AFTER AVAILING PENSION FOR A FIXED PERIOD OF 20
YEARS UNDER ALTERNATIVE 3 BELOW PARA 13(1)
Under 3rd alternative below para 13(1), the member pension will cease after the fixed period of
20 years. However, the benefits for widow/children are to be regulated as per para 13(3).
DEATH OF MEMBER PENSIONER - ADMISSIBILITY OF PENSION FOR THE
UNEXPIRED PORTION OF 20 YEARS VIS-A-VIS THE WIDOW/CHILDREN/ORPHAN
PENSION
On the death of the member-pensioner who had opted for 3rd alternative below para 13(1) i.e.
pension [or a fixed period of 20 years, the pension for the unexpired portion of 20 years shall be
admissible to the nominee in addition to the Return of Capital amount. In addition, Widow/children shall
get pension as per the provisions under para 13(3).
[C.P.F.C.'s circular No:Pensionl2(4)/Clarificationl96, dated 17lb July, 1996.]
PARA 14
CALCULATION OF WITHDRAWAL BENEFIT- ROUNDING OFF OF LAST PAY DRAWN =-
For calculation of Withdrawal Benefits under the Employees' Pension Scheme, 1995, full pay last
drawn may be rounded up to next Rs.lO/- as was done in the erstwhile Employees' Family Pension
SCheme; 1971 .
[C.P.F.C. 's circular No:Pensionl2(4)/Clarificationl96, dated 171b July, 1996.J
37](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-45-320.jpg)
![REFUND OF CONTRIBNUTION ON LEAVING SERVICE/MEMBERSHIP WITH LESS
THAN 6(SIX) MONTHS PERIOD
If a member has put in less than 6(six) months contribution and is leaving the membership without
becoming eligible for any benefit under the Employees' Pension Scheme, 1995, he may be refunded the
contribution component only.
[C.P.F.C.'s circular No:PIPICNI/96, dated lOlh May, 1996.]
ISSUE OF SCHEME CERTIFICATE - ACTUAL SERVlCEIPENSIONABLE SERVICE!
SALARY NOT TO BE ROUNDED OF
The Scheme certificates are to be issued with actual salary and actual sp.rvlrp :-Itth~ tj?.!~ of exit,
The principle of rounding of salary/service should take place only at the age of superannuation or when
the pension payment is to be made.
[C.P.F.C.'s circular No:Pensionl2/4/ClarificationlHl98, dated 81hMay, 1998.]
PARA 15 [read with Para 2(xvi)]
BENEFITS ON PERMANENT DISABLEMENT - ADMISSIBLE IF CONTINGENCY
OCCURRED DURING EMPLOYMENT
As per the amended provisions of para 2(xvi) read with para 15(1) of the Pension Scheme, the
benefits will become admissible subject to occurrence of the contingency during employment regardless
whether such disablement is sustained in the course of employment or otherwise.
[C.P.F.C.'s circular No:Pensionl2(4)/Clarificationl96, dated 171hJuly, 1996.]
PERMANENT & TOTAL DISABLEMENT - PRESCRIBED MEDICAL EXAMINATION
In pursuance of sub-para (3) of Para 15 the Central Board of Trustees, E.P.F. has approved that
Medical examination as required under para 15 shall be required to be conducted through a Medical
Board of the area constituted either by the Central Govt. or the State Govt. or the ESIC authorities or
any other local authority competent to constitute such a Medical Board and certificate issued by such
a Medical Board certifying the permanent and total disablement shall hold good for considering and
sanction of disablement pension.
[C.P.F.C.'s circular No:PensionIPICNIlIi96, dated 2nd January, 1997.]
PERMANENT .TOTACDISABLEMENT PENSION - STATUTORY· PROVISION' ~
PRESCRIBED PROC EDURE· CLARIFICATIQN
Para 15(1) of the EPS, 1995 read with definition of the term "Permanent and Total Disablement"
contained in Para 2(xvi) ibid, clarifies the position. Para 15(1) of the Scheme entitles the benefit on
permanent and total disablement during service while the definition provided under Para 2(xvi) defines
the term "Permanent and total disablement".
38](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-46-320.jpg)
![s •
lout
the
the
less
•
•
:E/ •
.xit.
hen
.hat
ical
')or
llch
and
nt"
on
nes
It implies that:
The disablement could occur in the course of employment or otherwise, In other words, the injury
need not be restricted to employment injury alone or relating to work place. However, it need be
during employment contributing to the membership of the fund and not extendable during non-cmployrnent
period of membership, if any.
Disablement need be total i.e.100%.
The disablement be of permanent in nature; and that
Such permanent total disablement shall incapacitate the member employee for all work which he/
she was capable of performing at the time of disablement. Incapacitating any member rendering
unfit for the ongoing employment or rendering unfit for any employment partially will not suffice.
The above-mentioned requirements are to be fully satisfied upon conduct of medical examination
of the members concerned by any authorised Medical Board of a Central/State Govt.IESIC Hospital
or other prescribed authorities. In order to follow uniform procedure, two proformae have been
designed one for regulating such cases and other for obtaining the report from the Medical Board.
(For proformae refer to the "Forms and Returns" Section at the end of this Handbook).
[C.P.F.C.'s circular lTo:Pension/2(4)/Clarificationl96/, dated 24thMarch, 1999.]
PARA 16
MONTHLY WiDOW/CHILDREN PENSION - ONE MONTH'S CONTRIBUTION -
MEANING
One month's contribution laid own under Para 16(1)(a) does not mean full month's contribution.
One month's contribution for all purposes wiII constitute of contribution payable in that month in respect
of the employee for the number of days served before death in service. Accordingly, widow and children
would get pension if the member died after contributing for a part of the month during which he served.
[C.P.F.C.'s circular No:Pensionl2(4)/Clarificationl96/3157, dated 9thDecember, 1996.]
DEFINITION OF THE TERM 'SALARY' APPEARING UNDER TABLE 'C'
The term 'SALARY' appearing in table 'C' of EPS,95 may be construed in accordance with the
provision of 'Pensionable Salary', in terms of Para 11(2) read with Para 2(xiii)which defines the 'Pay'
as basic wages with dearness allowance, retaining allowance and cash value of food concession,
admissible, if any. Same is the concept followed in the case of EPF which is relatable in terms of Para
38 of the Employees' Pension Scheme, 1995.
[C.P.F.C;'s circularNo:Pension/2(4)/Clarificationl96, dated 17" July, 1996.]
MONTHLY WIDOW/CHILDREN PENSION - MEMBER RENDERED LESS THAN 10
YEARS SERVICE - RETAINED=THE MEMBERSHIP - DIED BEFORE ATTAINING 58
·YEARS' AGE - ADMISSIBILITY ~
As per note under para 16(1)(c), if a member has rendered less than 10 years of eligible service
on the date of exit but had retained the membership of the pension fund and died before attaining the
39](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-47-320.jpg)
![age of 58 years, such cases shall be regulated as per proviso under para 12(8) for payment of widowl
children/orphan pension.
[C.P.F.C.'s circular No:PensionJ2(4)/ClarificationJ96, dated 24thJanuary, 1997.] .
MONTHLY CHILDREN PENSION
Monthly Children Pension is admissible in addition to monthly Widow/Widower Pension in all the
three eventuality under Section 16(1)(a), 16(l)(b) and 16(l)(c), provided there are surviving children
who have not attained the age of more than 25 years and that Children Pension shall be admissible to
maximum of two children at a time.
[C.P.F.C.'s circular No:Pensionl2(4)/Clarificationl96,dated 17thJuly, 1996.]
MONTHLY CHILDREN PENSION TO TWO CHILDREN AT A TIME - FAMILY HAS
TWINS IN ADDITION TO AN ELDER SON - HOW PENSION TO BE PAID
In such cases pension would be released to two children - one who ,S the eldest of the three and
the other elder one of the twins.
[C.P.F.C.'s circular No:Pensionl2(4)/Clarificationl97, dated 7thApril, 1998.]
MONTHLY ORPHAN PENSION -75% OF THE WIDOW PENSIQN - PAYABLE TO EACH
OR TO BE DIVIDED BETWEEN THEM
As per para 16(4)(a) read with para 16(4)(b), 75% of the Monthly widov .•.pension is to be paid
to each of the orphan, subject to a minimum of Rs.170/- per month per orphan (raised to Rs.250/- vide
G.S.R. No.41 dated 12th January, 2000).
[C.P.F.C.'s circular No:Pensionl2(4)/Clarificationl96, dated 24thJanuary, 1991.1
MONTHLY CHILDREN PENSION - PERMANENTLY AND TOTALLY DISABLED
CHILDREN - PARA 16(3)(e)
Para 16(3)(e) provides for payment of monthly pension to permanently and totally disabled children!
orphan irrespective of their age and number of children in the family in addition to the children pension
provided under Para 16(3)(d).
In regard to the doubt raised as to whether Para 16(3)(e) is independent of Para 16(3)(d) for grant
of disabled children pension, Ministry of Labour has clarified as under:-
"Conceptually there is a need to read paragraph 16(3)(d) and 16(3)(e) together. As provided
under para 16(3)(d), the month Iy chi Idren pension will run from the oldest to the youngest child. If, there
are two disabled children and both are age-wise seniors to others, then pension will be payable to these "
two children only. However, if there is any other totally disabled child in the family, he will also be
entitled to get pension but in no case, pension will be payable to other children if two senior disabled
children are already getting pension under the Scheme. In cases where first two children are normal and
age-wise senior, then in their cases, pension will be payable in addition to the pension payable to the
disabled children."
40](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-48-320.jpg)
![CASE·V
• 1st Disabled Child
• 2nd Normal Child
• 3rd Normal Child
.. • . 4th No.rnal Child
I" and 2nd children will only get pension. On completion of age of 25 years of 2nd child, 3rd will
occupy the slot and likewise 4th will occupy the 3rd child position, on completion of 25 years age
of 3rd child.
CASE·VI
• I" Disabled Child
• 2nd Disabled Child
• 3rd Disabled Child
• 4th Disabled Child
All the 4 disabled children will get pension simultaneously.
[Minilotry of Labour letter No.R-15011/1/2000-SSn, dated 20th June, 2000 & C.P.F.C.'s circular No : Pension
- 117 (2) 2000/CEPS, dated 13th july. 2000.]
PENSION TO PERl-fANENTLY AND TQTALLY DISABLED CHILDREN - CRUCIAL DATE
OF DECIDING THE ELIGIBILITY • PARA 16(3)(e)
The crucial date of deciding the eligibility of permanently and totally disabled children would be:
• As on the date of death of the member concerned while in service or away from employment
retaining the contributions upto the age of 58 years.
• Ason the date of death of the member pensioner on becoming pensioner.
The criteria for the coverage and entitlement of permanently and totally disabled children pension
should be during the risk period coverage of such children i.e. the permanently and totally
disablement occurred to a child (in the family of the member) during the risk coverage period upto
25 years of such child shall be considered and the disabled children pension under para 16(3)(e)
shall be continued for life long. If the child has attained the age of 25 years and the normal children
pension is Slopped and thereafter such child get permanently and totally disabled, such category
of children are beyond the purview of risk coverage and hence not entitled for disabled children
pension.
[Ministry of Labour·1ettt!r~R-150HI1l2000-SSII, dated 20th june, 2000 & C.P.F.C.'s circular No:renlSloll-
II7(2)2000/CEPS, dated 13th july, 2000.] . .
DISABILITY - CERTIFICATE BY MEDICAL BOARD
In regard to deciding the permanent and totally disablement of a child, a certificate certifying
disablement of the child by Medical Board, on line with the definition and procedure prescribed under
42](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-50-320.jpg)
![on
Ily
ito
(e)
'en
.ry
en
para 2(xvi) read with Para 15(3) of Employees' Pension Scheme, 1995 needs to be followed.The child
should be totally unfit for the employment, for consideration of permanently and totally disabled children!
orphan pension, after the same is considered and certified by the prescribed Medical Board.
[Ministry Ot Labour letter No.R-15011/1l2000-SSIl, dated 20th June, 2000 & C.p.F.e's circular No:Pension-
In(2)2000/CEPS, dated 13th July, 2000.]
!ill NOMINATION UNDER PARA 16(5)(a) - IF NOT FILED UNDER EPS. 1995 - NOMINATION
ige [lLED UNDER EPF SCHEME. 1952 CAN NOT BE ACTED UPON.
Nomination filed under E.P.F. Scheme, 1952 can not be made applicable to Employees' Pension
Scheme, 1995. Separate nomination under EPS, 1995 is required to be executed for authorisation of
nominee pension Ilnill"r thl" rr;"'i~i0~~ of Para !6(5)(a).
[C.P.F.C.'s circular No:Pensionl2(4)/Clarificationl96, dated 24tb January, 1997.]
troMINATION UNDER PARA 16(5)(a) - RECEIVED AFTER THE DEATH OF
MEMBER - VALID
The nomination in Form-2(R) received from the employer even after the death of the member can
ion be treated as valid for extending the benefits under Employees' Pension Scheme, 1995 provided the
Nomination was filed by the member when he was alive subject to certifying by the employer as to the
correctness and genuineness of such documents.
mt
liOMINATION UNDER PARA 16(5)(a) - MORE THAN ONE NAME - OPERATIONAL
INSTRUCTIONS FOR VALIDITY
(a) If more than one name is mentioned in the Nomination Form [Form-2(R)], the first name may
be considered ignoring the other names for "Nominee Pension";
(b) If the first nominee predeceases, the second nominee may be considered for "Nominee
Pension" at the crucial date of the death of the member, ignoring the other names, if any.
[C.P.F.C.'s circular No:FP-3/28/97IMH, dated 4tb April, 2001]
e:
PAYMENT OF PENSION TO PARENTS - DETERMINATION OF DEPENDENCY
CRITERIA - NOT SPECIFIED ANY INCOME CRITERIA
Clause (aa) of Sub-para (5) of Para 16 (inserted vide Govt. of India Notification dated
22.2.1999 published vide GSR No.66 Gazette of India - March 6, 1999) entitles the dependent
parents of a member of the Employees' Pension Scheme, 1995 who dies leaving behind no spouse
Ipd/or an eligible child and no-nomination by such deceased member exists. The term 'dependant
parents' signifies determination of dependency criteria.
The matter regarding deciding the dependency criteria was referred to the GOVl. of India. The
SUbjectdirection of the Govt. permitting entitlement of Pension claim from the parents does not
lpecify any income criteria to be followed for deciding the dependency.
[Authority: Decision of the CBT, EPF in its 1515t meeting held on 14.08.1999 and Ministry of Labour letter
Ref. No.R-1501212/99-SS.II, dated 18.10.1999] [CPFC's circular No: Pensionl12/33/96, dated 26tb October,
1999]
)0-
ler
43](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-51-320.jpg)
![PAYMENT OF PENSION TO PARENTS - DEATH OF MEMBER OCCURRING BETWEEN
16.11.1995 AND 05.03.1999
Claim for payment of pension to dependant parents may be accepted and settled as per the
scheme provision in respect of death of the member occurring between 16.11.1995 and 05.03.1999 i.e.,.
the date of implementation of the EPS 1995 and the amendment notified. However, since provision
permitting pension payment to parents have been brought in through amendment notified and effective
from 06.03.1999, the payment of pension to the parents shall be payable from the said date only i
06.03.1999 onwards. In other words, the claims received in respect of death of the member occurring
between 16.11.1995 and 05.03.1999 i.e. interregnum period between introduction of the EPS 1995
from 16th November, 1995 till the date of amendment of the Pension Scheme permitting pension payment
to dependent parents effective from 06.03.1999 shall be admitted for settlement uui 4..Luui.payrueiu ui
pension to parents shall be released from 06.03.1999 onwards only i.e. the date from which such payment
has been authorised under the scheme through the amendment cited.
[Authority: Decision of the CBT, EPF in its 1510t meeting held on 14.08.1999 and Ministry of Labour
Ref.No.R-15012/2/99-SS.II, dated 18.10.1999] [CPFC", circular No: Pensionl12/33/96, dated 26th Octonee
1999]
ENTITLED FOR MONTHLY PENSION UNDER PARA 12
If a member is not entitled to a pension at date of exit then his beneficiary can not receive a vv"" ••.'.u,
under para 16(5)(b). Nominee beneficiary will not receive pension, but hislher benefit shall not
less than Capital Value of notional Pension otherwise payable to the member.
Examples:
(1) Date of joining: 1.12.1995; Date of leaving 1.1.1996; Salary Rs.5,0001-; Date of death
15.2.1996.
Notional pension should be based on the scheme formula: Rs.5,000 x 1170=Rs.71. So,
beneficiary will get Rs.71 x 100 times = Rs.71001- as Capital Value of Pension.
(2) Date of joining: 7.12.1988; Date of leaving 15.12.1996; Date of death: 1.4.1997; Salary
Rs.5,0001- .
Past service Pension is = Rs.85/-. Future Scheme Pension = Rs.5,OOOx 1170= Rs.711-. Noti
pension payable =Rs;85 + Rs.71 ·Rs;-l56I-. So; Nominee beneficiary will get Rs.156 x 100
Rs.15,600 as Capital value ofPension. "
(3) Date of joining: 15.1.1996; Date of exit: 1.1.2005; Date of death: 1.8.2005; Salary: Rs.5
Past Service Pension = O. Further Service Pension = Rs.5,OOOx 9170 = Rs.642/-. So, n
beneficiary will get Rs.642 x 100= Rs.642001- .
.
[C.P.F.C.'s circular No:Pensionl2(4)/ClarificationlI6(S)(b)/96, dated 4th June, 1998.]
44](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-52-320.jpg)
![etter
ober;
PARA 17
.ded
i.e.,
lion
tive
I.e.
nng
995
nent
It of
nent
OPTION TO BECOME MEMBER OF EPS, 1995 FROM A RETROSPECTIVE DATE-CALCULATION
OF AMOUNT TO BE DIVERTEDIDEPOSITED FROM PF ACCOUNT TO
- £f:NSICN FUND ACCOUNT - INTEREST PAYMENT FROM WHICH DATE.
Contribution has to be worked out on actual wages of each member for the relevant period from
1.3.1971 to 15.11.1995. In case of difficulty the same may be worked out on a standard basis following
the wage ceiling limit that was prescribed from time to time with interest thereon calculated @ 8.5% per
annum uniformly compounded on annual basis. The amount so arrived at shall become payable on
16.11.1995. The interest @ 8.5% from 16.11.1995 to the date of actual remittance of the amount by
the member concerned to the credit of the Pension fund need be worked out and added further.
[C.P.F.C.'s circular No:Pensionl3/41 97/AP, dated 21st March, 1997.]
sion
)t be
ith :
.
45](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-53-320.jpg)
![T
T
PARA 17A
SETTLEMENT OF CLAIMS WITHIN 30 DAYS - STEPS TAKEN
In keeping with the requirement made in para 17A of the E.P.S., 1995, to complete the settlement
process of pension claim within a period of 30 days, it has been decided that the PPOs generated during
a calendar week should not be put on hold but be forwarded to the Link Branch of the designated Banks
on weekly basis. The PPOs generated from Monday to Friday need be forwarded to the designated
Bank by Friday evening alongwith an account payee cheque covering the amount of pension payable
upto the previous month (including arrears and commuted value, if any).
[C.P.F.C.'s circular No:Pension-I/22(1)2000, dated 21,t January, 2000.]
PARA 18 AND PARA 24
(1) REGULATION OF CASES OF DATE OF BIRTH OF THE MEMBER AT THE TIME
OF ENTRY INTO THE EMPLOYMENT • ABSENCE OF PROOF
The age/date of birth of the member as furnished through Form 9 in a verified manner by the
Employer on entry into the service of the establishment should be accepted as such and taken on
record.
(2) CHANGE OF DATE OF BIRTH SUBSEOUENTLY - NOT TO BE ALLOWED
Once the date of birth is accepted through the initial return filed by the employer, the same will
not be allowed to be changed/modified except on technical ground and that even with prior formal
approval of Head Office.
(3) REGULATION OF CASES OF CHANGE OF DATE OF BIRTH OF MEMBER -
ABSENCE OF PROOF
The age/Date of Birth of the member as furnished through Form 9 in a verified manner by the
Employer on entry into the service of the establishment should be accepted as such and taken on
record. No subsequent change is allowed except on technical ground and that even with prior
formal approval of Head Office.
CHANGE OF DATE OF BIRTH AFTER ACCEPTED IN FORM 9
The age/Date of Birth of the member accepted through the initial return filed by the employer will
not be allowed to be changed/modified. H.:..9weverif, any such request is received from the member
concerned through the employer for change in the Date of Birth citing valid reasons, then the
concerned officer viz. R.P.F.C.lOfficer-in-Charges, Sub-Regional Office, may in genuine cases call
for and rely on the following to decide the issue appropriately on merit:
a) Original Date of Birth Certificates issued and certified based on the record of birth being
maintained by Registrar of births and deaths, municipal authorities/School Leaving Certificates
issued by the Competent Authority (Principal/Headmaster/Order of competent Court). (This
shall exclude cases of current certification based on member declaration).
47](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-55-320.jpg)
![b) In case of School Leaving Certificate, it may be prudent to get it verified to ensure genuineness.
Authenticity of the document may be got established by making reference to such authority
who have issued such certificate and the regulatory authority, if any, as counter checking.
c) In the absence of proof of age/Date of Birth, as above, Medical Certificate issued by the
Competent Civil surgeon after examining the concerned member medically supported with
affidavit on oath by the member duly authenticated by a first class Judicial Magistratel
Metropolitan Magistrate and accepted/endorsed by the employer.
(5) DATE OF BIRTH OF SPOUSE AND CHILDREN - PROCEDURE TO BE
FOLLOWED IN THE ABSENCE OF PROOF
Initial declaration in Form 2(Revised) filed by the member declaring the age/Date of Birth of the
spouse and children and countersigned by Employer may be accepted, in general, unless any
inconsistency is noticed, without insisting for the proof. However, if such details are not filed in
initial stage or any request for change in the age/Date of Birth of family members is pursued
subsequently, it has to be ensured to collect and verify the documentary evidence in support of the
claim for change as listed under (a), (b) and (c) above.
(6) NO CHANGE OF DATE OF BIRTH ALLOWED AFTER ITS ACCEPTANCE IN
EPFO RECORDS
As far as possible, no change in the Date of Birth is allowed after its acceptance in Employees'
Provident Fund Organisation records through the prescribed initial statutory return.
[C.P.F.C.'s circular No:FP.3(8)/Orissal97, dated 6t1o January, 1999.]
BY CONSUlIER DISPUTES REDRESSAL FORUM - EXTRACTS OF THE ORDER
A complaint was filed by some of the members of E.P.S., 1995 before the Consumer Di
Redressal Forum, Kozhikode vide O.P. No:7012000. The complainants who were three in number
retired on superannuating after attaining 58 years of age challenged the quantum of monthly pension
by the RPFC, Kozhikode saying that they are entitled to a much higher amount as pension as the
of birth taken into account by the RPFC for fixing the quantum of pension is wrong. CPFC was
made an opposite party. The relief sought for in the complaint was to give a direction to the n •.•·nn'''t ••
parties (CPFC/RPFClEmployer) to alter their year of birth as 1941 instead of 1943 and pay them
higher pension.
The Forum refused to give this relief. The operative part of the order is as under:
"But ongoing-through the-records we are afraid thatthe complainants cannot be given this
Ex.Rl to R3 are admittedly the nomination forms given by these complainants for joining in the scneme
I!1 these forms the year of birthof all these complainants are shown as 1943. Admittedly all
complainants have signed in this forms and further they have given a declaration that the particulars
in the forms are true and correct. Thus having once given a declaration saying that their year of
is 1943 and having allowed the opposite parties to initiate the proceedings acting on these n<>,rtlr'l1
thus furnished by them, they cannot now turn around and say that the year of birth shown in Ex.RI
R3 is wrong. Or to put it differently, having given a declaration rather categorically that their year of
48](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-56-320.jpg)
![is 1943, they are now estopped from saying that the said information is wrong and that their year of birth
is 1941, even if the year of birth shown in Ex.R 1 to R3 is wrong. So much so the action of the opposite
parties fixing the P.P. Pension of the complainants taking their year of birth as 1943 cannot be termed
as either improper or illegal as sought to characterized by the counsel for the complainants. This being
the position, we have no other option but to dismiss this complainr. The complaint is therefore dismissed
but however without any order as to costs. Pronounced in open court this the 19th day of May, 2000."
[Order dated 18/19 May. 2000 of the Consumer Dispute Redressal Forum. Kozikode in O.P. No.70/2000 -
circulated vide CPFC's circular No.Pensionl3/8/0rissal97IPt. dated 2pl Aueust. 2000)
PROOF OF DATE OF BIRTH NOT AVAILABLE
!'l0!"!!,<l11;" th~ ':'~1J:.,:,,:,!"!J:.~!'is supposed to provide age particulars while at the time of joining the
scheme. Form-2 also provides the date of birth column for member, which is likely to generate the
information. However, in the absence of above, the date of birth recorded in the service record maintained
by the establishment and as certified by the employer concerned may be followed.
[C.P.F.C.'s circular No:Pensionl2(4)/Clarificationl96, dated 23rdMay, 1996.]
PARA 32
(1) RELIEF TO THE BENEFICIARIES OF THE CEASED FAMILY PENSION
SCHEME. 1971
Central Government has allowed additional relief to the beneficiaries of the ceased FPS, 1971 as under:
S.No. Date of death Per month percentage Subject to minimum
of increase increase of
1. Before 1.4.92 15% Rs.75/-
2. Between 1.4.92 to 31.3.93 12% Rs.60/-
3. Between 1.4.93 to 31.3.94 9% Rs.45/-
4. 1.4.94 to 31.3.95 6% Rs.30/-
The relief sanctioned above is effective from I" April, 1995 and shall be admissible only for the
cases settled under the ceased Farni ly Pension Scheme, 1971.
[C.P.F.C.'s circular No:FP/15(4)n7/ActvaIJ95, dated 281h August, 1997.]
RELIEF TO PENSIONERS
Ministry of Labour-has allowed 4% relief on pension in payment as on 15.11.1996 to existing
pensioners, widow pensioners and orphan pensioners. '"
[C.P.F.C.'s circular No:Actuary/18(1)/96NoI.II, dated 3rdDecember, 1997.]
ADDITIONAL RELIEF TO PENSIONERS
Ministry of Labour has allowed 5.5% additional relief on the original pension to all pensioners as
on 31.3.1998 w.e.f. 1..4.1998.
[C.P.F.C.'s circular No:PensionlI8(2)/97Nol.I, dated 12th January, 2000.]
49](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-57-320.jpg)
![(4) ADDITIONAL RELEIF TO PENSIONERS
Ministry of Labour has allowed 4% additional relief on the original pension to all pensioners as on
50
31.3.99 w.e.f. 1.4.1999.
[C.P.F.C. circular No. : Pension-I118(l)199Nol. I, dated 14th June, 2001.]
PARA 39
EXEMPTION APPLICATIONS - SCRUTINY AND DISPOSAL - FORWARDING TQ
CENTRAL OFFICE - PROCEDURE
In order to streamline the procedure and to have uniformity, the Exemption Applications received
by Sub-Regional Offices be submitted to Regional P.R Commissioner-in-charge of the Region for proper
scrutiny and disposal. RPFC-in Charge of Region will only forward the pmpm:~lo;:whirh ~!"'::'!!! ~0!!!p!et:
form and found in order as per the prescribed procedure/guidelines, with his specific comments!
recommendations. Controller of Pension [now the RPFC (Pension)] in the Regions are to assist the
RPFC-in-Charge, to scrutinise, monitor and regulate disposal of Exemption Applications and for
overseeing compliance under Employees' Pension Scheme, 1995.
[C.P.F.C.'s circular No:PensionlGenllExeml9713264, dated 12thJune, 1997.]
FURNISHING OF COMPARATIVE STATEMENT - EXEMPTION APPLICATIONS
While processing the exemption application by the RPFC-in-Charge of the regions, a comparative .•.
statement in the prescribed format be prepared on the basis of the information! Pension Scheme furnished
by the establishment. It should also be ensured that Evaluation of the comparative statement in Annexure
'E' submitted by the establishment duly certified by their Actuary is got verified as to its correctness and
specific comments against each such benefit parameter should be furnished in the comparative statement
The comparative statement compiled and finalised on the above lines be submitted, in addition to Annexure,
'E', while forwarding exemption application to Central Office.
On being satisfied with the proposal submitted by the establishment and found to be in order
regard to submission of requisite documents/details as required under Para 39 of Employees'
Scheme, 1995, the proposal be submitted in triplicate with all the prescribed supporting documents':
annexures completed in all respects duly authenticated with the specific recommendations of the
for scrutiny and further processing of the matter at Central Office.
[C.P.F.C.'s circular No:PensionlGenIlActuarylExeml97, dated 1211A1ugust, 1997.]
DISPOSAL OF EXEMPTION APPLICATION - TIME FRAME OF SIX MONTHS
Para 39 provides, inter alia, that Exemption Application shall be disposed of within a period
6 months from the dateofiJu~t or Sllch further time, that may be extended for reasons to
recorded 'in writing. In case the, Exemption Application is not disposed of within the specified
the exemption applied for shall be deemed to have been granted. Explanation under para 39 clarifies
the period of 6 months will count from the date on which the application for exemption is given
complete form to the satisfaction of the Regional Provident Fund Commissioner. In view of
provisions, it is expected that 'Exemption applications' are scrutinised and disposed of appropriately
'Top Most Priority'.
[C.P.F.C.'s circular No:PensionlGenllExemlActuaryI195, dated 25'- July, 1996.J](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-58-320.jpg)
![(b) Annexure 'F' confirming solvency and adequacy of fund.
vi) Establishment agrees to submit by 30th September of every year:
(a) Account of the fund audited by a Chartered Accountant.
(0) Annual Actuarial Valuation of the fund by an Actuary.
(c) Confirmation by Trustees that investment of the fund is as per format.
(d) Benefits paid to employees in no case was less than that available under EPS, 95.
[C.P.F.C.'s circular letter No. PensionlGenllExemlAduary/95 dated 25th July, 1996]
63](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-74-320.jpg)
![.,,.",' . .'~ " - ,
i]
ANNEXURE 'F'
Actuary's certificate includes following items:
L Liability of the Fund as at 31'1 March of that year.
2. Asset of the Fund as at 31 st March of that year.
3. Contri bution to the Fund as at 315 March of that year.
4. Solvency of the Fund on long term basis.
5. Adequacy of the Fund to meet the liability as and when it arises i.e. no cash-flow problem.
69](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-80-320.jpg)
![COMPARISON OF ESTT.PENSION SCHEME
VIs-A.-VIS
EMPLOYEES PENSION SCHEME 1995
[Refer S.No. 3 below Para 39 - Clarifications]
S. CRITERION STATUIURY ESTABLISH- CONCLUSION COMMENTSI
No SCHEME MENT PENSION AT PAR! RECOMMEND·
EPS 1995 SCHEME SUPERIOR! ATIONS OF
(Quote Rule No. INFERIOR RPFC (IN
also) CHARGE OF
REGION)
1 2 3 4 5 6
1. MEMBERSHIP (i) Every employee of the
Establishment contributing
to EPF Scheme' 1952 and
FPF Scheme' 1971.
(ii) All new entrants joining the
establishment w.e.f 16.11.95.
(para 6)
(iii) All the categories of employees
including temporary, casual
employees engaged by or
through contractor.
2. CON1RIBUTlON (i) 8.33% of Employer Share.
(ii) 1.16% of wages as Govt. Share.
3. MONTHLY a) Superannuation pension
MEMBERS On completion of eligible
PENSION service of 20 years and on
attaining the age of 58 years
b) Retirement Pension
On Completion of eligible
serv ice of 20 years and on
retirement before attaining the
age of 58 years.
c) Short Service Pension
On completion of eligible service
of 10 years or more but less that
--:-20-yeifrs.LPafiC12 (1) (dJJ. -,
d) Eligible Service: 10 years
e) Superannuation Age: 58 yrs
4. PERMANENT One month's Contribution to the
TOTAL pension fund is required.
DISABLEMENT (Para 15)
PENSION
71](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-82-320.jpg)
![5. BENEFITS OF (a) Refund of contribution as Per
LEAVING Table 'D' for the Service less
SERVICE than 10 years. (Para 14)
BEFORE (b) Alternatively, Member can
BECOMING obtain scheme certificate
ELIGIBLE FOR retaining the services for
MONTHLY Futurepensionl Family Pension
MEMBERS Benefits (Para 12(8).
PENSION
6. PENSION 1170 X Pensionable Salary X
FORMULA Pensionable Service (i.e. PS X
PSX .0143)
(Para 12(2)
7. PENSIONABLE (a) Contributory Service
SERVICE (b) Can go up to maximum of
40 years
(c) 2 Years bonus weightage
after completion of 20 years
(Para 10).
8. ROUNDING UP 6 months and above will be
OF PENSION- deemed as full year, less than 6
ABLE SERVICE months will be ignored.
(Para 9).
9. PENSIONABLE 12 Months average preceding to
SALARY the date of exit.
(Para 11)
COMMUTATION 1/3rd of pension can be
commuted on or after 15.11.98
(Para 12 A).
1l. OPTION FOR (a) Three options available for
RETURN OF reduced pension.
CAPITAL JQQ/99 times of the original
pension as return of capital ,
as per the option exercised,
(Para 13).
12. NOMINEE Pension to Nominee in the case
PENSION of death of Bachelor/Spinster.
[Para 16(5)(a)].
72](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-83-320.jpg)
![INDEX
Returns to be submitted Page
by Employers Purpose No.
1 Form 9 (Revised) Initial return of Employees who are entitled and required to become
members of the Employees' Provident Fund and Pension Fund -
one time. 75
2 Form 5 - A Return of Ownership - Initial-one time. 77
3 Form No. 5 Return of Employees qualifying for membership of the Employees'
Provident Fund for the first time during the month - monthly. 79
4 Form No. 10 Return of the members leaving service during the month - monthly. 80
5 Form No. 12 - A Statement of Contribution for the month - monthly. 81
6 Form No. 3 (1'3) Consolidated return of employees who are entitled and required to
become members of the pension Fund on the date the Pension Scheme
comes into force - for exempted establishments-Initial-one time 82
7 Form No. 4 (PS) Return of employees entitled for membership of the Pension Fund
during the month-for exempted establishments - Annual. 83
8 Form No. 5 (PS) Return of Members Leaving Service during the month-for exempted
establishments - monthly. 84
9 Form No. 6 (PS) Statement of contribution for the month-for exempted
establishments-monthly. 85
10 Form No. 7 (PS) Contribution card for members for the year-for exempted
establishments-Annual. 86
11 Form No. 8 (PS) Annual Statement of Contribution-for exempted estrt-Annual option
to become member of the EPS,95 87
Forms Used By Members/Pensioners
12 Form 1 (EPS) Option Form to become member of E.F.P.S., 19711E.P.S., 1995. 88
13 Form 2 {Revised} Declaration and Nomination Form. 90
14 Form 11 (Revised) Declaration by a person taking up employment in an establishment
in which the Fmployees' Provident Funds & Family Pension Fund
Scheme enforce. 92
15 Form No. 9 (PS) Declaration by a person taking up employment in which the
Employees' Pension Scheme is in force [establishments exempted
from Employees' Provident Fund Scheme, 1952] 93
16 Form lOC For claiming Withdrawal Benefit/Scheme Certificate 94
17 Form 10D For claiming Monthly Pension by member himself/family 101
18 Proforma For making reference to Medical Board of Central/State Govt./ESIC
(Annexure I)·· -Hospital under Para 15(3) of Employees' Pension Scheme, 1995 llZ
19 Proforma To be completed by the Medical Board on examining the disabled
(Annexure 11) Member 114
(Life Certificate/Non To be submitted by the Pensioner in the month of November each
Remarriage Certificate year 116
Forms used by EPFO
21 Pension Payment Order Il7
22 Scheme Certificate 126
74
...".](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-86-320.jpg)
![FORM - 9 (Revised)
THE EMPLOYEES' PROVIDENT FUND SCHEME, 1952 [PARA 36(1)] and THE EMPLOYEES'
PENSION SCHEME, 1995 [PARA 20] RETURN OF EMPLOYEES WHO ARE ENTITLED AND
REQUIRED TO BECOME MEMBERS OF THE EMPLOYEES' PRO'.'IDENT FUND AND PEN-SION
FUND.
NAME AND ADDRESS OF THE FACTORYIESTT .
CODE NO .
INDUSTRY IN WHICH THE FACTORY IESTT. IS ENGAGED
-n. A'T'T:' AT:' roA't Tnn AroD
•••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••• ~.l. 1..1. ~ '--'.I.. .••...".-.J.. ' .&.....I..1.'..ra.'-'...&....I •••••.•••••••••••••••••••••••••••••••.•••••••••.•.••••••••••••••••••••••••••••••••.•••.•.•••
REGN. NO. OF THE FACTORYIESTABLISHMENT .
If factorylEstt. is covered under E.S.1. Act, indicate the code No. allotted under E.S.1.
E.S.I. Code No .
Specimen Signature of the Employer or authorlzed Official:
Sr. No. Name . Designation Specimen
Signature
1 .
2 .
3 .
4 .
(Attach a specimen signature card supplied)
REMARKS, IF ANY:
NOTE: (1) This Form should be accompanied by declaration in Form-2 byevery employee.
(2) Any change in the authorized official/designated Medical Officer should be inti-.
mated mtlRfCottrtnissioner.
No. of Employees enrolled as
Members on the date of coverage.
Signature of the employer or other
Authorized Officer.
Date and stamp of FactorylEstt ..
75](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-87-320.jpg)
![FORM - 5
THE EMPLOYEES' PROVIDENT FUNDS SCHEME, 1952
[paragraph 36 (2) (a)]
Return of Employees qualifying for membership of the Employees' Provident Fund for the first time dUring:
the month of .
[To be sent to the Commissioner with Form 2 (Revised)]
Name and address of the FactorylEstt .
Code Number of FactorylEstablishment .
Date of
(7) (8)
S. Account Name of the Father,s Date of Sex
No No. Employee in name (or Birth
Block (capital) husband's
name in
case of
married
eligibility for
membership
(1) (2) (3) (4) (6)
Remarks
Date .
No. of Form 2 enclosed: .
(Also fill in Form No. 10-overletlfy----
Signature of the Employer or other
authorized officer of the
Factory/establishment
Stamp of the Factory/establishment
Indicate the followina: in the remarks; -
1. Previous Ale No. & Service particulars - with Form-Id (Revised).
2. The Scheme Certificate control no., if any, enclosing the certificate.
3. Details of Pension being drawn, if any, under EPS, 95.
(Such member should be enrolled for PF & EDLI only).
4. Enclose Form-2 (Revised), giving nomination for PF & also for Pension by all members.
79](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-91-320.jpg)
![FORM -10
THE EMPLOYEES' PROVIDENT FUNDS SCHEME, 1952
[Paragraph 36 (2) (a) & (b)]
Return of the members leaving service *during the month of .
Name and address of the Factory/estt Code No .
.C.'). Account Name of Father's name (or husband's Date of Reasons Remarks
No. No member Name in case of married leaving for
(in block woman) service. leaving
letters) service
1 2 3 4 5 6 7
I
Date . Signature of the Employer or other
authorized officer
Stamp of the FactorylEstt.
*Please state whether the member is (a) retiring according to para (69) (1) (a) or (b) of the Scheme (b)
leaving India for permanent settlement abroad or taking up employment abroad (c) retrenchment (d) dis-charged
(e) resigning from or leaving service (f) taking up employment elsewhere (The name and address
of the Employers should be stated)
(Also fill in form no. 5 overleaf) Signature of the Employer
Note:- A member who attained the age of 58 years Is ceased to be a member under the Employees
Pension Scheme, 1995. He is eligible to avail the benefits under the EPS - 95.
80](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-92-320.jpg)
![FORM NO. - 3 (PS)
(For exempted Establishments)
THE EMPLOYEES'. PENSION SCHE~E, 1995 [Paragraph 20(i)]
Code No. of the Estt .
Consolidated Return of employees who are entitled and required to become members of the pension Fund
on the date the Pension Scheme comes into force.
Name and address of Establishment.. , Date of coverage .
.Industry in which the Estt. is engaged Registration No. of the Estt .
SI Account Name of Father's Basic Date Sex Date of Remarks
No. No. the Name or wages DA of entitlement
employee Husband's induding birth for
(in name in the cash value membership
capitals) case of of food
married concession
woman) & retaining
allowance,
if any
I 2 3 4 5 6 7 8 9
.
Signature of the employer or other Sta-authorized
officer
The information received in Form 5 (PS) in respect of the members leaving service shall be entered in this
form by commissioner specifying clearly the reason for leaving service.
Stamp of the Establishment
This form should be accompanied by declaration and nomination in form 2 by every employee
mentioned in column 3.
The employees who have attained the age of 58 years andlor receiving Pension under the EPS 95
are not required to become a member of the Pension Scheme.
(3) In case the employee surrenders the Scheme Certificate, the Control No. of the certificate should
be 'entered.
(4) The membership under P.P. and Pension will commence simultaneously.
82](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-94-320.jpg)
![FORM NO. - 4 (P.S.)
(For exempted Establishments)
THE EMPLOYEES' PENSION SCHEME, 1995
[Paragraph 20]
Return of employees entitled for membership of the Pension Fund during the month of .
Name and Address of Establishment. .
Code No. of the Establishment. .
SI Account Name of the Father' Date of Sex Date of Remarks (Previous
No. No. employee name (or birth entitlement Ale No. &
(in capitals) husband's for particulars of
name in the membership previous service
case of (Enclose Scheme
married Certificate, if any)
woman)
1 2 3 4 5 6 7 8
Date . Signature of the employer or other
authorized officer of the
establishment.
Note: An employee who has attained the age of 58 years and/or drawing Pension under the EPS-
95' is not to be enrolled as a member.
83](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-95-320.jpg)
![FORM NO. - 5 (P.S.)
(For exempted Establishments only)
THE EMPLOYEES' PENSION SCHEME, 1995
[Paragraph 20 (2)]
Return of Members Leaving Service During the Month of ••••..... 200 •••••
Name and Address of Establishment. .
Code No. of the Establishment. .
SI Account Name of the I Father' name I Date . I .
of Reas~ns ~or leaving Remarks I No. No. employee ' 1 "I 11 'I ",UI UU;'UClllU :) ICilV1Ug set VIce (see note
(in block) name in the service given below)
case of
married
woman)
1 2 3 4 5 6 7
,
An employee who has attained the age of 58 years will cease to be a member of the scheme and
entitled to receive the ~u_eE,en~fitunder the E~S-95.
Signature of the Employer
Stamp of the Establishment
84](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-96-320.jpg)
![FORM NO - 8 (P.S)
(For exempted Establishments only)
THE EMPLOYEES' PENSION SCHEME, 1995
[Paragraph 20]
Annual statement of Contribution for the Currency period from 1'1 200 to 200 .
Name and Address of the establishment. .
Code No. of theestablishment. ; .
S. Account Name of Wages. retaining allowances (if any) Contribution to Remarks
No. number member (in and D.A., including cash value of food Pension Fund
block concession paid during the currencv 833%
letters) period (Rs)
1 2 3 4 5 6
Reconciliation of Remittances Total Rs Rs
S.No Month Pension Fund Contributions Nc
No. 10
1
2
3
4
5
67
89
10
11
12
Certified that the difference
between the figures of total
Pension Fund conu ibutions
remitted during the currency
period & the total Pension fund
contribution shown under Col. 5
is solely due to the rounding of
amounts to the nearest rupee
under the Rules
i) Total number of contribution cards
enclosed Form 7 (PS)
ii) Certified that Form 7 (PS)
completed of all the members listed
in this statement are enclosed, except
those already sent during the course
of the currency period for the final
settlement of the concerned
members' account 'Remarks'
furnished against the names of
respective members above.
Rs.
Rs.
Rs.
Rs.
Rs.
Rs.
Rs.
Rs.
Rs.
Rs.
Rs.
Rs.
Signature of the Employer
(With office seal)
Total Rs.
NOTE:
1) The names of all members, including those who left service during the currency period should
be included in this statement. Where the Form 7 (PS) in respect of such members who had
left service were already sent to the Regional Office for the purpose of final settlement of their
accounts, the fact should be stated against the members in the 'Remarks' column above thus,
"Form 7(PS) already sent in the month of 200 "
2) The Form 7 & 8 are combined as Form 7/8 (Revised) to suit the computerized preparation.
87](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-99-320.jpg)
![5
PART - B (EPS)
(Para 18)
I hereby furnish below particulars of the members of my family who would be eligible to receive widow/
children Pension in the event of my death.
1
Name and address of the
famil member
Address Date of birth
2 3 4
Relationship with
member
S.No.
1.
2.
3.
**Certified that I have no family, as defined in Para 2(vii) of Employees' Pension Scheme, 1995 and should
I acquire a family hereafter I shall furnish particulars thereon in the above form.
I hereby nominate the following person for receiving the monthly widow pension [admissible under Para
16 (2)(a) (i) & (ii)] in the event of my death without leaving any eligible family member for receiving
pension.
Name and address of the nominee Date of birth Relationship with the member
Date:
Signature or thumb impression of the subscriber
**Strike out whichever is not applicable
CERTIFICATE BY EMPLOYER
Certified that the above declaration and nomination has been signed/thumb impressed before me by Shri/
Smt/Kum employed in my establishment after he/she has read
the entries/entries have been read over to him/her by me and got confirmed by him/her.
Place: Signature of the employer or
Uther authorized Officer of
the establishment
Dated the: Designation:
Name and Address of the Factory/establishment or
rubber Stamp thereof,
91](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-103-320.jpg)
![FORM NO - 9 (P.S)
(For PF exempted Establishments only)
THE EMPLOYEES' PENSION SCHEME, 1995
[Paragraph 24]
Declaration by a person taking up employment in an establishment in which the Employees'
Pension Scheme is in force.
1. .
(Name)
*son/wife/daughter of
do hereby solemnly declare that:
*(a) I was lastly employed in .
(Name and full address of the establishment)
and left service on 200 .
*(b) I was a member of Provident Fund
and also of the Family Pension fund from to and
but not
my account number(s) was/were ~ .
**
*(c) I havelhave not withdrawn the benefit accruing from the Family Pension Fund.
*(d) I have never been a member of any Provident Fund nor Family Pension Fund.
*(e) I am drawing/not drawing Pension under EPS-95.
*(f) I am a holder/not holder of Scheme Certificate.
*(g) Scheme Certificate surrendered/not surrendered.
Signature or *right hand thumb
Impression of the employee
Date .
*Strike out whichever isriof a.pplicable:-- -
NOTE: - The principal employer should have filled it up in respect of employees to be
employed by or through a contractor.
93
-,](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-105-320.jpg)
![8. Are you willing to accept Scheme
Certificate in lieu of withdrawal benefits.
(a)
D
Yes D
,(b)
No 9. Particulars ofFamiiy (Spouse & Children & Nominee)
Name Date of birth Relationship with Member Name of the guardian
of minor
(a) Family
members
(b) Nominee
10. In the case of death of member after attaining the age of 58 years without filling the claim:
a) Date of death of the member
b) Name of the Claimant (s)/ and relationship with the members
11. MODE OF REMITTANCE [PUT S TIC IN THE BOX AGAINST THE ONE OPTED]
a)
By postal money order at my cost to the address given against item No. 7
D c) Account payee cheque sent direct for credit to my SB Ale (Scheduled Bank)D
Under Intimation to me.
S.B.Account No.
Name of the Bank
(In Block Letters)
Branch
(In Block Letters)
Full address of the Branch
(In Block Letters)
12. Are you -avaningp-ensioiflmder"EPS-95?
If so, indicate: PPO No. By whom issued _
CERTIFIED THAT THE PARTICULARS ARE TRUE TO THE BEST OF MY KNOWLEDGE
Date _ Signature or left Hand
Thumblmpression of the
Member/claimanti s)
98](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-110-320.jpg)
![ADVANCED STAMPED RECEIPT
[To be furnished only in case of (b) above]
Received a sum of Rs (Rupees ) only from Regional Provident Fund Com-missioner
/Officer-in-charge of Sub-Regional Office by deposit in my savings Bank N
c towards the settlement of my Pension Fund Account.
(The Space should be left blank which shall be filled by Regional Provident Fund Commissioner/Officer-in-
charge.
Signature & left hand thumb impression of the member on the stamp. Rs.1/-
Revenue
Stamp
Certified that the particulars of the member given are correct and the member has signed/thumb im-pressed
before me.
The details of wages and period of non-contributory service of the member are as under: -
Form 3AI7(EPS) enclosed for the period for which it was not sent to Employees' Provident Fund
Office.)
Wages (Basic + D.A.) as on 15.11.95 (if applicable)
Wages as on the date of exit.
Period of non contributory Service
YearIMonth No-of-days
Date: .
Signature of Employer/Authorised Official.
99](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-111-320.jpg)
![10. Option for Return of Capital
(Please refer Serial Number 10 of
INSTRUCTIONS)
[Put a tick ( )]
If yes, indicate your choice of r-I
alternative. l.--.J
Yes No CJ CJ-
~~~
11. Mention your Nominee for Return
of Capital
Name
Relationship
Date of Birth
Address
12. Particulars of Family
S.No. Name Date of Relationship Indicate against Minor
Birth/Age with Member
Guardian Relationship
Name with Member
(1) (2) (3) (4) (5) - (6) ~-
Note: If any child is physically handicapped, please indicate "DISABLED" below the name.
13. Date of death of Member
(if applicable)
14. Details of Saving Bank Account Opened
(1) Name of the Bank
(2) Name of the Branch
(3) Full Postal Address
PIN CODE
106](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-118-320.jpg)
![Annexure-I
PERFORMA
[For making reference to Medical Board of Central/State GovtJESIC Hospital under Para 15(3)
of Employees' Pension Scheme, 1995]
1. Name of the Member
2. EPF Ale No.
3. Establishment in which Member is working
4. Residential Address
5. Reported date of disablement
(as reported in Form-lOD claim)
6. Reported nature of disablement
(as reported in Form-WO claim)
7. Definition of permanent total disablement as provided
under Para-2(xvi) of EPS, 95
"Permanent total disablement means such disablement
of permanent nature as incapacitates an employee fer
all work which he/she was capable of performing at
the time of disablement, regardless whether such
disablement is sustained in the course of employment
or otherwise."
8. To be examined by "Medical Board" to determine
whether or not he or she is permanently and totally
unfit for any of such disablement and certify in the
enclosed proforma in clear terms, duly signed with
seal, for considering the claim Form submitted by the
Member for grant of monthly pension on "Permanent
and total disablement during the service'~_~round.
RPFC/COP
01 C,SRO/ APFC
9. Any other remarks
Place
Date
To
Medical Board
Hospital
Place
112](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-124-320.jpg)
![Annexure- 11
PROFORMA
[To be completed by the Medical Board on examining the disabled Member]
1. Name of the Member
2. Father's Name
3. EPF Ale No.
4. Name of the ~dllhlic;:hmpnt in U~!':'~he/she is working
5. Residential Address
6. Nature of disablement sustained in the course of
employment or otherwise
7. Date on which disablement sustained
8. Whether the relevant nature of disablement has resulted in
permanent and total disablement
(If so, please certify so in clear terms and furnish the
relevant details including the percentage of disablement)
9. Whether the Member is permanently and totally unfit for
employment
10. Whether permanent total disablement incapacitated the
Member employee for all work which helshe was capable
of performing at the time of disablement
11. Name of the Central/State GovtJESIC Hospital with full address
12. Members of the Medical Board who have examined the
disabled Member
Name of the Members of Medical Board
1.
2.
3.
114
Designation](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-126-320.jpg)
![13. Report of the Medical Board and their recommendations: -
Note: - The Medical Board should clearly certify the permanent and total disablement on
the above lines [Refer Para 2 (XVII), 15(3)].
14. Signature of the Members of the Board with office seal and date: -
1.
2.
3.
To
RPFC/COP
OIC, SRO/APFC
115
,](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-127-320.jpg)
![[FORMAT OF PPO]
EMPLOYEES' PROVIDENT FUND ORGANISATION
REGIONAL/SUB-REGIONAL OFFICE
~' .
Date:
UNTIL FURTHER NOTICE, and on the expiration of every month, be pleased
to pay Shri/Smt.
the pension as set out in Part-II of this order Widow/Widower Pension and the Children Pension as
set out in Part-Ill of this order / Orphan Pension as set out in Part-IV of thisorder / Nominee Pension
as set out in Part- V of this order/Commuted Value of Pension as set out in pan -VI of this order and
Return of Capital value as set out in Part-VII of this order, after due verification of the Pensioner/
Family Pensioner, including Children Pension/Orphan Pension.
Signature
Designation
Special Seal of the Pension Payment
order
Issuing Authority
Bank Code
To
S.B. A/e
117 1
J ••](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-129-320.jpg)
![Part 11
Database Creation (Members Data in Form-9IForm-2
Members of E.P.F. Form-2 Form-2 Database created
issued received
Data entry in computer Dafa
Transferred
toEPFO
systems
Tctal Contributing Members Members Estts. Members Members
members as members
on 1.1April
Part m
Detalls of Exemption Applications
Opening No. of SenttoHqrs Retumedto Rejected Closing
Balance applications for grant of Estt.for Balance
recvd During exemption rectification
the month
Note: - Enclose the list of establishments sent to Head Office for cross verification.
Part IV
a) Establishmentl Amount in Default under the Employees' Pension Scheme, 1995
Rs. inlakhs
TOTAL NO. OF FSIT. NO. OF ESTrs. IN PROGRESSlVEAMT. IN AMT. OFCONfR. IN
DEFAULT UPI'011IE END DEFAULT· DEFAULTFOR11IE
OFnmMON11I (Rs, in Iakhs) CURRENfYEAR[I'ROM
I-APRIL TQTIlEENDOF
- nJECURRENI'MONI1I]
(Rs. in lakbs)
Unexe. Exe. Total· Unex.·· E& Total Unex. Exe. Total Unex. Exe. Total
,· .• ·0',,.
"
,•.".! .•, ..
Note:- The above figures should tally with the MIS/ABP/Annual Report figures of the region.
135](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-148-320.jpg)
![b) Details of default - Public Sector and Private Sector - Bifurcation
PUBLIC SECTOR NO. OF ESTTS. IN PROGRESSIVE AMT. IN AMT. OF CONTBN.
BELONGING TO DEFAULTUPTOTHE DEFAULT * IN DEFAULT FOR THE
MONTH (Rs, in lakhs) CURRENT YEAR [FROM
I· APRIL TO THE END
OF THE
CURRENT MONTH]
(Rs, in lakhs)
Unexe. Exe. Total Unexe. Exe. Total Unexe. Exe. Total
1. Central Govt.
2 Union Territory
3. State Govt.
4. Local Bodies/Municipal
Committee etc.
TOTAL (1 to4)
5. Private Sector
6. Any other (PI. classify)
GRAND TOTAL **
• Progressive total carried forward from earlier years to the end of current month
.* This should tally with the details under (a)
Part V
ACTUARIAL VALUATION DATA
a) Establishments
Category Opening Added during the Ceased during the month Closing balance
136
balance month
Unexe.
- • _··'._c -
Exe. -,
,
10fAL =](https://image.slidesharecdn.com/epsscheme1995-141217051726-conversion-gate02/85/EPS-Scheme-1995-Hand-Book-149-320.jpg)
Uploaded byCapt Rajeshwar singh
EPS Scheme 1995 Hand Book
The document provides an overview and summary of the Employees' Pension Scheme, 1995 in India. Some key points: - It was implemented in 1995 to replace the previous Employees' Family Pension Scheme of 1971. - It covers over 3 lakh establishments with over 2 crore members and 8.5 lakh beneficiaries including members, pensioners, and dependents. - The scheme is managed by the Employees' Provident Fund Organisation under the Ministry of Labour. - 8.33% of an employee's salary is contributed to the pension fund by the employer, and the central government contributes an additional 1.16%. - The scheme provides pension and other benefits to members and their families
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EPS Scheme 1995 Hand Book
- 2. .FOREWORD Success ofany service Organisation depends on the efficient service delivery to its clientele, which in turn depends upon how effectively its functionaries are equipped. The Employees' Provident Fund Organisation was assigned the responsibility of implementing the Employees' Pension Scheme in the year 1995 replacing the erstwhile Employees' Family Pension Scheme, 1971. The Employees' Pension Scheme, 1995, as of date, has around 3 lakb covered establishments, over 2 crore members and about 8.5 lakhs total beneficiaries in the shape of members, member-pensioners, widow/widower pensioners and children/orphan pensioners. Various amendments have been made to The Employees' Pension Scheme, 1995 since its inception. In order to have uniform application throughout the country, numerous interpretive clarifications/instructions have also been issued during the last five years. These amendments and clarifications are lying scattered in the shape of letters and circulars. It was, therefore, felt that various amendments and the clarifications might be brought together at one place for instant referencing. Members of the Pension Implementation Committee also felt the similar need and the Committee desired that a Handbook comprising of an updated version of the Employees' Pension Scheme, 1995and various clarifications issued from time to time, be brought up. I have been informed that the Central Provident Fund Commissioner assigned this job to the Pension Wing at Headquarters Office. Shri V.P.Ramaiah, R.p.F.e. (pension) (Hqrs.) and Shri J.C.Thukral, Superintendent took over the job of compiling the desired Handbook under
- 3. the guidance ofShri A.Viswanathan, Addl. c.p.f.e. (Pension). These officers have done a commendable job in compiling the Handbook covering all the relevant aspects relating to the implementation of Employees' Pension Scheme, 1995. I trust this Handbook will serve as a useful tool to the officers and staff in the field offices as well as Headquarters office, who are dealing with the n,,,-k ~viiiii:i::-~d with the Employees' Pension Scheme, 1995. This publication will also prove to be an instant means of reference to the members of the Central Board of Trustees, Employees' Provident Fund. VINOD VAISH Secretary (Labour), Government of India, & Chairman, Pension Implementation Committee, C.B.T., Employees' Provident Fund.
- 4. ., 1 PREFACE The Employees' Pension Scheme, 1995 was brought into force on 16.11.1995 replacing the existing Employees' Family Pension Scheme, 1971. Since then several amendments have been made and numerous instruc.tions/clarifications have been issued in regard to implementation. These amendments and clarifications are lying scattered over a number of circulars issued from time to time. A need was felt to bring the Scheme provisions and various clarifications/instructions at one place. Pension Implementation Committee in its XV meeting held on 21st June, 2000 also felt that a Handbook containing scbeme and tbe instructions be brought out. An attempt has been made to bring a comprehensive and uptodate Handbook on the Employees' Pension Scheme, 1995. It includes the updated scheme; clarifications/instructions issued from time to time; Forms and Returns; and the Guidelines on Exemption. The Handbook will be useful to provide a handy means of reference to the Members of the Board, the officers and stafTin the Hqrs. office & field offices of the E.P.F. Organisation. Every effort has been made to make the Handbook as comprehensive as possible. Nothing contained in it should, however be taken to have superseded or modified any of the scheme provisions. Any suggestion to improve the Handbook will be welcomed. Central Provident Fund Commissioner New Delhi January, 2001.
- 5. INDEX SECTION CONTENTSPAGE 1. Employees' Pension Scheme, 1995 01-26 2. Clarifications 27-50 3. Computerised Employees' Pension System 51-53 4. Arrangement for Disbursement of Pension 54-58 5. Guidelines for Exemption 59-73 6. Forms & Returns 74-126 7. Consolidated monthly return on EPS, 1995 127-139
- 6. D D ,,r, !I D -I EMPLOYEES'S PENSION SCHEME, 1995 (as amended upto May, 2001) 11 EMPLOYEES'S PROVIDENT FUND ORGANISATION (Ministry of Labour, Government of India) Head Office: "Bhavishya Nidhi Bhwan", 14, Bhikaji Cama Place New Delhi - 110066
- 7. 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 12A. 13. 14. 15. 16. 16A. 17. 17A. 18. t 19. .it 20. 21. .! 22. !) I23. 24. 25. 26. 1j THE EMPLOYEE'S PENSION SCHEME, 1995 ARRANGEMENT OF PARAGRAPHS Short title, commencement and application Definitions Employees' Pension Fund Payment of contribution Recovery of damages for default in payment of any contributions Membership of the Employees' Pension Scheme Option for joining the scheme Resolution of doubts Determination of eligible service Determination of Pensionable Service Determination of Pensionable Salary Monthly Member's Pension Option for commutation Options for return of capital Benefits on leaving service before being eligible for monthly members pension Benefits on permanent and total disablement during the service Benefits to the family on the death of a member Guarantee of Pensionary Benefits Payments on exercise of option. Payment of Pension Particulars to be supplied by the employees already employed at the time of commencement of the Employees' Pension Scheme Preparation of contribution cards Duties of employers Employer to furnishparticulars of ownership Duties of contractors Allotment of Account Numbers Declaration by persons taking up employment after the Fund has been established Em~loyees' Pension Fund Account Investment of the Employees' Pension Fund
- 8. 27. Disposal ofthe Fund 28. Administration Account 29. Forms of Accounts 30. Audit 31. Rounding up of the Benefits 32. Valuation of the Employees' Pension Fund and review of the rates of contributions and quantum of the pension and other benefits 33. 34. 35. 36. 37. 38. 39. 40. 41. 42. 43. 44. Disbursement of Pension and other benefits Registers. Records etc. Power to issue directions Regional Committee Annual Report Application of the provisions of the Employees' Provident Fund Scheme, 1952 Exemption from r+e operation of the Pension Scheme Information to the Central Government Interpretation Punishment for failure to submit return, etc. Payment of pension in the case of a person charged with the offence of murder Repeal and savings SCHEDULE ,;
- 9. THE EMPLOYEES' PENSIONSCHEME, 1995 In exercise of the powers conferred by Section 6A of the Employees' Provident Funds and Miscellaneous Provisions Act, 1952 (19 of 1952), the Central Government hereby makes the following Scheme, namely;- 1. Short title, commencement and application (1) This Scheme may be called the Employees' Pension Scheme, 1995; (2) (a) This Scheme shall come into force on 16th day of November, 1995; (b) Subject to the provisions of this Scheme the employees have an option to become the members of the Scheme with effect from the 1st April, 1993 ; (3) Subject to the provisions of Section 16 of the Employees' Provident Funds and Miscellaneous Provisions Act, 1952, this Scheme shall apply to the employees of all factories and other establishments to which the Employees' Provident Funds and Miscellaneous Provisions Act, 1952 applies or is applied under sub-section (3) or sub-section (4) of Section 1 or Section 3 thereof. 2. Definitions riI (1) In this Scheme unless the context otherwise requires ;- (i) "Act" means the Employees' Provident Funds and Miscellaneous Provisions Act, 1952 (19 of 1952); (ii) "actual service" means the aggregate of periods of service rendered from the 16th November, 1995 or from the date of joining any establishment whichever is later to the date of exit from the employment of the establishment covered under the Act; (iii) "Commissioner" means a Commissioner for Employees' Provident Funds appointed under Section 5D of the Act; (iv) "contributory service" means the period of 'actual service' rendered by a member for which the contributions to the fund have been '[received or are receivable] ; (v) "eligible member" means an employee who is eligible to join the "Employees' Pension Scheme"; (vi) "Existing Member" means an existing employee who is a "Member of the Employees' Family Pension Scheme, 1971"; (vii) "Family" means (i) wife in the case of male member of the Employees' Pension Fund; (ii) husband in the case of a female member of the Employees' Pension Fund: and (iii) sons and 2[***J daughters of a member of the Employees' Pension Fund; 1. . Subs. by G.S.R 134 dated 281h February 1996. for the word "received" (w.e.f 161h March 1996) The word "unmarried" omitted. ibid (w.e.f, 16 th March, J996) I1
- 10. Explanation : Theexpression "sons" and "daughters" shall include children '[legally adopted by the member. (viii) "Pension" means the pension payable under the Employees' Pension Scheme and also includes the family pension admissible and payable under the Employees' Family Pension Scheme, 1971 immediately preceding the commencement of the Employees' Pension Scheme, 1995 with effect from the 161h November, 1995. (ix) "Member" means an employee who becomes a member of the Employees' Pension Fund in accordance with the provisions of this Scheme. 2Explanation : An employee shall cease to be the member of Pension Fund from the date of attaining 58 years of age or from the date of vesting admissible benefits under the Scheme, whichever is earlier. (x) "Non-Contributory Service" is the period of "actual service" rendered by a member for which no contribution to the "Employees' Pension Fund" has been 3[received or are recei vable]. "orphan" means a person, none of whose parents is alive 4[***]. "past service" means the period of service rendered by an existing member from the date of joining Employees' Family Pension Fund till the 151h November, 1995. "Pay" means basic wages, with dearness allowance, retaining allowance and cash value of food concessions admissible, if any. "Pension fund" means the Employees' Pension Fund set up under sub-section (2) of Section 6A of the Act. "pensionable~ service" means the service rendered by the member for which contributions have been' [received or are receivable]. (xi) (xii) (xiii) (xiv) (xv) S[(xvi) "permanent total disablement" means such disablement of permanent nature as incapacitates an employee for all work which he/she was capable of performing at the time of disablement, regardless whether such disablement is sustained in the course of employment or otherwise;] (xvii) "Table" means Tableappended to this Scheme. (xviii) The words and expressions defined in the Act but not defined in this Scheme shall have' the same meaning us assigned to them in the Act. 1. Subs. Ibid .. for "adopted by the member legally before death in service' (w.e.f. 16'h March, 1996). 2. Inserted by G.S.R. 66 dated 22nd February. 1999 (w.e.f. 6.3.99) 3. Subs. by.G.S.R. 134 dated the 28th February. 1996 for the word "received" (w.e.f. 16th March. 1996) 4. Certain words omitted, ibid (w.e.f, Ioth March. 1996). 5. Sub. by G.S.R. 134 dated the 28th February 1996. (w.e.r. 16th March. 19961 4 I II , I
- 11. s s ~~ f t ii 5. , e 3. Employees' Pension Fund. (1) From and out of the contributions payable by the employer in each month under Section 6 of the Act or under the rules of the Provident Fund of the establishment which is exempted either under clauses (a) and (b) of sub-section (1) of Section 17 of the Act or whose employees are exempted under either paragraph 27 or paragraph 27-A of the Employees' Provident Fund Scheme, 1952, a part of contribution representing 8.33 per cent of the Employee's pay shall be remitted by the employer to the Employees' Pension fund within 15 days of the close of every month by a separate bank draft or cheque on account of the Employees' Pension Fund contribution in such manner as may be specified in this behalf by the Commissioner. The cost of the remittance, if any, shall be borne by the employer. (2) The Central Government shall also contribute at the rate of 1.16 per cent of the pay of the members of the Employees' Pension Scheme and credit the contribution to the Employees' Pension Fund: Provided that where the pay of the member exceeds '[rupees six thousand and five hundred] per month the contribution payable by the employer and the Central Government be limited to the amount payabl.: on his pay of rupees ~~ sa'I1louaadFiveHu.o.dred Oal, (3) Each contribution payable under sub-paragraphs (1) and (2) shall be calculated to the nearest rupee, fifty paise or more to be counted as the next higher rupee and fraction of a rupee less than fifty paise to be ignored. (4) The net assets of the Family Pension Scheme, 1971 shall vest in and stand transferred to the Employees' Pension Fund. ~. Payment of contribution (1) The employer shall pay the contribution payable to the Employees' Pension Fund m respect of 2[each member] of the Employees' Pension Fund employed by him directly or by or through a contractor. (2) It shall be the responsibi lity of the principal employer to pay the contributions payable to the Employees' Pension Fund by himself in respect of the employees directly employed by him and also in respect of the employees employed by or through a contractor. Recovery of damages for default in payment of any contributions (1) Where an employer makes default in the payment of any contribution to the Employees' Pension Fund, or in the payment of any charges payable under any other provisions of the Act or the Scheme, the Central Provident Fund Commissioner or such officer as may be authorised by the Central Government, by notification in the Official Gazette, in this behalf, may recover from the employer by way of penalty. damages at the rates given below :- Subs. by G.S.R. - dated ~ 1st May. ~()OI for "rupees five thousand" (w.e.f, 1st June. 2001) Subs. by G.S.R. 134 dated ~8th February. 96. for "the member" (w.e.f, 16th March. 1996) :;
- 12. Period of defaultRate of damages (Percentage of arrears per annum] (a) Less than two months (b) Two months and above but less than four months (c) Four months and above but less than six months (d) Six months and above Seventeen Twenty-two Twenty-seven Thirty-seven (2) The damages shall be calculated to the nearest rupee, 50 paise or more to be counted as the nearest higher rupee and fraction of a rupee less than 50 paise to be ignored. 1[6. Membership of the Employees' Pension Scheme Subject to sub-paragraph (3) of paragraph 1, the Scheme shall apply to every employee (a) Who on or after the 16th November, 1995, becomes a member of the Employees' Provident Fund Scheme, 1952, or of the Provident Funds of the factories and other establishments exempted by the appropriate Government under section 17 of the Act, or in whose rase exemption has been granted under paragraph 27 or 27-A of the Employees' Provident Fund Scheme, 1952, from the date of such membership; (b) Who has been a member of the ceased Employees' Family Pension Scheme, 1971 before the commencement of this Scheme from 16th November, 1995; (c) Who ceased to be a member of the Employees' Family Pension Scheme, 1971 between I" April, 1993 and 15th November, 1995 and opts to exercise his option under Paragraph7; (d) Who has been a member of the Employees' Provident fund or of Provident Funds of factories and other establishments exempted by the appropriate Government under section 17 of the Act or in whose case exemption has been granted under Paragraph 27 or 27A of the Employees' Provident Fund Scheme, 1952, on 15th November, 1995 but not being a member· of the ceased Employees' Fami ly Pension Scheme, 1971 opts to exercise his option under paragraph 7J. Explanation : All employer shall cease to be the member of Pension Fund from the date (~f attaining 58 years of age or from the date of vesting admissible benefits under the Scheme, whichever is earlier. Z[6A. Retention of membership A member of the Employees' Pension Fund shall continue to be suclt member till he attains the age of 58 years or he avails the withdrawal benefit to whicb he is entitled. under para 14 of the Scheme, or dies, or the pension is vested in him ill terms of para 12 of the Scheme, whichever is earlier.) L Subs. by G.S.R.134 dated 28th February, 1996 (w.e.f. 16th March, 19%) 2. Ins. by G.S.R. 66, dated the 22nd February. 1999 (w.e.f. 6th March. 1999) 6
- 13. ted as vident ments e case t Fund oeforc een IS1 'aph7: ctories of the of the iember under aining iheme. till he ntitled {para 1[7. Option for joining the Scheme. (1) Members referred to under sub-para (c ) of Paragraph 6 who have died between 151April, 1993 and 151hNovember, 1995 shall be deemed to have exercised the option of joining the Scheme on the date of his death. (2) Members referred to in sub-paragraph (c ) of paragraph 6 who are alive shall have the option to join the Scheme as per the provisions of paragraph 17 from the date of exit from the employment. (3) Members referred to in sub-paragraph (d) of paragraph 6 shall have the option to join the Scheme as per the provisions of Paragraph 17 from 16thNovember, 1995.] 8. Resolution of doubts. If any doubt arises whether an employee is entitled to become a member of the Employees' Pension Fund, the same shall be referred to the Regional Provident Fund Commissioner who shall decide the same: Provided that both the employer and the employee shall be heard before passing final order in the matter. 9. Determination of eligible service. The eligible service shall be determined as follows: (a) In the case of "new entrant" the "actual service" shall be treated as eligible service. The total actual service shall be rounded off to the nearest year. The fraction of service for six months or more shall be treated as one year and the service less than six months shall be ignored. Explanation : In the case of employees employed seasonally in any establishment the period of "actual service" in any year, notwithstanding that such service is less than a year shall be treated as a full year. (b) In the ease of the "existing member" the aggregate of actual service and the 'past service' shall be treated as eligible service. Provided that if there is any period in the "past service" for which the contributions towards the Family Pension Scheme, 1971 has not been received, the said period shall count as eligible service only ifthe contributions thereof have been received in the Employees' Pension Fund. - Explanation : For tile purpose of this sub-paragraph the total past service for less than six months shall be ignored and the total past service for six months and above shall be rounded to a year. 1. Subs. by G.S.R. 114 dated the 28th February. 1996 (w.e.f. 16th March. 1996) 7
- 14. 10. ~~ Determinatio.nof Pensi~nable Service. .. . f (1) The pensionable service of the member shall be determined with reference to the contnbutions I'.,. I[received or receivable] on his behalf in the Employees' Pension Fund. • (2) In the case of the member who superannuates on attaining the age of 58 years, and/or who' has rendered 20 years pensionable service or more, his pensionable service shaIl be increased I by adding a weightage of 2 years. ~•. Determination of Pensionable Salary. I ~. (1) Pensionable salary shall be average monthly pay drawn 2[in any manner including on piece- i rate basis] during the contributory period of service in the span of 12 months preceding the J date of exit from the membership of the Employees' Pension Fund. 11. "[Provided that if a member was not in receipt of full pay during the period of twelve months preceding the day he ceased to be the member of Pension Fund, the average of previous 12 months full pay drawn by him during the period for which contribution to the pension fund was recovered, shall be taken into account as pensionable salary for calculating pension} (2) If during the said span of 12 months there are non-contributory periods of service including cases where the member has drawn salary for a part of the month, the total wages during the 12 months span shall be divided by the actual number of days for which salary has been i drawn and the amount so derived shall be multiplied by 30 to work out the average monthly pay. (3) The maximum pensionable salary shall be limited tofive thousand rupees per month. 4[Provi?ed that if at the oPti.on of the employer and employee, cont~ib~tion paid on salary f'" exceeding Rs 5,000/- per month from the date of commencement ot this Scheme or from' . the date salary exceeds Rs. 5000/- whichever is later, and 8.33 per cent share of the employers thereof is remitted into the Pension Fund, pensionable salary shall be based on such higher salary. 12. Monthly Member's Pension. (1) A member shall be entitled to :- (a) superannuation pension if he has rendered eligible service of 20 years or more and retires on attaining the age of 58 years; (b) retirement pension, if he has rendered eligible service of 20 years ormore and retires or' otherwise ceases to be in the employment before attaining the age of 58 years; (c) short seryicc pension, if he has rendered eligible service of 10 years or more but less than 20 years. 1. Subs. by G.S.R. 134 dated the 28'10February. 1996 for "received" (w.e.f. 16,hMarch, 1996). Ins. ibid (w.e.f. 16'10March. 1996). Ins. by G.S.R. 66 dated 22"d February. 1999 (w.e.f. 6th March, 19(9). ,11 Ins. by G.S.R. 134. dated 28 February. 1996 (w.e.f. 16th March. 1(96). 2. 3. 4.
- 15. unions rr who reased piece- .ng the twelve age of 'ion to 'ry for .luding during 1S been ionthly i salary r from of the ised on tires on ' tI f. ss than I I tires or ; • (2) In the case of a new entrant the amount of monthly superannuation pension or retiring pension, as the case may be, shall be computed in accordance with the following factors namely ;- - Monthly member's pension = Pensionable salary X Pensionable service 70 '[***] (3) In the case of an employee 2[who was a member of the ceased Family Pension Scheme, 1971] and who has not attained the age of 48 years on the 16th November, 1995 : Superannuation/retirement/short service pension shall he equal to the aggregate of ;- (a) Pension as determined under sub-paragraph (2) for the period of pensionable service renderer from the 16th November, 1995 or Rs 635/- per month whichever is more; 3[(b) Past service pension benefit shall be as given below :- - The past service benefit payable on completion of 58 years of age on 16.11,95 Years of past Salary upto Salary more than Service Rs. 2500/- R~. 2500/- per per month per month (1) (2) (3) (i) Upto 11 years 80 85 (ii) More than 11 years but 95 105 upto 15 years (iii) More than 15 years but 120 135 less than 20 years (iv) Beyond 20 years 150 170 subject to a minimum of Rs. 800/- per month provided the past service is 24 years. If the aggregate service of the member is less than 24 years, the pension and the benefits computed as above shall be reduced proportionately subject to a minimum of Rs. 450/- per month] <I[ (c) On completion of the age of 58 years after 16-11-95, the benefit under column (2) or column (3) above. as the case may be shall be multiplied by the factor given in Table B corresponding to the period between 16-11-95 and date of attainment of age 58 to arrive at past-service pension payable.] I. Certain words omitted by G.S.R. 134 dated the 281h February, 1996 (w.e.f. 161h March 1996) Subs. by G.S.R. 134 dated the 28.1, February. 1996 (w.e.f 16110 March 1996). . Subs. by G.S.R. 134. dated the 28'" February, 1996 (w.e.f 16'" March 1996). Ins. ibid. (w.e.f. 16'" March 199(,). ')
- 16. (4) In thecase of an employee '[who was a member of the ceased Family Pension Scheme, 1~71] and has attained the age of 48 years but less than 53 years on the 16,thNovember, 11995, the superannuation/retirement pension shall be equal to the aggregate of : - (a) pension as determined under sub-paragraph (2) for tne period of service rendered from the 16th November, 1995 or Rs. 438/- per month whichever is more; (b) past service benefit as provided in sub-paragraph (3) subject to a minimum of Rs. 600/- per month provided the past service is 24 years. Provided further that if it is less than 24 years the pension payable and the past service benefits taken together shall be proportionately less subject to the minimum of Rs. 325/- per month. In the case of an employee 2[who was a member of the' ceased P~~~!~' ?~!"!~!~!"!Scheme, !971)"~d who has attained the age of 53 years or more on the 16thNovember, 1995, the superannuation/ retirement pension shall be equal to the aggregate of : (a) pension as determined under sub-paragraph (2) for the period of service rendered from the 16thNovember, 1995 per month or Rs.335/- per month whichever is more. (b) Past service benefits provided in sub-paragraph (3) subject to the minimum of Rs. 500/- per month, provided the past service is 24 years. Provided further that if it is less than 24 years the pension payable and the past service benefits shall be proportionately lesser but subject to the minimum of Rs. 265/- per month. (6) Except as otherwise expressly provided hereinafter the monthly members pension under sub-paragraphs (2) to (5) mentioned herein above, as the case may be, shall be payable from a date immediately following the date of completion of 58 years of age notwithstanding that the member has retired or ceased to be in the employment before that date. (5) (7) A member, if he so desires, may be allowed to draw monthly reduced pension from a date earlier than 58 years of age but not earlier than 50 years of age. In such cases, the amount of pension shall be reduced at the rate of 3[three per cent for every year the age falls short of 58 years]. (8) If a member ceases to be in the employment by way of retirement or otherwise earlier than the date of superannuation from which pension can be drawn, the member may, on his option, either be paid pension as admissible under this Scheme on attaining the age exceeding 50 years or he may be issued a scheme certificate by the Commissioner indicating the pensionable service, the pensionable salary and the amount of pension due on the date of exit from the employment. If hel she is subsequently employed i~ an establishment coverable under this Scheme, his/her earlier service as per the scheme certificate shall be reckoned for pension along with the fresh spell of pensionable service. The member postponing the commencement of payment of pension under this paragraph shall also be entitled to additional relief sanctioned under this Scheme from time to time: 1. Subs. by G.S.R. 134 dated the 28,h February, 1996 (w.e.f. 16'h March 1996) 2 Subs. byG.S.R. 134, dated the 28'h February, 1996 (w.e.f 16'h March, 1996) 3. Subs. by G.S.R. 134, dated the 28,h February. 1996b (w.e.f, 16'hMarch, 1996). IO
- 17. l] ~r rs ,s rs ::t )- te n e :r e e eh ,I Provided that if the member does not take up an employment coverable under this Scheme, but dies before attaining the age of 58 years, the amount of contributions received in his Case shall be converted into a monthly widow pension/children pension. The widow pension in such cases shall be calculated at the scale laid down in Table 'C' and the children pension at 25 per cent thereof for each child (upto two). If there is no widow then the orphan pension shall be payable at the rate of 75 per cent of the amount which would have been payable as a widow pension subject to the provisions of the paragraph 16. I n12A. Option for commutation. < A member eligible to pension may, in lieu of pension normally admissible under paragraph 12, opt on completion of three years from the commencement of this Scheme, to commute upto a maximum of one third of his pension so as to receive hundred times the monthly pension so commuted as commuted value of pension. Balance pension will be paid on monthly basis as per option exercised under paragraph 13. III I.. r Explanation : If for example, the normal pension under paragraph 12 is Rs. 600, and the pensioner opts to commute one third of his monthly pension, the commuted value will be equal to 1/3 x 600 x 100 = Rs.20,000 and the same shall be paid at the time of exercise of option for commutation. The balance of pension payable on monthly basis is Rs. 400. Options for return of capital. (1) A member eligible to pension may, in lieu of pension normally admissible under paragraph 12, 2[subject to commutation of pension, if any, under paragraph 12A] opt to draw for reduced pension and avail of return of capital under anyone of the three alternatives given below :- S.No. Alternatives Revised pension payable Amount payable as return of capital 1. Revised pension during life time of member with return of capital on his death. Revised pension during the life time of member, further reduced pension during life time of____ __ the widow or her remarriage whichever is earlier and return of capi talon Widow's death/re-marriage. 90% of original monthly pension 100 times the original monthly pension on death of member to the nominee. 90 times the original monthly pension on death of widow/ remarriage to the nominee. 2. 90% of original monthly pension to the member. On his death 80% of the original monthly pension to the widow. G 'h Ins. by .S.R. 134, dated the 28 February, 1996 (w.e.f. 16th March, 1996) Ins: by. G.S.R. 134, dated the 28th February, 1996 (w.e.f 16'h March, 1996) 11
- 18. S.No. Alternatives Revisedpension Amount payable payable as return of Capital 3. Pension for a fixed 87.5% of the 100 times the original period of 20 years original monthly monthly pension at the end notwithstanding pension for a fixed of 20 years from the whether the member period of 20 years. date of commencement lives for that period The pension wiIl of pension to the member or not. cease thereafter. if he is ali ve, otherwise to his nominee. Explanation 1. In alternative 2, if the '[spouse] dies or remarries before the death of member, capital equal to times the original monthly pension shall be paid to the nominee on the member's death. Explanation 2. In alternative 3, if the member dies before the end of 20 year period, the pension shall be to his nominee for the balance period. Explanation 3. In the case of a member who is eligible for permanent total disablement pension, and where payment of such pension is to commence before his attaining the age of 50 years the options also be admissible but in such cases the actual pension payable shall be reduced by 1% and return of capital shall be further reduced by Rs. 1,000/- for every year by which the age at commencement of pension falls short of 50 years. 2[Expiallation 4. In cases of exercise of option for commutation under paragraph 12A, balance monthly pen' payable after commutation shall be deemed to be the original monthly pension for the purpose this paragraph.] (2) The option under sub-paragraph (1) shall be exercised by the member at the time of submissi of the application form for pension in accordance with the provisions of this Scheme. The opti once exercised shall be final. If no option is exercised, the member shall be deemed not to exercised any option under this paragraph and his/her pension shall be determined under provisions of paragrapn12:- -- - . (3) Notwithstanding that the capital is returned under this paragraph the widow/children shall to be eligible for normal widow pension/children pension/orphan pension under paragraph 16 of Scheme from the date immediately following the date of death of the; member. . 1. Sub';. by G.S.R. 134. dated the 28,h February. 1996 (w.e.f 16,h March 1996). 2. Ins. Ibid. ( we.f. 16'hMarch 1996). 12
- 19. tal to 90 be paid iere the ns shall and the e at the iension pose of nission option :0 have der the mtinue of this Benefits on leaving service before being eligible for monthly member's pension. (1) If a member has not rendered the eligible service prescribed in 'paragraph I[9] on the date of exit, or on attaining 58 years of age whichever is earlier, he/she shall be entitled to a withdrawal benefit as laid down in Table 'D' or may opt to receive the scheme certificate provided on the date he/she has not attained the 58 years of age: Provided that an existing member shall receive additional return of contributions for his/her past service under the Employees' Family Pension Scheme, 1971 computed as withdrawal-cum- retirement benefits as per Table 'A' multiplied by the factor given in Table 'B'. Benefits on permanent and total disablement during the service (1) A member, who is permanently and totally disabled during the e~y!~j'~;:~~ ~!iu!!be ~i,~;ikJ to pension as admissible under sub-paragraph (2) to (5) of paragraph 12 as the case may be subject to a minimum of Rs. 250/- per month notwithstanding the fact that he/she has not rendered the pensionable service entitling himlher to pension under paragraph 12 provided that he/she has made at least one month's contribution to the Pension Fund. (2) The monthly member's pension in such cases shall be payable from the date following the date of permanent total disablement and shall be tenable for the life-time of the member. (3) A member applying for benefits under this paragraph shall be required to undergo such medical examination as may be prescribed by the Central Board to determine whether or not he or she is permanently and totally unfit for the employment which he or she was doing at the time of such disablement. 16. Benefits to the family on the death of a member (1) 2[Pension to the family] shall be admissible from the date following the date of death of the member if the member dies .. (a) while in service, provided that at least one month's contribution has been paid into the Employees' Pension Fund, or (b) after the date of exit but before attaining the age of 58, from the employment having rendered service entitling himlher to monthly member's pension but 3[before the commencement of pension payment or] (c) after commencement of payment of the monthly member's pension The cases where a member has rendered less than 10 years eligible service on the date of exit but has retained the membership of the Pension Fund, and dies before attaining the age of 58 years, shall be-regulated under sab-paragraph (8) of paragraph 12. . (a) The monthly widow pension shall be :- (i) in the cases covered by clause (a) of sub-paragraph (1), equal to the monthly member's pension which would have been admissible as if the member had retired on the date of death or Rs .450/- or the amount indicated in Table CC' whichever is more. Note:- , (2) l. 2. 3. Subs. by G.S.R. 134. dated the 28'h February. 1996, (w.e.f, 16·hMarch 1996). SUbs. by G.S.R. 134 dated the 28·hFebruary. 1996 (w.e.f. 16'hMarch 1996) . •h Subs. by G.S.R. 134 dated the 28 February. 1996 (w.e.f. 16th March. 1996). 13
- 20. (ii) in thecases covered by clause (b) of sub-paragraph 0), equal to the monthly member's pension which would have been admissible as if the member had retired on the date of exit or l[Rs. 450/- per month] or the amount indicated in Table 'C' whichever is more. (m) in the cases covered by clause (c ) of sub-paragraph (1), equal to 50 per cent of the monthly member's pension payable to the member on the date of his death subject to a minimum of l[Rs. 450/- per month.] 2[(iv)in all the cases, where the amount of family pension sanctioned under the Ceased Family Pension Scheme, 1971 and is paid/payable under this scheme is less than Rs. 450/- per month, the amount of family pension in such cases shall be enhanced to Rs. 450/- per month.] (b) the monthly widow pension shall be payable upto the date of death of the widow or remarriage whichever is earlier. Note:- In cases where there are 2 or more widows, family pension shall be payable to the eldest surviving widow. On her death it shall be payable to the next surviving widow, if any. The term "eldest" would mean seniority with reference to the date of marriage. (3) Monthly children pension: - (a) If there are any surviving children of the deceased member, falling within the definition of family, they shall be entitled to a monthly children pension in addition to the monthly widow/widower pension. (b) Monthly children pension for each child shall be equal to 25 per cent of the amount admissible to the widow/widower of the deceased member as monthly widow pension payable under sub-paragraph (2) (a) (i) provided that minimum monthly children pension for each child of the deceased member shall not be less than 3[Rs. 150/- per month.] 4[(C) Monthly children pension shall be payable until the child attains the age of 25 years.] (d) The monthly children pension shall be admissible to maximum oftwo children at a time and will run from the oldest to the youngest child in that order. Y(e) If a member dies leaving behind a family having son or daughter who is permanently and totally disabled such son or daughter shall be entitled to payment of monthly children pension or orphan pension, as the case may be, irrespe-ctivlrl/f-age' and number 'of children in the family in addition to the pension provided under clause (d).] ' 1. Subs. by G.S.R. 41 dated 12'hJanuary, 2000 (w.e.f, 29th January, 2000) 2. Inserted by G.S.R. 41 dated 12'10January 2000 (w.e.f. 29th January. 2000) 3. Subs. .by G.S.R. 41 dated 12'10January 2000 (w.e.f, 29th January, 2000) 4. Subs. by G.S.R.134. dated the 28,10February. 1996 (w.e.f. 16,10March. 1996). 5. Inserted by G.S.R. 66 dated 22'td February. 1999 (w.e.f 6.3.99) 14
- 21. , ber's I.te of nore. fthe -ct to I i . the ne is shall riage -ldest . The nition mthly nount .nsion msion onth.] ears.] a time ho is ed to ry be, o the .. (4) (a) If the deceased member is not survived by any widow but i~ survived by children falling within the definition of family or if the widow pension is not payable, the!children shall be entitled to a monthly orphan pension equal to 75 per cent of the amount of the monthly widow pension as payable under sub-paragraph (2) (a) (i) provided that minimum monthly orphan pension for each orphan shall not be less than I[Rs. 250/- per month.] (b) In the event of death or remarriage of the widow/widower after sanctioning of widow/ widower pension the children shall be entitled in lieu of the monthly children pension, to a monthly orphan pension from the date following the date of death/remarriage of the widow/widower. 2[~r.) Thf" monthly orph:m pension shall be admissible to a maximum of 2 orphans at a time and shall run in order from the oldest to the youngest orphan.] (5) (a) A member who is not married or who does not have any living spouse and/or an eligible child may nominate a person to receive benefits as laid down hereinafter provided that in the event of his/her acquiring a family subsequently, the nomination so made shall become void. In the event of death of the member such a nominee shall be entitled to receive a monthly pension equal to the monthly widow pension, as admissible under sub-clauses (i) and (ii) of clause (a) of sub-paragraph (2). 3[(aa). If a member dies leaving behind no spouse and/or an eligible child falling within the definition of family and no nomination by such deceased member exists, the widow pension shalt be paid under sub-clauses (i) and (ii) of clause (a) of sub-paragraph 2 either to dependent father or dependent mother as the case may be. On grant of Pension to such dependant father and in the event of death of the father pensioner, the admissible pension shall be extended to the surviving mother life long.] (b) If the deceased member had not rendered pensionable service on the date of exit from the employment which would have made him entitled to a monthly members pension under paragraph 12, but had opted to retain the membership of this Scheme under sub-paragraph (8) of paragraph 12, 4[~henominee or the dependant father or the dependant mother as the case may be] shall be entitled to return of capital as provided in sub-paragraph (1) of paragraph 13. '[16A. Guarantee of pensionary benefits None of the pensionary benefits under the Scheme shall be denied to any member or beneficiary for want of compliance of the requirement by the employer under sub-paragraph (1) of paragraph 3 provided, however, that the employer shall not be absol ved of his liabilities under the Scheme.] 1. Subs. by G.S.R. 41 dated 12thJanuary 2000 (w.e.f. 29th January, 2000) 2. Ins. by G.S.R. 134, dated the 28lh February, 1996 (w.e.f 16th March 1996). 1 Inserted by G.S.R. 66 dated 22ndFebruary, 1999. (w.e.f 6.3.99) 4. Sub. by G.S.R. 66 dated 22ndFebruary, 1999 (w.e.f 6.3.99) S. Inserted by G.S.R. 134 dated the 28th February 96 (w.e.f. 16lh March 1996) 15
- 22. 1 1[17. Paymentson exercise of option (1) Beneficiaries of the deceased members of Employees' Famify Pension Scheme, referred to in sub-para (1) of paragraph 7, shall receive higher of the benefits available under the Employees' Family Pension Scheme, 1971 and under this Scheme. . (2) Members referred to in sub-paragraph (2) of paragraph 7 shall have the option to join the Scheme by returning the amount of withdrawal benefit received, if any, together with interest at the rate of 8.5% per annum from the date of payment of such withdrawal benefit and date. of exercise of the option, to receive monthly pension as per the provisions of this Scheme. (3) Members referred to in sub-paragraph (3) of paragraph 7 shall be deemed to have joined the ceased Employees' Family Pension Scheme, 1971, with effect from 1.3.1971 on remittance of past period contribution with interest thereon.]. 2[17A. Payment of Pension The claims, complete in all respects submitted along with the requisite documents shall be. settled and benefit amount paid to the beneficiaries within thirty days from the date of its receipt by the Commissioner. If there is any deficiency in the claim, the same shall be recorded in writing and communicated to the applicant within thirty days from the date of receipt of such application. In case the Commissioner fails without sufficient cause to settle a claim complete in all respects within thirty days, the Commissioner shall be liable for the delay beyond the said period and penal interest at the rate of 12 per cent per annum may be, charged on the benefit amount and the same may be deducted from the salary of the Commissioner. ] 18. Particulars to be supplied by the employees already employed at the time of commencement of the Employees' Pension Scheme Every person who is entitled to become a member of the Employees' Pension Fund shall be asked" forthwith by his employer to furnish and that person shall, on such demand, furnish to him for. communication to the Commissioner particulars concerning himself and his family in the form prescribed by the Central Provident Fund Commissioner. 19. Preparation of Contribution Cards The employer shall prepare an Employees' Pension Fund Contribution Card in respect of each' employee who has become a member of the Employees' Pension Fund. 20. Duties of Employers. (1) Every employer shall send to the Com.~m- ission"er within three months of the commencement of thiifSch-eme, a consolidated return of the employees entitled to become members 'of the Employees"Pension Fund showing the basic wage, retaining allowance, if any, and dearness] allowance including the cash value of any food concession paid to each of such employees;' Provided that if there is no employee who is entitled to become a member of the Employees' Pension Fund, the employer shall send a "Nil" return. 1. Subs. by G.S.R. 134, dated the 28'h February, 1996 (w.e.f 16'h March, 1996). ~ ~ 2. Ins. by G.S.R. 376 dated the 27 October, 1997 (w.e.f, 8 November. 1997) 16
- 23. I ,! 'erredtol ider thef join the r interest I md date I )C.h~me·r ~~omedl ruttance II (2) Every employer shall send to the Commissioner within fifteen days of the close ofeach month a return in respect of the employees leaving service of the employer during the preceding month. Provided that if there is no employee leaving service of the employer during the preceding month the employer shall send a "NIL" return. (3) Every employer shall maintain such accounts in relation to the amounts contributed by him to the Employees' Pension Fund as the Central Board may, from time to time, direct and it shall be the duty of every employer to assist the Central Board in making such payments from the Employees' Pension Fund to his employees as are sanctioned by or under the authority of the Central Board. (4) Notwithstanding anything contained in this paragraph, the Central Board may issue such directions to the employers generally, as it may consider necessary or expedient, for the purpose of implementing the Scheme, and it shall be the duty of every employer to carry out such directions. le of its ecorded 21. Employer to furnish particulars of ownership. ceipt of a claim e delay nay be of the .ement ~asked .im for e form ' feach ement of the irness iyees: Every employer in relation to a factory or other establishment to which the Act applies or is applied hereafter shall furnish to the Commissioner particulars of all the branches and departments, owners, occupiers, directors, partners, managers or any other person or persons who have the ultimate control over the affairs of such factory or establishment and also send intimation of any change in such particulars, within fifteen days of such change, to the Commissioner by registered post. 22. Duties of contractors Every contractor shall, within seven days of the close of every month, submit to the principal employer a statement showing tilt! particulars in respect of employees employed by or through him in respect of whom contributions to the Employees' Pension Fund are payable and shall also furnish to him such information as the principal employer is required to furnish under the provisions of this Scheme to the Commissioner. 23. Allotment of Account l[Numbers] (1) For purposes of this Scheme, where the member has already been allotted or is allotted hereafter an account number under the Employees' Provident Fund Scheme, 1952, he shall retain the same account number. (2) In the case of employees of the establishments exempted from the Employees' Provident Fund Scheme-,1952;Unoe"f Section 1Tof the Act, who are members of theEmployees' Family Pension Fund. the account number already allotted shall be retained by them. ' (3) In the case of employees of the establishments exempted from the Employees' Provident Fund Scheme, 1952, under Section 17 of the Act, who are not members of the Employees' Family Pension Fund but opt to become members of the Employees' Pension Fund and in case of new employees of such establishments, fresh account numbers shall be allotted by the Commissioner. I. Subs. by G.S.R 134. dated the 28'h February, 1996 (w.e.f 16'" March. 1996) 17
- 24. 24. Declaration bypersons taking up employment after the Fund has been established The employer shall before taking any person into employment, ask himther to state in writing Ulh.F>th •• or not he is a member of the Employees' Pension Fund and, if he/she is, also ask himlher to a copy of the Scheme Certificate issued by the Commissioner to him/her in respect qf the employment in terms of paragraph 12 as the case may be. If the person concerned was not i employment previously or had availed of return of contribution in respect of his/her pre employment, he/she shall, on demand by the employer, furnish to him, for communication to Commissioner particulars concerning himlherself and his/her family in the Form prescribed by Central Provident Fund Commissioner. 25. Employees' Pension Fund Account T~~~~~vui'~':'a~~vJ i.il~ "Einpioyees' Pension Fund Account" shall be opened by the COImlnISl)IOlrteli in such manner as may be specified by the Central Board with the approval of Central 26. Investment of the Employees' Pension Fund (1) All moneys accruing to Employees' Pension Fund Account except the contributions of Central Government shall be invested in accordance with the provisions of paragraph 52 the Employees' Provident Funds Scheme, 1952. (2) Net assets of the Family Pension Fund as on the 16.11.95 shall merge in the Pension and remain invested in the Public Account of the Government of India. The future ,-,,,,,ua. Government's contribution accruing to the Pension fund from 17thNovember, 1995 OnXI!'lT'n_ shall also be invested in the Public Account of the Government of India. 27. Disposal of the Fund (1) Subject to the provisions of the Act and this Scheme, the Fund shall not, except with prior sanction of the Central Government be expended for any purpose other than payments envisaged in this Scheme, for continued payment of Family Pension, life assuraLllce. benefit and retirement-cum-withdrawal benefits sanctioned under the Employees' Pension Scheme, 1971, prior to the date of introduction of this Scheme or which may sanctioned under that Scheme after the 16'h November, 1995 in respect of cases arisi before that date. (2) Not exceeding 16% of the administrative expenses shall be met from and out of Employees' Pension Fund. The remaining administrative expenses shall be met from Administration Accounts set up under the Employees' Provident Funds Scheme, 1952. cost of remittance of Pension shall be charged on the Pension Fund. 28. Administration Account ..---- A separate account shall be kept, called the "Employees' Pension Administration Account" recording of all the administrative expenses of the Employees' Pension Fund. 29. Forms of Accounts The accounts of the Employees' Pension Fund, as also the Employees' Pension Admini Account shall be maintained by the Commissioner in such form and in such manner as may specified by the Central Board with the approval of the Central Government. 18
- 25. lhed 30. Audit The accounts of the Employees' Pension Fund including the administrative expenses incurred in running this Scheme shall be audited in accordance with the instructions issued by the Central Government in consultation with Comptroller and Auditor-General of India. las not i . 31. Rounding up of the Benefits previou ion to th led by th missione /emmen ion Fun e Central onwards All items of benefits shall be calculated to the nearest rupee, 50 paise or more to be counted as the next higher rupee and fraction of a rupee less than 50 paise shall be ignored. 32. Valuation of the Employees' Pension Fund and review of the rates of contributions and quantum of the pension and other benefits 1[(1) The Central Government shall have an annual valuation of the Employees' Pension Fund made by a Valuer appointed by it.] (2) At any time, when the Employees' Pension Fund so permits the Central Government may alter the rate of contributions payable under this Scheme or the scale of any benefit admissible under this Scheme or the period for which such benefit may be given. 33. Disbursement of Pension and other benefits. The Commissioner shall with the approval of the Central Board enter into arrangement for the disbursement of pension and other benefits under this Scheme with disbursing agencies like Post Offices or Nationalised Banks or Treasuries. The commission payable to the disbursing agencies and other charges incidental thereto shall be met as provided in paragraph 27 of this Scheme. Registers, Records, etc. The Commissioner shall, with the approval of the Central Board, prescribe the registers and records to be maintained in respect of the employees, the form or design of any identity card, token or disc for the purpose of identifying any employee or his nominee or a member of a family entitled to receive the pension and such other forms/formalities as have to be completed in connection with the grant of pension and other benefits or for the continuance thereof subject to such periodical verfication as may be considered necessary. 34. 35. Power to issue directions. The Central Government may issue, such directions as may be deemed just and proper by it for resolving any difficulty in the disbursement of pension and other benefits or for resolving any difficulty in implementation of this Scheme. 36. Regional Committee •.--· ' The Regional Committee set up under paragraph 4 of the Employees' Provident Fund Scheme, 1952, shall advise the Central Board, on such matters, in relation to the administration of this Scheme as the Central Board may refer to it from time to time and in particular, on - - . (a) progress of recovery of contributions under this Scheme both from factories and establishments exempted under Section 17 of the Act and other factories and establishments covered under the Act. I. Subs. by G.S.R. 134, dated the 28th February, 1996 (w.e.f 16th March 1996) 19
- 26. (b) expeditious disposalof prosecutions. (c) Speedy settlement of claims relating to pension and other benefits under this Scheme. 37. Annual Report. The Central Board shall cause to be included in the Annual Report on the working of the Scheme prepared under paragraph 74 of the Employees' Provident Fund Scheme, 1952, a report on the working of this Scheme during the previous financial year. 38. Application of the provisions of the Employees' Provident Fund Scheme, 1952. In regard to matters for which either there is no provision or there is inadequate provisions in this Scheme the corresponding provisions in the Employees' Provident Fund Scheme, 1952, shall apply. 1[39. Exemption from the operation of the Pension Scheme. The appropriate Government may grant exemption to any establishment or class of establishments from the operation of this Scheme, if the employees of the establishments are either members of any other pension scheme or proposed to be members of a pension scheme wherein the pensionary benefits are at par or more favourable than the benefits provided under this Scheme. Where exemption is granted to any establishment or class of establishments under this paragraph, withdrawal benefits available to the credit of tl.e employees of such establishment(s) under the ceased Family Pension Scheme, 1971, shall be paid, subject to the consent of the employees, to the pension fund of the establishment(s) so exempted. An application for exemption under this paragraph shall be presented to the Regional Provident Fund Commissioner having jurisdiction by the establishment or class of establishments, together with a copy of the pension scheme of the establishment (s) and other relevant documents, as may be called for by him. On receipt of such an application, the Regional Provident Fund Commissioner shall scrutinise it, obtain the recommendations of the Central Provident Fund Commissioner and submit the same to the appropriate Government for decision, pending disposal of application for exemption under this paragraph employers' share of the contribution shall not be remitted to the pension fund as envisaged in sub-paragraph (1) of paragraph 3. An application for exemption presented under this paragraph shall be disposed of within a period of six months from the date of its receipt or such further time as may be extended for reasons to be recorded in writing. If the application for exemption is not disposed of within the period so specified, the exemption applied for shall be deemed to have been granted. Explanation : For the purpose of this paragraph, the period of six months will count from the date on which the application for exemptronis gtven in compete form to the satisfaction of the Regional Provident Fund Commissioner.. .. 40. Information to the Central Government. The Central Board shall furnish such information to the Central Government from time to time in respect of the income and expenditure from the Employees' Pension fund account in such manner as may be directed by the Central Government. I. Subs. by G.S.R. 134. dated the 28,h February, 1996 (w.e.f 16'h March 1996) 20
- 27. .herne m the in this apply. ments ~rsof ionary Where graph, ler the 43. ees, to er this ion by of the .f such in the to the er this isaged igraph .r time is not ebeen 44. ehthe 41. Interpretation. Where any doubt arises with regard to the interpretation of the provisions of this Scheme, it shall be referred to the Central Government who shall decided the same. 42. Punishment for failure to submit return, etc. If any person, (a) deducts or attempts to deduct from the wages or other remuneration of the member, the whole or any part of the employer's contribution, or (b) fails or refuses to submit any return, statement or other documents required by this Scheme or submits a false returns, statement or other documents, or makes a false declaration, or ,;} UUSlfUCIS any Inspector or other official appointed under the Act or this Scheme in the discharge of his duties or fails to produce any record for inspection by such inspector or other officials, or (d) is guilty of contravention of or non-compliance with any other requirement of this Scheme, he shall be punishable with imprisonment which may extend to one year or with fine which may extend to five thousand rupees or with both. Payment of pension in the case of a person charged with the offence of murder (1) If a person, who in the event of the death of a member of the Pension Fund is eligible to receive pension of the deceased under paragraph 12 or paragraph 16, is charged with the offence of murdering the member or for abetting the commission of such an offence, his claims to receive pension shall remain suspended till the conclusion of the criminal proceedings instituted against him for such offence. (2) If on the conclusion of the criminal proceedings referred to in sub-paragraph (1), the person concerned is: (a) convicted for the murder or abetting in the murder of the member, he shall be debarred from receiving pension which shall be payable to other eligible members if any, of the family of the member; or (b) acquitted of the charge of murder or abetting the murder of the member, pension benefit shall be payable to him. Repeal and savings. (I) On commencement of this Scheme, the Employees' Family Pension Scheme, 1971, in force immediately before s.uchcommencement shall cease to operate with effect from the 16th November, 1995. -, (2) Notwithstanding anything contained in sub-paragraph (1) every nomination made under the Employees' Family Pension Scheme, 1971, and every form regarding the details of Family of an employee for the purposes of the Employees' Family Pension Scheme, 1971, shall be deemed to have been made under the provisions of this Scheme. (3) , All orders/authorisations/Pension Payment Orders issued under the Family Pension Scheme, 1971, shall be deemed to have been made under this Scheme. 21
- 28. TABLE A (SeeParagraph 14) (WITHDRAWAL BENEFIT) , No.offull years'contribution paid Proportion of pay payable at cessation of membership (1) (2) 1 234 5 6 7 89 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32·---·-'"7'~ 33 34 35 36 37 38 39 40 0.20 0.41 0.62 0.84 1.06 1.29 1.51 1.75 1.98 2.23 2.47 2.72 2.98 3.24 3.51 3.78 4.05 4.34 4.62 4.92 5.21 5.52 5.83 6.14 6.46 6.79 7.12 7.46 7.81 8.16 8.52 8.89 9.26 9.64 10.03 10.43 10.83 11.24 11.66 12.08 22
- 29. , I TABLEB 1[(See Paragraphs 12 and 14)] I FACTOR FOR COMPUTATION OF PAST SERVICE rship I BENEFIT I[UNDER THE CEASED] FAMILY PENSION SCHEME FOR EXISTING MEMEBRES ON EXIT FROM THE EMPLOYMENT (1) (2) I I[YEARS] FACTOR Less than 1 1.049 I Less than 2 1.154 Less than 3 1.269 Less than 4 1.396 Less than 5 1.536 Less than 6 1.689 Less than 7 1.858 Less than 8 2.044 Less than 9 2.248 Less than 10 2.473 Less than 11 2.720 Less than 12 2.992 Less than 13 3.292 Less than 14 3.621 Less than 15 3.983 Less than 16 4.381 Less than 17 4.819 Less than 18 5.301 Less than 19 5.810 Less than 20 6.414 " Less than 21 7.056 Less than 22 7.761 Less than 23 8.531 Less than 24 9.390 SUbs. by G.S.R. 134, dated the 28'h February, 1996 (w.e.f 16'hMarch. 1996). 23
- 30. TABLE C (SeeParagraph 16) EQUIVALENT WIDOW PENSION Salaryatday of Equivalentwidow pension death not more than (1) (2) (Rupees) (Rupees) Upto 300 250 ~.c;() 327 400 343 450 359 500 375 550 391 600 408 650 425 700 442 750 159 800 476 850 493 900 510 950 527 1000 544 1050 561 1100 578 1150 595 1200 612 1250 629 1300 646 1350 664 1400 682 T45(f·-. 700 , 1500 718 1550 736 1600 754 1650 772 1700 797 1750 808 Contd.l- 24
- 31. Salary at dayof Equivalent widow pension death not more than Rs. Rs. 1800 826 1850 844 1900 862 1950 880 2000 898 2050 916 2100 935 2150 954 2200 973 2250 992 2300 1011 2350 1030 2400 1049 2450 1068 2500 1087 2550 1106 2600 1125 2650 1144 2700 1163 2750 1182 2800 1201 2850 1221 2900 1241 2950 1261 3000 1281 3050 1301 3100 1321 3150 1341 3200 1361 3250 1381 3300 1401 3350 1421 3400 1441 3450 1461 1.I- 3500 1481
- 32. Note: In thecase of employees drawing wages above Rs. 3500 p.m. the widow pension shall be increased by Rs. 20 p.m for every increase in wages of Rs. 50 or part thereof subject to the maximum ofRs. 1750/- TABLE D (Return of contribution on exit from the employment) (See Paragraph 14) Year of Service Proportion of wages at exit 1 1.02 2 2.05 3 3.10 4 4.18 5 5.28 6 6.40 .., I 7.54 8 8.70 9 9.88 26
- 33. be o theD D o CLARIFICATIONS ON ElVIPLOYEES' PENSION SCHEME, 1995 D.
- 34. CLARIFICATIONS [PARA 6;PARA 7 & PARA 171 MEMBERSHIP OF THE EMPLOYEES' PENSION SCHEME, 1995 Exercisin2 of option to become member from a retrospective date. j [Refer Para 6 (d) Para 7(3) and Para 17(3)1 IOPTION ADMISSIBLE - FROM 1.3.1971 (i) Para 6 (d) read with Para 7(3) of the Employees' Pension Scheme, 1995 provides that every employee who has been a member of Employees' Provident Fund Scheme, i952iExemptea r-und as on 15.11.1995 but not the member of Employees' Family Pension Scheme, 1971 can become a member of the Employees' Pension Scheme, 1995. It was clarified that option in such cases can be exercised from 16.11.1995 (on or after 16.11.1995) with retrospecti ve effect from 1.3.1971, i.e. the date of introduction of the erstwhile EP.Scheme provided that the member pays the arrears of contribution with interest thereon, as prescribed for EP.Scheme, 1971. MEMBERS OF EFPS, 1971 - OUT OF EMPLOYMENT - BENEFITS NOT WITHDRAVN (0) A member of the Provident FundlFamily Pension Scheme, 1971 who is out of employment on or after }S' April, 1993 but has not withdrawn the benefit, he continues to be a member of Family Pension Fund. He automatically acquires the membership of the E.P.S., 1995 on its introduction from 16.11.1995, as an existing member ofE.F.P.S., 1971 on 1511.1995 provided he has not attained the age of 58 years. BENEFITS WITHDRAWN - OPTION ADMISSIBLE (iii) Even if such a member has already withdrawn the benefit under the EFPS, 1971, he may opt from the date he quits the service by returning the withdrawal benefit with interest calculated @ 8.5% per annum as provided in sub-para (2) of para 17 of the Employees' Pension Scheme, 1995, and avail of the admissible benefits under the Employees' Pension Scheme, 1995. In both the above cases, no extra contribution will be payable in the given situation. MEMBERS OF EFPS - RETIRED FROM 1.4.93 ONWARDS - OPTION ADMISSIBLE 6v) Such of the EPFIFJ.>Fmemoors who retired from service from 1.4.1993 onwards and settled their PF accounts may also opt to join the Employees' Pension Scheme, 1995 from the date of exit by refunding the withdrawal benefit availed of with interest calculated @ 8.5% per annum as provided in sub-para (2) of para 17 of the Employees' Pension Scheme, 1995. [C.P.F.C.'s circular No:2(l)Clarificationl96. dated 22'" December, 1995 and No:2(4)Clarification!96, dated 23"' May, 1996.] 27
- 35. OPTION ADMISSIBLE -FROM THE DATE OF COVERAGE - EFPS. 1971 (v) In cases where the establishment was covered from a retrospective date, the E.P.E contri is also collected from a retrospective date whereas contribution to the E:EP.S, 1971 was rec:ov'ere:c:t.[P•.•I•. only from the prospective date i.e., from the date of issue of coverage letter. In such cases, al the employees of that establishment become members of EPF from the date of coverage, membership to the EFPS, 1971 was treated only from the prospective date (i.e. from the date issue of coverage letter). Accordingly, the benefits under the EFPS, 1971 are also admissible reference to his membership to the EFPS, 1971. In a related case the Gujarat High Court decided the issue and as per the operative part of judgement, an employee becomes family pension fund member w.e.f. the date he becomes eli to contribute to the P.E under the E.P.F. Scheme, 1952. In view of this, on option, necessar diversion may be made from the P.E accumulations from the date the member becomes to contribute to the E.P.F. (Le. for the pre-discovery period). After such diversion the would become eligible for Monthly Pension benefits under the Employees' Pension Scheme, 1 with reference to the date from which the employee became member of the EPE [C.P.F.C.'s circular No:Pensionl2/4/Clarificationl97, dated 7UtApril, 1998] OPTION NOT ADMISSIBLE (vi) A PF member who retired between 1.4.1993 and 15.11.1995 and got his P.E account settled was not a member of the erstwhile Employees' Family Pension Scheme, 1971 .is not eligible to exercise his option in favour of the E.F.P.S, 1971lEmployees' Pension Scheme, 1995 [C.P.F.C.'s circular No:2(4)Clarificationl96, dated 17thJuly, 1996.] PARA 9 ROUNDING OFF OF FRACTION OF SERVICE FOR 6{SIX) MONTHS OR MORE As provided under para 9(a) & 9(b) the fraction of service for 6 months or more shall be treated. as one year and the service less than 6 months shall be ignored. The eligible service of 9 years and months and above need be rounded off to 10 years. [C.P.F.C.'s clrculae No:Pensionl2(4)/Clarificationl96, dated 17'h July, 1996.] SEASONALLY EMPLOYED - ACTUAL SERVICE According to the explanation below para 9(a),in the case of employees employed seasonally, actual service during the year shall be treated-as full year. For the period not attended when employment is offered it has to be treated as non-contributory service. [C.P.F.C.'s circular No:Pensionl2(4)/Clarificationl96, dated 17tb July, 1996.] 28
- 36. By, t ent PARA 12 "'ALCULATION OF MONTHLY PENSION UNDER PARA 12(3~ lU41 AND 12(5) Minimum pension provided for in sub-para (3), (4) and (5) of Para 12 would be applicable in ~pect of retirees who will be availing their pension on attaining 58 years of age. The same consideration ~iJl not be extendable to premature retirees who are applying for early pension. In their cases, otwithstanding their age, they will be clubbed with the current retirees and their claims settled in ~cordance therewith on par following the provision of sub-para (5) under Para 12 i.e. allowing uniform ~inimum pension of Rs.500 in every case without eo-relating to their age group from the equity point (view as clarified in the table indicated below: I AGE AGGREGATE DISCOUNT NET PENSION r YEARS MINIMUM @3% PAYABLE 5 Rs. Rs. Rs. 50 500 120 380 51 500 105 395 52 500 90 410 53 500 75 425 d 54 500 60 440 0 55 500 45 455 56 500 30 470 57 500 15 485 58 500 - 500 ,; ~unt @ 3% should be on diminishing balances) ":I--P.F.C.'scircular No:PensionlComputer196IPt.I, dated 9th January, 1997.] d 6 DMISSIBILITY OF PENSION TO MEMBERS IN THE AGE GROUP OF 50-57 YEARS 1 M> ARE CONTINUING IN SERVICE. In case a member desires to draw Reduced Pension before completion of the age of 58 years, he ay be granted pension if he is otherwise eligible but subject to the condition that he is not continuing service. .- .-~-'-'~.-- •..--.-.~ - he4" [C.P.F.C.'s circular No:PIPIC/v1I96, dated lOth May, 1996.] he: WAL OF EARLY PENSION DATE OF COMlfENCEMENT OF PENSION The drawl of early pension under para 12(7), earlier to attaining the age of 58 years is linked to ~conditionalities, namely: 1 .~ .' 29 ibution .overed Ithough e, their date of -le with t of the eligible cessary eligible rembe e, 199 led an !ible t treate ) and
- 37. ition 'ered ough their te of with PARA 12 CALCULATION OF MONTHLY PENSION UNDER PARA 12(3),12(4) AND 12(5) Minimum pension provided for in sub-para (3), (4) and (5) of Para 12 would be applicable in respect of retirees who will be availing their pension on attaining 58 years of age. The same consideration will not be extendable to premature retirees who are applying for ear1y pension. In their cases, notwithstanding their age, they will be clubbed with the current retirees and their claims settled in accordance therewith on par following the provision of sub-para (5) under Para 12 i.e. allowing uniform minimum pension of Rs.500 in every case without eo-relating to their age group from the equity point view as clarified in the table indicated below: fthe gible sary ~ible nber 1995 AGE AGGREGATE DISCOUNT NET PENSION YEARS MINIMUM @3% PAYABLE Rs. Rs. Rs. 50 500 120 380 51 500 105 395 52 500 90 4LO 53 500 75 425 54 500 60 440 55 500 45 455 56 500 30 470 57 500 15 485 58 500 500 @ 3% should be on diminishing balances) .'s circular No:PeosionlComputerI96IPt.I, dated 9th January, 1997.) In case a member desires to draw Reduced Pension before completion of the age of 58 years, he be granted pension if he is otherwise eligible but subject to the condition that he is not continuing The drawl of early pension under para 12(7), earlier to attaining the age of 58 years is linked to conditionaJities, namely: 29
- 38. 1. Exit fromservice; and 2. Express desire indicated by the member to draw reduced pension after discounting at prescri rate. It will therefore, be appropriate to regulate it strictly in accordance with the desire/choice by the member and any decision for regulating it administratively either following the date of or date of filing the application form will be relatively arbitrary and may not suit every requirement. Since the payment of early pension involves financial implications in the form of arrears if allowed retrospectively and permitting higher pension prospectively for a longer of time besides other preferences of the member, it will be inappropriate to follow any determined process in this regard rather allowing it to be regulated in accordance with the being expressed by the member concerned. It is, therefore, felt that you may ascertain the position properly from the member Endeavor may be made for providing a column in the application form itself to indicate this pas;t. by the member concerned while applying for sanction of early pension. In an event, when in of asking, the member concerned has not indicated any specific choice, date of application be treated as the date from which the early pension is to be paid. [C.P.F.C.'s circular No:Pension-In(2)98/CEPSlPt, dated 11th March, 1999.] As per para 12(7), the pension shall be reduced @ 3% for every year the age falls short years. Reduced Pension is to be calculated on diminishing balance. [C.P.F.C.'s circular No:Pensionl2(4)/Clarificationl96, dated 24th January, 1997.] 58 YEARS OF AGE - PENSION TO BE GRANTED - NO DIVERSION OF PF CONTRIBUTION TO THE PENSION FUND Such of the members who attain the age of 58 years but still continue in service beyond of 58 years would start getting pension on attaining the age of 58 years. Thereafter no diversion contribution to the Pension Fund would be required to be made. The employer's share of in respect of them will remain in their respective provident fund account. [C.P.RC. 's circular No:2(1)Clarificationl96, dated 22nd December, 1995 and No:Pensionl2( dated 23rd May, 1996.] A member exit from service on voluntary retirement scheme before attaining the age of 50 if so desires, may draw a monthly reduced pension from a date earlier than 58 years of age earlier than the 50 years of age subject to application of reduction factor as prescribed in Para of Employees' Pension Scheme, 1995 . . [C.P.F.C.'s circular No:PensionlClarification!95, dated 29'h January, 1996.] 30
- 39. MEMBERS OF EFPS.1971 - NOT ATTAINED THE AGE OF 48 YEARS/ATTAI~ED THE AGE OF 48 YEARS BUT LESS THAN 53 YEARS/ATTAINED THE AGE OF 53 YEARS. AS ON 16..11.1995 - CLARIFICATION The factual legal position as actuarially conceived regarding paragraph 12(3), (4) & (5) of the EPS, )995, is as under.- Sub-paragraphs (a) and (b) of paragraphs 12(3), 12(4) and 12(5) are to be read independent of the words "subject to a minimum of Rs.800/-", "subject to a minimum of Rs.600/-" and "subject to a minimum of Rs.500/-" provided the past service is 24 years. In other words, a person will be entitled 10 a minimum pension of Rs.800/-, Rs.600/- or Rs.500/-, as the case may be, only if: 0) On the date of his superannuation on attaining the age ot 58 years, he had rendered 24 years of service; and (Ji) The aggregate of (a) and (b) under paragraphs 12(3), 12(4) and 12(5), as the case may be, is less than the prescribed minimum of Rs.800/-, Rs.600/- or Rs.500/- as the case may be. In case the past service, i.e. eligible service on the date of attaining 58 years of age is less than 24 years of service, pension (i.e. pension according to formula) and the benefit (i.e. the past service benefit) will be reduced proportionately and in such cases, the minimum pension and past service benefit taken together will be Rs.450/- p.m., Rs.325/- p.m. and Rs.265/- p.m. respectively. This may be treated as interpretation of the provisions of paragraph 12 decided by the Central Government under paragraph 41 of the EPS, 1995. [Ministry of Labour letter No.R-15025/01/99-SSII, dated 10thMay, 1999 circulated vide C.P.F.C.'s circular No:PensionlI2/33IEPS/Amendmentl96, dated 11th/17thMay, 1999.] 'ED YOND COMPUTATION OF PENSIONARY ENTITLEMENT FOR MONTHLY MEMBER PENSIUN - REGULATING PENSION QUANTUM - FURTHER CLARIFICATION WITH REGARD TO GOVT.'S LETTER DATED 10.5.1999 Following further clarification with appropriate examples are issued with regard to computation of Monthly Member Pension and in regulating the quantum of Pension amount payable under para 12(3) to 12(5) of E.P.S., 1995 : icatio 1.1 As per Rule 12(2) Future Service Pension to be calculated (say FPEN). If FPEN is more than the minimum prescribed (e.g., 635/438/335 as the case may be),then FPEN will not beincreased. If FPEN is less than the-Minimum, then FPEN will be increased to the Minimum. 50 Y e but As per Rule 12(3) Past Service Pension to be calculated (say PPEN). Aggregate of 1.1 & 1.2 will be called Total Pension (TPEN). If TPEN is more than the minimum prescribed (e.g. 800/600/500 as the case may be) then TPEN is the Pension payable. 1.5 If TPEN is less than the minimum, then TPEN shall be increased to the Minimum (say MPEN). 31
- 40. f 1.6 TotalService == Family Pension Scheme Service + Employees' Pension Scheme Service (Say T If TS is 24 years and above then MPEN is the Pension Payable. ' If TS is less than 24 years then Pension Payable == MPEN x TSI24. • 2.1 Sub-paragraph (a) & (b) of Para 12(3), 12(4), 12(5) are independent of the minimum pensi proviso clause, as clarified by Government. That if "Total Pension" is more than "Minimu • Aggregate Pension" then "Total Pension" shall be payable notwithstanding the period of servi rendered. In such a case linkage of 24 years service requirement and proportionate reductions the service is less than 24 years will not be relevant. The aggregate of (a) & (b) being equal or more than the minimum prescribed in the proviso clause as the case may be, shall be payab] 3) 2.2 Aggregate minimums prescribed under proviso clause of Para 12(1 I ?(d). 12~5) i.e. R:;.~QO,' 3 Rs.600/- or Rs.500/- as the case may be, are payable only if the following conditions are sausned • The member attains the age of 58 years. • Member has rendered 24 years of eligible service. • Aggregate of (a) & (b) is less than the prescribed minimum of Rs.800/-; Rs.600/- and A''' •.JVUI as the case may be. If the eligible service is less than 24 years, the aggregate minimum of Rs.800/-, Rs.600/- Rs.500/- as the case may be, shall be reduced proportionately but not lesser than Rs.500/- Rs.325/- or Rs.265/- per month respectively. 2.3 If the member leaves the service before attaining the age of 58 years, i.e. early pension currently upto November, 2000AD only an aggregate minimum of Rs.500/- will be considered the aggregate minimum pension, subject to having 24 years of eligible service and discounting pension @ 3% per annum for every year falling short of 58 years. In other words, the early . till November, 2000 will be clubbed with the Para 12(5) category irrespective of their age as 16.11.1995, in order to remove the anomalies in the early pension cases. Likewise during five years i.e. from November, 2000 to November, 2005 the early retirees minimum pension q shall be restricted to Rs.600/ Rs.335 IRs.438 IRs.635 will be regulated. Such as retirees November, 2000 AD i.e. during first five years shall be given the credit of Rs.335/- or amount as per pension formula whichever is higher irrespective of age group as on 16.11.1995 Rs.438/- for retirees during next five years, i.e., between November, 2000 AD to N 2005 AD. 2.4 "Minimum Future Pension" has no relation with "Minimum Aggregate Pension". If "Formula .fallsshort of "Mihiffiumruture Pension" the' "Minimum Future Pension" shall apply. If . Pension" is more than "Minimum Aggregate Pension" then notwithstanding- (a) Number of years of service rendered bya member is less than 24 years and/or (b) "Minimum Future Pension" is more than "Formula Pension", "Total Pension" shall be payable. 2.5 Government in their reference dated 10.5.1999 clarified that "Past Service" may be read as "Eligi Service" for the purpose of proportionate reduction if the service is less than 24 years. 32
- 41. SayTS pensio I • Eligible Service = Actual Service + Past Service For eligibility purpose Eligible Service shall be used. mimu • For calculation of benefits, servic Eligible service as reduced by period not contributed to be taken i.e. ctions i Past Service + Pensionable Service. equal t oayabl 3) Example 1 s.800/. 3.1) Past Service atisfie Pensionable Service Eligible Service ~s.5001 )00/- 0 ,00/- 0 ember. ~ ension "Tot ible. :Iigibl 21 years 1,2,3 years 22,23,24 years Age at exit Pensionable Salary 58 years Rs.5,000/- (above Rs.25001 Past Service benefit Pensionable Service benefit wages on 16.11.95) Under sub-para (1;) Under sub-para (a) r---- 170 X 1.049 = 178 1 X 5000170 = Rs.71 or Rs.3351- eX') 170 x 1.154 = 196 2 X 5000170 = Rs.142 or Rs.3351- 170 X 1.269 = 216 3 X 5000170 = Rs.214 or Rs.3351- (Upto Rs.2500/- wages on 16.11.95) 150 X 1.049 = 157 1 X 5000170 = Rs.71 or Rs.3351- 150 X 1.154 = 173 2 X 5000170 = Rs.142 or Rs.3351- ('Y') 150 X 1.269 = 190 3 X 5000170 = Rs.214 or Rs.335!- For 'X' Category Eligible Service Aggregate of (a) & (b) Proportionate reduction 21 + 1 = 22 years 178 + 335 = 513 Since the aggregate of (a) & (b) is more than 21 + 2 = 23 years 196 + 335 = 531 the minimum aggregate Pension of Rs. 500/-, 21 + 3 = 24 years 216 + 335 = 551 proportionate reduction will not apply even if -" -.~---•..-. - _. the eligible service is less than 24 years. Accordingly aggregate of (a) & (b) as -, ~ calculated shall be payable. For "Y" Category •. 21 + 1 = 22 years* 157 + 335 = 492 500 X 22124 = 458* 21 + 2.= 23 years 173 + 335 = 508 Proportionate reduction not applicable -- 21 + 3 = 24 years 190 + 335 = 525 -- 33
- 42. • *In thecase of 22 years of eligible service for "Y" category Rs. 458/- will be payable. • In the case of 23 years of eligible service Rs. 508/- will be payable, ( Please see and be guided as clarified under 2.4) 3.2) Example 2 :- Past Service Pensionable Service Eligible Service Age at Exit Pensionable Salary 12 years 5 years 12 + 5 = 17 years 58 years Rs.5000/- 95 X 1.689 = 160 5000 X 5170 = 3571- 160 + 357 = 517/- Since the aggregate of (a) 105 X 1.689 = 177 50(lO X 5170 = 357/- 177 + 357 = 534/- & (b) is more than the minimum aggregate Pension of Rs. 500/-, proportionate reduction will not apply even if the eligible service is less than 24 years. Accordingly aggregate of (a) & (b) as calculated shall be payable. Aggregate of (a) & (b) Past Service Benefit [Sub-Para (b)] Pensionable Service Benefit [Sub-Para (a)] Proportionate Reduction [C.P.F.C.'s circular No:Pension-If7(2)98/CEPS/Vo!! dated 29th June, 1999.) PARA 12A COMMUTATION TO THE EXISTING MEMBERS PENSlONERS AS ON 16.11.1998 - DATE OF COltlMENCEMENT Commutation option is permitted to the existing member pensioners as on 16.11.1998, in the month in which it has been recei ved or from the 151 of the following month. [C.P.F.C.'s circular N():Pensioll.:v7{2)9'8TCEP8,dated 9'h June, 1999.) PARA 12A AND PARA 13 COMMUTATION OF PENSION - DATE FROM WHICH ADMISSIBLE - GUIDELINES Commutation of Pension as provided under para 12A came into force from 16.11.1998. All existing member pensioners in payment as on l6.11.1998 are entitled to exercise this option alongwith the new member pensioners from 16.1 t .1998 onwards. 34
- 43. :tion The detailedprocedure followed in developing the software (for calculation of commutation amount through computers) for release of commutation is as under.- i) Commutation of Pension is effective from 16.11.1998 onwards. ii) All the existing eligible member pensioners (granted under Para 12) in payment as on 16.11.1998 are entitled to exercise the commutation option. Option is required to be filed in writing on a plain paper by the eligible member pensioner himself. iii) The commutation option should be from the prospective date oniy. In other words from the date the application for commutation option is filed (on or after 16.11.1998) the amount of commutation will be worked out from the first of the following month, so as to make necessary adjustments in the pension in payment and also to avoid administrative inconvenience, iv) Commutation can be made upto a maximum of 1I3rdof pension. It implies that the member pensioner can commute at any percentage rate not exceeding one third (33.33%) of the original monthly pension. (a) ~ALCULATION OF REDUCED PENSION UNDER PARA 13(1) - AFTER COMMUTATION OF PENSION AND ON EXERCISING OPTION FOR RETURN OF CAPITAL sion iate 'ply :e IS ars. , (a) I be v) On commutation of the original monthly pension, the balance of pension (original monthly pension minus value of pension commuted) shall be treated as monthly pension for the purpose of payment of pension on monthly basis and for exercising the option under paragraph 13(1) for Return of Capital. vi) In such cases (i.e. after commutation of pension), the reduced pension as provided under para 13(1) shall be calculated on the original monthly pension. The following example will illustrate: (a) (b) (c) (d) - - (e) nonth (f) (g) ES isting ~new (h) Original monthly pension under para 12 Amount of pension commuted under Para 12A Amount of commuted value of pension (200 x 100 = 20,000) Balance of original monthly pension (600 - 200) Reduced pension under Para 13(1) for ROC (Reduction for option-I at the rate of 10% of original pension) (600 - 200 - 60) Rs.600 Rs.200 Rs.20,000 Rs.400 Rs.340 Pension in'pllymefft(on commutation andReturn of Capital) ROe as per the option exercised (400 x 100= Rs.40,000 (Option 1 & 3) (400 x 90 = Rs.36,000 (Option 2) Spouse Pension on death of Member pensioner [50% of original monthly pension as at (a)] Rs.340 Rs.300 35
- 44. vii) For theexisting member pensioners in payment as on 16.11.98, the payment of pension is to be regulated as per the example shown under point (vi) on filing the option for commutation on or after 16.11.98. viii) Option once exercised is final and irrevocable. These options for commutation and Roe shall be exercised while submitting the claim form in respect of claims that will be filed and received on or after 16.11.98. ix) On allowing the commutation option on or after 16.11.98, an Annexure showing the calculation of commutation revised ROe, Pension in Payment shall be prepared and sent to the paying branches! members pensioners concerned, for incorporating in the PPOs appropriately. A revised PPO indicating the changes made be forwarded to the paying branches for record and to regulate the payment to the member pensioner accordingly. x) Annual relief as applicable is to be calculated on the original monthly pension as at (a) instead of on the balance of original monthly pension as at (d), even after allowing commutation, to the eligible beneficiaries. xi) Commutation facility is not applicable to permanent and total disablement pensioners. [C.P.F.C.'s circular No:2/4/Clarificationl961B, dated 30tla October, 1998.] PARA 13. RETURN OF CAPITAL TO THE NOMINEE - NOMINEE PREDECEASES - FRESH NOMINATION In the event of death of the member pensioner, amount of 'Return of Capital' is admissible to the nominee (declared by the member-Pensioner in claim Form lO/D). A fresh nomination will be required to be executed by the Pensioner if the nominee predeceases the pensioner himself. [C.P.F.C.'s circular No:2(l)Clarificationl95, dated 22'" December, 1995.J RETURN OF CAPITAL TO THE DISABLED PENSIONERS - IN THE CASE OF PENSION COMMENCING BEFORE ATTAINING THE AGE OF 50 YEARS - APPLYING THE REDUCTION FACTOR Explanation 3 under Para 13(1) of the Employees' Pension Scheme, 1995 provides that in the case of a member who is eligible for permanent total disablement pension and where the payment of" such pension is commenced before~his attaining the age of 50 years, the option shall also be admissible but in suc~h~~s~s the actual pension payable shall be reduced by 1% and the return 6f capital shall be further reduced by Rs.I ,000/- for every year by which the age at commencement of pension falls short 50 years. The matter has been examined in detail in consultation with the Consultant Actuary, and it is clarified that in the event of payment of disablement pension commencing before attaining age of 50 years thededuction wiIl apply both in the quantum of pension as also in the amount of capital return as under:- 36
- 45. 1be nor nof hes/ Jpo the dof ible the [red he of f of o .m • Consider a disabled Pensioner aged 35 • Original Pension Rs.500/- - opted for ROC • ROC Pension in normal course would have been Rs.450/- and ROC as Rs.50,000/-. • In case of Disablement Retirement Reduction In ROe = ks.45u x.OJ x (50 - 35) = R~.67.50 • ROC Pension Payment = Rs.450 - Rs.67.50 = Rs.382.50 • Return of Capital = Rs.50,OOO - (50-35) x Rs.1,000 = Rs.35,000. This will mean that a pension in payment is to be reduced by 1% and the Return of Capital is to be further reduced by Rs.1,000/- per year falling short of years to 50 years of age. NOMINATION IN FAVOUR OF A PERSON BECOMES VOID ON ACOUIRING A FAMILY DY THE MEMBER As per para 16(5)(a) if a nomination is made by any member in favour of a person the same shall become void in the event the member acquires a family subsequently. Similar is the general provision in regard to nomination contained in EPF Scheme, 1952 which shall apply by virtue of Para 38 of the Employees' Pension Scheme, 1995. ADMISSIBILITY OF PENSION TO WIDOW & CHILDREN AFTER DEATH OF THE MEMBER WHO DIED AFTER AVAILING PENSION FOR A FIXED PERIOD OF 20 YEARS UNDER ALTERNATIVE 3 BELOW PARA 13(1) Under 3rd alternative below para 13(1), the member pension will cease after the fixed period of 20 years. However, the benefits for widow/children are to be regulated as per para 13(3). DEATH OF MEMBER PENSIONER - ADMISSIBILITY OF PENSION FOR THE UNEXPIRED PORTION OF 20 YEARS VIS-A-VIS THE WIDOW/CHILDREN/ORPHAN PENSION On the death of the member-pensioner who had opted for 3rd alternative below para 13(1) i.e. pension [or a fixed period of 20 years, the pension for the unexpired portion of 20 years shall be admissible to the nominee in addition to the Return of Capital amount. In addition, Widow/children shall get pension as per the provisions under para 13(3). [C.P.F.C.'s circular No:Pensionl2(4)/Clarificationl96, dated 17lb July, 1996.] PARA 14 CALCULATION OF WITHDRAWAL BENEFIT- ROUNDING OFF OF LAST PAY DRAWN =- For calculation of Withdrawal Benefits under the Employees' Pension Scheme, 1995, full pay last drawn may be rounded up to next Rs.lO/- as was done in the erstwhile Employees' Family Pension SCheme; 1971 . [C.P.F.C. 's circular No:Pensionl2(4)/Clarificationl96, dated 171b July, 1996.J 37
- 46. REFUND OF CONTRIBNUTIONON LEAVING SERVICE/MEMBERSHIP WITH LESS THAN 6(SIX) MONTHS PERIOD If a member has put in less than 6(six) months contribution and is leaving the membership without becoming eligible for any benefit under the Employees' Pension Scheme, 1995, he may be refunded the contribution component only. [C.P.F.C.'s circular No:PIPICNI/96, dated lOlh May, 1996.] ISSUE OF SCHEME CERTIFICATE - ACTUAL SERVlCEIPENSIONABLE SERVICE! SALARY NOT TO BE ROUNDED OF The Scheme certificates are to be issued with actual salary and actual sp.rvlrp :-Itth~ tj?.!~ of exit, The principle of rounding of salary/service should take place only at the age of superannuation or when the pension payment is to be made. [C.P.F.C.'s circular No:Pensionl2/4/ClarificationlHl98, dated 81hMay, 1998.] PARA 15 [read with Para 2(xvi)] BENEFITS ON PERMANENT DISABLEMENT - ADMISSIBLE IF CONTINGENCY OCCURRED DURING EMPLOYMENT As per the amended provisions of para 2(xvi) read with para 15(1) of the Pension Scheme, the benefits will become admissible subject to occurrence of the contingency during employment regardless whether such disablement is sustained in the course of employment or otherwise. [C.P.F.C.'s circular No:Pensionl2(4)/Clarificationl96, dated 171hJuly, 1996.] PERMANENT & TOTAL DISABLEMENT - PRESCRIBED MEDICAL EXAMINATION In pursuance of sub-para (3) of Para 15 the Central Board of Trustees, E.P.F. has approved that Medical examination as required under para 15 shall be required to be conducted through a Medical Board of the area constituted either by the Central Govt. or the State Govt. or the ESIC authorities or any other local authority competent to constitute such a Medical Board and certificate issued by such a Medical Board certifying the permanent and total disablement shall hold good for considering and sanction of disablement pension. [C.P.F.C.'s circular No:PensionIPICNIlIi96, dated 2nd January, 1997.] PERMANENT .TOTACDISABLEMENT PENSION - STATUTORY· PROVISION' ~ PRESCRIBED PROC EDURE· CLARIFICATIQN Para 15(1) of the EPS, 1995 read with definition of the term "Permanent and Total Disablement" contained in Para 2(xvi) ibid, clarifies the position. Para 15(1) of the Scheme entitles the benefit on permanent and total disablement during service while the definition provided under Para 2(xvi) defines the term "Permanent and total disablement". 38
- 47. s • lout the the less • • :E/ • .xit. hen .hat ical ')or llch and nt" on nes It implies that: The disablement could occur in the course of employment or otherwise, In other words, the injury need not be restricted to employment injury alone or relating to work place. However, it need be during employment contributing to the membership of the fund and not extendable during non-cmployrnent period of membership, if any. Disablement need be total i.e.100%. The disablement be of permanent in nature; and that Such permanent total disablement shall incapacitate the member employee for all work which he/ she was capable of performing at the time of disablement. Incapacitating any member rendering unfit for the ongoing employment or rendering unfit for any employment partially will not suffice. The above-mentioned requirements are to be fully satisfied upon conduct of medical examination of the members concerned by any authorised Medical Board of a Central/State Govt.IESIC Hospital or other prescribed authorities. In order to follow uniform procedure, two proformae have been designed one for regulating such cases and other for obtaining the report from the Medical Board. (For proformae refer to the "Forms and Returns" Section at the end of this Handbook). [C.P.F.C.'s circular lTo:Pension/2(4)/Clarificationl96/, dated 24thMarch, 1999.] PARA 16 MONTHLY WiDOW/CHILDREN PENSION - ONE MONTH'S CONTRIBUTION - MEANING One month's contribution laid own under Para 16(1)(a) does not mean full month's contribution. One month's contribution for all purposes wiII constitute of contribution payable in that month in respect of the employee for the number of days served before death in service. Accordingly, widow and children would get pension if the member died after contributing for a part of the month during which he served. [C.P.F.C.'s circular No:Pensionl2(4)/Clarificationl96/3157, dated 9thDecember, 1996.] DEFINITION OF THE TERM 'SALARY' APPEARING UNDER TABLE 'C' The term 'SALARY' appearing in table 'C' of EPS,95 may be construed in accordance with the provision of 'Pensionable Salary', in terms of Para 11(2) read with Para 2(xiii)which defines the 'Pay' as basic wages with dearness allowance, retaining allowance and cash value of food concession, admissible, if any. Same is the concept followed in the case of EPF which is relatable in terms of Para 38 of the Employees' Pension Scheme, 1995. [C.P.F.C;'s circularNo:Pension/2(4)/Clarificationl96, dated 17" July, 1996.] MONTHLY WIDOW/CHILDREN PENSION - MEMBER RENDERED LESS THAN 10 YEARS SERVICE - RETAINED=THE MEMBERSHIP - DIED BEFORE ATTAINING 58 ·YEARS' AGE - ADMISSIBILITY ~ As per note under para 16(1)(c), if a member has rendered less than 10 years of eligible service on the date of exit but had retained the membership of the pension fund and died before attaining the 39
- 48. age of 58years, such cases shall be regulated as per proviso under para 12(8) for payment of widowl children/orphan pension. [C.P.F.C.'s circular No:PensionJ2(4)/ClarificationJ96, dated 24thJanuary, 1997.] . MONTHLY CHILDREN PENSION Monthly Children Pension is admissible in addition to monthly Widow/Widower Pension in all the three eventuality under Section 16(1)(a), 16(l)(b) and 16(l)(c), provided there are surviving children who have not attained the age of more than 25 years and that Children Pension shall be admissible to maximum of two children at a time. [C.P.F.C.'s circular No:Pensionl2(4)/Clarificationl96,dated 17thJuly, 1996.] MONTHLY CHILDREN PENSION TO TWO CHILDREN AT A TIME - FAMILY HAS TWINS IN ADDITION TO AN ELDER SON - HOW PENSION TO BE PAID In such cases pension would be released to two children - one who ,S the eldest of the three and the other elder one of the twins. [C.P.F.C.'s circular No:Pensionl2(4)/Clarificationl97, dated 7thApril, 1998.] MONTHLY ORPHAN PENSION -75% OF THE WIDOW PENSIQN - PAYABLE TO EACH OR TO BE DIVIDED BETWEEN THEM As per para 16(4)(a) read with para 16(4)(b), 75% of the Monthly widov .•.pension is to be paid to each of the orphan, subject to a minimum of Rs.170/- per month per orphan (raised to Rs.250/- vide G.S.R. No.41 dated 12th January, 2000). [C.P.F.C.'s circular No:Pensionl2(4)/Clarificationl96, dated 24thJanuary, 1991.1 MONTHLY CHILDREN PENSION - PERMANENTLY AND TOTALLY DISABLED CHILDREN - PARA 16(3)(e) Para 16(3)(e) provides for payment of monthly pension to permanently and totally disabled children! orphan irrespective of their age and number of children in the family in addition to the children pension provided under Para 16(3)(d). In regard to the doubt raised as to whether Para 16(3)(e) is independent of Para 16(3)(d) for grant of disabled children pension, Ministry of Labour has clarified as under:- "Conceptually there is a need to read paragraph 16(3)(d) and 16(3)(e) together. As provided under para 16(3)(d), the month Iy chi Idren pension will run from the oldest to the youngest child. If, there are two disabled children and both are age-wise seniors to others, then pension will be payable to these " two children only. However, if there is any other totally disabled child in the family, he will also be entitled to get pension but in no case, pension will be payable to other children if two senior disabled children are already getting pension under the Scheme. In cases where first two children are normal and age-wise senior, then in their cases, pension will be payable in addition to the pension payable to the disabled children." 40
- 49. To understand theimplications/clarifications better, six examples are worked out as under: CASE·I • pt Normal Child • 2nd Normal Child • 3rd Disabled Child • 4th Disabled Child First 2 normal children (upto 25 years age) will draw pension. Since 3rd and 4th children are disabled children they will also get Children pension in addition to 1st and 2nd child. CASE·II • pt Normal Child • 2nd Disabled Child • 3rd Normal Child • 4th Disabled Child 151 and 2nd children will get pension automatically on the basis of the seniority to begin with. 4th child being disabled shall also draw pension in addition to first two children. 3rd will not get at all as 2nd and 4th will be drawing pension life long. CASE·III • I" Disabled Child • 2nd Disabled Child • 3rd Normal Child • 4th Normal Child I"' and 2nd children will only get pension since they will draw pension for life. )'d and 4th child will not have the occasion to draw pension unless any vacancy arises otherwise. CASE·IV ~st Normal Child 2nd Disabled Child 3rd Normal Child 41h Normal Child 1" and 2nd children will get pension. On completion of age of 25 years of 1st child, 3rd will occupy the pt child slot, likewise 4th child on completion of 3rd child. -tl
- 50. CASE·V • 1stDisabled Child • 2nd Normal Child • 3rd Normal Child .. • . 4th No.rnal Child I" and 2nd children will only get pension. On completion of age of 25 years of 2nd child, 3rd will occupy the slot and likewise 4th will occupy the 3rd child position, on completion of 25 years age of 3rd child. CASE·VI • I" Disabled Child • 2nd Disabled Child • 3rd Disabled Child • 4th Disabled Child All the 4 disabled children will get pension simultaneously. [Minilotry of Labour letter No.R-15011/1/2000-SSn, dated 20th June, 2000 & C.P.F.C.'s circular No : Pension - 117 (2) 2000/CEPS, dated 13th july. 2000.] PENSION TO PERl-fANENTLY AND TQTALLY DISABLED CHILDREN - CRUCIAL DATE OF DECIDING THE ELIGIBILITY • PARA 16(3)(e) The crucial date of deciding the eligibility of permanently and totally disabled children would be: • As on the date of death of the member concerned while in service or away from employment retaining the contributions upto the age of 58 years. • Ason the date of death of the member pensioner on becoming pensioner. The criteria for the coverage and entitlement of permanently and totally disabled children pension should be during the risk period coverage of such children i.e. the permanently and totally disablement occurred to a child (in the family of the member) during the risk coverage period upto 25 years of such child shall be considered and the disabled children pension under para 16(3)(e) shall be continued for life long. If the child has attained the age of 25 years and the normal children pension is Slopped and thereafter such child get permanently and totally disabled, such category of children are beyond the purview of risk coverage and hence not entitled for disabled children pension. [Ministry of Labour·1ettt!r~R-150HI1l2000-SSII, dated 20th june, 2000 & C.P.F.C.'s circular No:renlSloll- II7(2)2000/CEPS, dated 13th july, 2000.] . . DISABILITY - CERTIFICATE BY MEDICAL BOARD In regard to deciding the permanent and totally disablement of a child, a certificate certifying disablement of the child by Medical Board, on line with the definition and procedure prescribed under 42
- 51. on Ily ito (e) 'en .ry en para 2(xvi) read with Para 15(3) of Employees' Pension Scheme, 1995 needs to be followed.The child should be totally unfit for the employment, for consideration of permanently and totally disabled children! orphan pension, after the same is considered and certified by the prescribed Medical Board. [Ministry Ot Labour letter No.R-15011/1l2000-SSIl, dated 20th June, 2000 & C.p.F.e's circular No:Pension- In(2)2000/CEPS, dated 13th July, 2000.] !ill NOMINATION UNDER PARA 16(5)(a) - IF NOT FILED UNDER EPS. 1995 - NOMINATION ige [lLED UNDER EPF SCHEME. 1952 CAN NOT BE ACTED UPON. Nomination filed under E.P.F. Scheme, 1952 can not be made applicable to Employees' Pension Scheme, 1995. Separate nomination under EPS, 1995 is required to be executed for authorisation of nominee pension Ilnill"r thl" rr;"'i~i0~~ of Para !6(5)(a). [C.P.F.C.'s circular No:Pensionl2(4)/Clarificationl96, dated 24tb January, 1997.] troMINATION UNDER PARA 16(5)(a) - RECEIVED AFTER THE DEATH OF MEMBER - VALID The nomination in Form-2(R) received from the employer even after the death of the member can ion be treated as valid for extending the benefits under Employees' Pension Scheme, 1995 provided the Nomination was filed by the member when he was alive subject to certifying by the employer as to the correctness and genuineness of such documents. mt liOMINATION UNDER PARA 16(5)(a) - MORE THAN ONE NAME - OPERATIONAL INSTRUCTIONS FOR VALIDITY (a) If more than one name is mentioned in the Nomination Form [Form-2(R)], the first name may be considered ignoring the other names for "Nominee Pension"; (b) If the first nominee predeceases, the second nominee may be considered for "Nominee Pension" at the crucial date of the death of the member, ignoring the other names, if any. [C.P.F.C.'s circular No:FP-3/28/97IMH, dated 4tb April, 2001] e: PAYMENT OF PENSION TO PARENTS - DETERMINATION OF DEPENDENCY CRITERIA - NOT SPECIFIED ANY INCOME CRITERIA Clause (aa) of Sub-para (5) of Para 16 (inserted vide Govt. of India Notification dated 22.2.1999 published vide GSR No.66 Gazette of India - March 6, 1999) entitles the dependent parents of a member of the Employees' Pension Scheme, 1995 who dies leaving behind no spouse Ipd/or an eligible child and no-nomination by such deceased member exists. The term 'dependant parents' signifies determination of dependency criteria. The matter regarding deciding the dependency criteria was referred to the GOVl. of India. The SUbjectdirection of the Govt. permitting entitlement of Pension claim from the parents does not lpecify any income criteria to be followed for deciding the dependency. [Authority: Decision of the CBT, EPF in its 1515t meeting held on 14.08.1999 and Ministry of Labour letter Ref. No.R-1501212/99-SS.II, dated 18.10.1999] [CPFC's circular No: Pensionl12/33/96, dated 26tb October, 1999] )0- ler 43
- 52. PAYMENT OF PENSIONTO PARENTS - DEATH OF MEMBER OCCURRING BETWEEN 16.11.1995 AND 05.03.1999 Claim for payment of pension to dependant parents may be accepted and settled as per the scheme provision in respect of death of the member occurring between 16.11.1995 and 05.03.1999 i.e.,. the date of implementation of the EPS 1995 and the amendment notified. However, since provision permitting pension payment to parents have been brought in through amendment notified and effective from 06.03.1999, the payment of pension to the parents shall be payable from the said date only i 06.03.1999 onwards. In other words, the claims received in respect of death of the member occurring between 16.11.1995 and 05.03.1999 i.e. interregnum period between introduction of the EPS 1995 from 16th November, 1995 till the date of amendment of the Pension Scheme permitting pension payment to dependent parents effective from 06.03.1999 shall be admitted for settlement uui 4..Luui.payrueiu ui pension to parents shall be released from 06.03.1999 onwards only i.e. the date from which such payment has been authorised under the scheme through the amendment cited. [Authority: Decision of the CBT, EPF in its 1510t meeting held on 14.08.1999 and Ministry of Labour Ref.No.R-15012/2/99-SS.II, dated 18.10.1999] [CPFC", circular No: Pensionl12/33/96, dated 26th Octonee 1999] ENTITLED FOR MONTHLY PENSION UNDER PARA 12 If a member is not entitled to a pension at date of exit then his beneficiary can not receive a vv"" ••.'.u, under para 16(5)(b). Nominee beneficiary will not receive pension, but hislher benefit shall not less than Capital Value of notional Pension otherwise payable to the member. Examples: (1) Date of joining: 1.12.1995; Date of leaving 1.1.1996; Salary Rs.5,0001-; Date of death 15.2.1996. Notional pension should be based on the scheme formula: Rs.5,000 x 1170=Rs.71. So, beneficiary will get Rs.71 x 100 times = Rs.71001- as Capital Value of Pension. (2) Date of joining: 7.12.1988; Date of leaving 15.12.1996; Date of death: 1.4.1997; Salary Rs.5,0001- . Past service Pension is = Rs.85/-. Future Scheme Pension = Rs.5,OOOx 1170= Rs.711-. Noti pension payable =Rs;85 + Rs.71 ·Rs;-l56I-. So; Nominee beneficiary will get Rs.156 x 100 Rs.15,600 as Capital value ofPension. " (3) Date of joining: 15.1.1996; Date of exit: 1.1.2005; Date of death: 1.8.2005; Salary: Rs.5 Past Service Pension = O. Further Service Pension = Rs.5,OOOx 9170 = Rs.642/-. So, n beneficiary will get Rs.642 x 100= Rs.642001- . . [C.P.F.C.'s circular No:Pensionl2(4)/ClarificationlI6(S)(b)/96, dated 4th June, 1998.] 44
- 53. etter ober; PARA17 .ded i.e., lion tive I.e. nng 995 nent It of nent OPTION TO BECOME MEMBER OF EPS, 1995 FROM A RETROSPECTIVE DATE-CALCULATION OF AMOUNT TO BE DIVERTEDIDEPOSITED FROM PF ACCOUNT TO - £f:NSICN FUND ACCOUNT - INTEREST PAYMENT FROM WHICH DATE. Contribution has to be worked out on actual wages of each member for the relevant period from 1.3.1971 to 15.11.1995. In case of difficulty the same may be worked out on a standard basis following the wage ceiling limit that was prescribed from time to time with interest thereon calculated @ 8.5% per annum uniformly compounded on annual basis. The amount so arrived at shall become payable on 16.11.1995. The interest @ 8.5% from 16.11.1995 to the date of actual remittance of the amount by the member concerned to the credit of the Pension fund need be worked out and added further. [C.P.F.C.'s circular No:Pensionl3/41 97/AP, dated 21st March, 1997.] sion )t be ith : . 45
- 54. CALCULATION OF AMOUNTTO BE DIVERTED FROM PROYIDENT FUND ACCOUNT TO PENSION FUND ACCOUNT IF ONE OPTS FOR PENSION SCHEME WITH EFFECT FROM 16Ill NOVEMBER, 1995 YEAR MONIHY TOTAL SALARY Rs. 3/84-2/85 1600 OPENING IN'I'ERr.Sf . COl'.'TRIDL'TION BALANCE 8.5 % Rs. Rs. 160012500 322 19x6+29x6=288 Amount as on 15.11.1995 3/85-8/85 & 2500 6756 574 29xl2=348 Rs. 31,550 Rs. 7fQ Rs. 32,332 Rs. 2,748 Rs. 35,080 Interest from 16.11.1995 to 31.3.1996 @8.5%p.a. TOTAL Interest from 1.4.1996 to 31.3.1997 TOTAL *Interest has been calculated on Opening Balance. 46
- 55. T T PARA17A SETTLEMENT OF CLAIMS WITHIN 30 DAYS - STEPS TAKEN In keeping with the requirement made in para 17A of the E.P.S., 1995, to complete the settlement process of pension claim within a period of 30 days, it has been decided that the PPOs generated during a calendar week should not be put on hold but be forwarded to the Link Branch of the designated Banks on weekly basis. The PPOs generated from Monday to Friday need be forwarded to the designated Bank by Friday evening alongwith an account payee cheque covering the amount of pension payable upto the previous month (including arrears and commuted value, if any). [C.P.F.C.'s circular No:Pension-I/22(1)2000, dated 21,t January, 2000.] PARA 18 AND PARA 24 (1) REGULATION OF CASES OF DATE OF BIRTH OF THE MEMBER AT THE TIME OF ENTRY INTO THE EMPLOYMENT • ABSENCE OF PROOF The age/date of birth of the member as furnished through Form 9 in a verified manner by the Employer on entry into the service of the establishment should be accepted as such and taken on record. (2) CHANGE OF DATE OF BIRTH SUBSEOUENTLY - NOT TO BE ALLOWED Once the date of birth is accepted through the initial return filed by the employer, the same will not be allowed to be changed/modified except on technical ground and that even with prior formal approval of Head Office. (3) REGULATION OF CASES OF CHANGE OF DATE OF BIRTH OF MEMBER - ABSENCE OF PROOF The age/Date of Birth of the member as furnished through Form 9 in a verified manner by the Employer on entry into the service of the establishment should be accepted as such and taken on record. No subsequent change is allowed except on technical ground and that even with prior formal approval of Head Office. CHANGE OF DATE OF BIRTH AFTER ACCEPTED IN FORM 9 The age/Date of Birth of the member accepted through the initial return filed by the employer will not be allowed to be changed/modified. H.:..9weverif, any such request is received from the member concerned through the employer for change in the Date of Birth citing valid reasons, then the concerned officer viz. R.P.F.C.lOfficer-in-Charges, Sub-Regional Office, may in genuine cases call for and rely on the following to decide the issue appropriately on merit: a) Original Date of Birth Certificates issued and certified based on the record of birth being maintained by Registrar of births and deaths, municipal authorities/School Leaving Certificates issued by the Competent Authority (Principal/Headmaster/Order of competent Court). (This shall exclude cases of current certification based on member declaration). 47
- 56. b) In caseof School Leaving Certificate, it may be prudent to get it verified to ensure genuineness. Authenticity of the document may be got established by making reference to such authority who have issued such certificate and the regulatory authority, if any, as counter checking. c) In the absence of proof of age/Date of Birth, as above, Medical Certificate issued by the Competent Civil surgeon after examining the concerned member medically supported with affidavit on oath by the member duly authenticated by a first class Judicial Magistratel Metropolitan Magistrate and accepted/endorsed by the employer. (5) DATE OF BIRTH OF SPOUSE AND CHILDREN - PROCEDURE TO BE FOLLOWED IN THE ABSENCE OF PROOF Initial declaration in Form 2(Revised) filed by the member declaring the age/Date of Birth of the spouse and children and countersigned by Employer may be accepted, in general, unless any inconsistency is noticed, without insisting for the proof. However, if such details are not filed in initial stage or any request for change in the age/Date of Birth of family members is pursued subsequently, it has to be ensured to collect and verify the documentary evidence in support of the claim for change as listed under (a), (b) and (c) above. (6) NO CHANGE OF DATE OF BIRTH ALLOWED AFTER ITS ACCEPTANCE IN EPFO RECORDS As far as possible, no change in the Date of Birth is allowed after its acceptance in Employees' Provident Fund Organisation records through the prescribed initial statutory return. [C.P.F.C.'s circular No:FP.3(8)/Orissal97, dated 6t1o January, 1999.] BY CONSUlIER DISPUTES REDRESSAL FORUM - EXTRACTS OF THE ORDER A complaint was filed by some of the members of E.P.S., 1995 before the Consumer Di Redressal Forum, Kozhikode vide O.P. No:7012000. The complainants who were three in number retired on superannuating after attaining 58 years of age challenged the quantum of monthly pension by the RPFC, Kozhikode saying that they are entitled to a much higher amount as pension as the of birth taken into account by the RPFC for fixing the quantum of pension is wrong. CPFC was made an opposite party. The relief sought for in the complaint was to give a direction to the n •.•·nn'''t •• parties (CPFC/RPFClEmployer) to alter their year of birth as 1941 instead of 1943 and pay them higher pension. The Forum refused to give this relief. The operative part of the order is as under: "But ongoing-through the-records we are afraid thatthe complainants cannot be given this Ex.Rl to R3 are admittedly the nomination forms given by these complainants for joining in the scneme I!1 these forms the year of birthof all these complainants are shown as 1943. Admittedly all complainants have signed in this forms and further they have given a declaration that the particulars in the forms are true and correct. Thus having once given a declaration saying that their year of is 1943 and having allowed the opposite parties to initiate the proceedings acting on these n<>,rtlr'l1 thus furnished by them, they cannot now turn around and say that the year of birth shown in Ex.RI R3 is wrong. Or to put it differently, having given a declaration rather categorically that their year of 48
- 57. is 1943, theyare now estopped from saying that the said information is wrong and that their year of birth is 1941, even if the year of birth shown in Ex.R 1 to R3 is wrong. So much so the action of the opposite parties fixing the P.P. Pension of the complainants taking their year of birth as 1943 cannot be termed as either improper or illegal as sought to characterized by the counsel for the complainants. This being the position, we have no other option but to dismiss this complainr. The complaint is therefore dismissed but however without any order as to costs. Pronounced in open court this the 19th day of May, 2000." [Order dated 18/19 May. 2000 of the Consumer Dispute Redressal Forum. Kozikode in O.P. No.70/2000 - circulated vide CPFC's circular No.Pensionl3/8/0rissal97IPt. dated 2pl Aueust. 2000) PROOF OF DATE OF BIRTH NOT AVAILABLE !'l0!"!!,<l11;" th~ ':'~1J:.,:,,:,!"!J:.~!'is supposed to provide age particulars while at the time of joining the scheme. Form-2 also provides the date of birth column for member, which is likely to generate the information. However, in the absence of above, the date of birth recorded in the service record maintained by the establishment and as certified by the employer concerned may be followed. [C.P.F.C.'s circular No:Pensionl2(4)/Clarificationl96, dated 23rdMay, 1996.] PARA 32 (1) RELIEF TO THE BENEFICIARIES OF THE CEASED FAMILY PENSION SCHEME. 1971 Central Government has allowed additional relief to the beneficiaries of the ceased FPS, 1971 as under: S.No. Date of death Per month percentage Subject to minimum of increase increase of 1. Before 1.4.92 15% Rs.75/- 2. Between 1.4.92 to 31.3.93 12% Rs.60/- 3. Between 1.4.93 to 31.3.94 9% Rs.45/- 4. 1.4.94 to 31.3.95 6% Rs.30/- The relief sanctioned above is effective from I" April, 1995 and shall be admissible only for the cases settled under the ceased Farni ly Pension Scheme, 1971. [C.P.F.C.'s circular No:FP/15(4)n7/ActvaIJ95, dated 281h August, 1997.] RELIEF TO PENSIONERS Ministry of Labour-has allowed 4% relief on pension in payment as on 15.11.1996 to existing pensioners, widow pensioners and orphan pensioners. '" [C.P.F.C.'s circular No:Actuary/18(1)/96NoI.II, dated 3rdDecember, 1997.] ADDITIONAL RELIEF TO PENSIONERS Ministry of Labour has allowed 5.5% additional relief on the original pension to all pensioners as on 31.3.1998 w.e.f. 1..4.1998. [C.P.F.C.'s circular No:PensionlI8(2)/97Nol.I, dated 12th January, 2000.] 49
- 58. (4) ADDITIONAL RELEIFTO PENSIONERS Ministry of Labour has allowed 4% additional relief on the original pension to all pensioners as on 50 31.3.99 w.e.f. 1.4.1999. [C.P.F.C. circular No. : Pension-I118(l)199Nol. I, dated 14th June, 2001.] PARA 39 EXEMPTION APPLICATIONS - SCRUTINY AND DISPOSAL - FORWARDING TQ CENTRAL OFFICE - PROCEDURE In order to streamline the procedure and to have uniformity, the Exemption Applications received by Sub-Regional Offices be submitted to Regional P.R Commissioner-in-charge of the Region for proper scrutiny and disposal. RPFC-in Charge of Region will only forward the pmpm:~lo;:whirh ~!"'::'!!! ~0!!!p!et: form and found in order as per the prescribed procedure/guidelines, with his specific comments! recommendations. Controller of Pension [now the RPFC (Pension)] in the Regions are to assist the RPFC-in-Charge, to scrutinise, monitor and regulate disposal of Exemption Applications and for overseeing compliance under Employees' Pension Scheme, 1995. [C.P.F.C.'s circular No:PensionlGenllExeml9713264, dated 12thJune, 1997.] FURNISHING OF COMPARATIVE STATEMENT - EXEMPTION APPLICATIONS While processing the exemption application by the RPFC-in-Charge of the regions, a comparative .•. statement in the prescribed format be prepared on the basis of the information! Pension Scheme furnished by the establishment. It should also be ensured that Evaluation of the comparative statement in Annexure 'E' submitted by the establishment duly certified by their Actuary is got verified as to its correctness and specific comments against each such benefit parameter should be furnished in the comparative statement The comparative statement compiled and finalised on the above lines be submitted, in addition to Annexure, 'E', while forwarding exemption application to Central Office. On being satisfied with the proposal submitted by the establishment and found to be in order regard to submission of requisite documents/details as required under Para 39 of Employees' Scheme, 1995, the proposal be submitted in triplicate with all the prescribed supporting documents': annexures completed in all respects duly authenticated with the specific recommendations of the for scrutiny and further processing of the matter at Central Office. [C.P.F.C.'s circular No:PensionlGenIlActuarylExeml97, dated 1211A1ugust, 1997.] DISPOSAL OF EXEMPTION APPLICATION - TIME FRAME OF SIX MONTHS Para 39 provides, inter alia, that Exemption Application shall be disposed of within a period 6 months from the dateofiJu~t or Sllch further time, that may be extended for reasons to recorded 'in writing. In case the, Exemption Application is not disposed of within the specified the exemption applied for shall be deemed to have been granted. Explanation under para 39 clarifies the period of 6 months will count from the date on which the application for exemption is given complete form to the satisfaction of the Regional Provident Fund Commissioner. In view of provisions, it is expected that 'Exemption applications' are scrutinised and disposed of appropriately 'Top Most Priority'. [C.P.F.C.'s circular No:PensionlGenllExemlActuaryI195, dated 25'- July, 1996.J
- 59. ed >er ete tsl he .or D D COMPUTERISED EMPLOYEES' PENSION SYSTEM ~ __ 0_ •• _- __ 0 ___ . __ . ____ __ .. _- " ~ 0 D
- 60. COMPUTERISED EMPLOYEES' PENSIONSYSTEM On introduction of the Employees' Pension Scheme, 1995, it was felt that it would not be easy to deal with a large number of covered establishments; members and the beneficiaries. Manual processing of collection and compilation of data about the beneficiaries and their family members is virtually impossible. It was, therefore, felt that the entire operation starting with coverage of the establishments, enrolment of the members, processing of the applications for settlement of pension, issue of pension payment order, handling of the PPO in the banks/post offices and final disbursement of pension would require computerisation so that the operation would be smooth, authentic, accurate, uptodate and credible. Keeping this objective in view a system software package was conceptualised with the help of Consultant Actuary and the officers of the NIC LISD. An appropriate software was designed and tilt; illiiiai programme upto the stage ot generating Pension Payment Orders was put to use. Later, the programme was enlarged with other work areas and the modified/enlarged versions released to make it more useful. By now the Organisation has developed 8 sub-programmes and all the sub-programmes are being used. These sub- programmes are as under:- 1. Creation of a master record for all existin2 members in the required format. Input: a) Form-9, Form-2 b) Form-5, Form-lO c) Form-3(PS), Form 4(PS), Form 5(PS) Output: Check list for the details of member and his family in regard to Provident Fund Scheme and Pension Scheme. 2. Details of all existin2 pensioners Input: a) Capturing the details of manually prepared PPOs b) Updation of PPO details on processing the Monthly Pension Claim through the programme. Output: PPO Format. 3. A calculation proeram to compute individual pensions and a print out of Pension Payment Order. Input: a) Form-l0D - -._--.------- b) Form-lOC "- Output: a) Worksheet b) PPO c) Scheme Certificate d) Worksheet for Withdrawal benefit. 51
- 61. 4. Updating ofindividual pension accounts with their aggregations as to estts. Regions and general consolidations Input: a) Form-3A (Un-exempted Estts.) - Capturing the Pension Fund Contribution; and b) Form-7(PS) (Exempted Estts.) - NCP days Output: a) Form-24 : Aggregate of Pension Fund Contribution and NCP days b) Form-23: Indicating the aggregate NCP days to the member concerned. 5. Provision of MIS with reference to data on pensioners and pension payments Input: a) MEM Module details b) PPO details Output: a) MIS reports on member and his family b) MIS reports on pensioners and pension payment. 6. Reconciliation of Bank Accounts and to issue letters to pensioners not receiving pension. Input: PPO database, Pension relief directory, Bank branches code directory. Output: a) b) c) d) Monthly statements paying branch-wise Summary statement for the Link Branch Updation of Life Certificate, Non-remarriage Certificate, Death Certificate, etc. Updation of confirmation of date of credit of Pension Amount. 7. Monthly Print out of Controls/Audit Inputs This is meant for exercising certain audit checks on the database available in the program. a) Data Audit Check b) Stock Data Check c) .Salary Check" ..--..-... -, d) Lock Out Check e) Completeness Check .t) Contribution Check 52 I
- 62. 8. Printout ofActuarial valuation data on a concurrent basis Actuary developed this for the valuation of Pension Fund on Annual basis. It contains capturing of :- a) EPM Records b) EPP Records c) EPE Records d) Processing of the data to be furnished to Actuary for conducting the Actuarial work. The above-mentioned 8 sub-programmes have been developed with the help of NIC LISD. The <toovementioned software programmes have been duly inter-linked and integrated with CAMPS 1995, CRAS and put into operation in all the field offices. An operational & user manual for all the above mentioned sub-programmes, under CEPS has also been prepared and circulated to all the field offices separately vide circular letter No:Pension-I17(2)/98/CEPS/Vol.I, dated 6.8.1999. -, 53
- 63. D -- --D ARRANGEMENT FOR. DISBURSEMENT OF PENSION ~--------- .- ._- - - ~~ ~ D D
- 64. ARRANGEMENT FOR DISBURSEMENTOF PENSION In order to ensure that the pensioners under the Employees' Pension Scheme, 1995 receive their pension promptly and also aiming at a trouble free service to them, the Employees' Provident Fund Organisation, by virtue of the provisions of Para 33 of the Employees' Pension Scheme, 1995, finalised an arrangement in consultation with Indian Banks' Association and Department of Banking, with the State Bank of India and other Nationalised Banks. Accordingly, the Regional Provident Fund Commis-sioners are authorized to enter into an agreement with one or more banks having wider network of branches located throughout the Region. LIST OF BANKS DESIGNATED AS DISBURSTN~ Al:F.NrV A Region-wise list of Nationalised Banks with whom agreement has been entered into for disbursement of Pension to the beneficiaries under Employees' Pension Scheme, 1995 and also to Pensioners under the erstwhile Employees' Family Pension Scheme, 1971 is as under: NATIONALISED BANKS AS ON 10.01.2001 S.No NAME OF THE REGION NAME OF THE DESIGNATED BANK 1. Andhra Pradesh 1) AndhraBank 2) State Bank of India 3) Syndicate Bank 4) Indian Bank •..,.. Bihar 1) Punjab National Bank 2) State Bank of India 3) Bank of India 3. Delhi 1) Punjab National Bank 2) State Bank of India 3) Indian Bank 4. Gujarat 1) DenaBank -2) State Bank of India -, 3) Indian Bank 5. Haryana 1) Punjab National Bank 2) State Bank of India 6. Himachal Pradesh 1) Punjab National Bank 2) State Bank of India 54
- 65. 7. Kerala 1)Canara Bank 2) State Bank of India 3) Syndicate Bank 4) Indian Bank 8. Karnataka 1) Canara Bank 2) Syndicate Bank 3) State Bank of India 4) State Bank of Mysore 9. Maharashtra 1) Bank of India 2) Punjab National Bank 3) State Bank of India 10. Madhya Pradesh 1) Punjab National Bank 2) State Bank of India 11. North East Region 1) Punjab National Bank 2) State Bank of India 12. Orissa i) Bank of India 2) State Bank of India 3) UCO Bank 13. Punjab 1) Punjab National Bank 2) State Bank of India 14. Rajasthan 1) S.B of Bikaner &Jaipur. 2) Punjab National Bank 15. Tamil Nadu 1) Indian Bank 2) State Bank of India 3) Indian Overseas Bank 16. UUar Pradesh 1) Punjab National Bank 2) State Bank of India 17. West Bengal 1) Punjab National Bank 2) United Bank of India 3) State Bank of India (for North Bengal only) 55 - PENSION PAYMENT ORDER The Pension Payment Order (PPQ) is generated through Computer in the Regional/Sub-Regional Office of the Employees' Provident Fund Organisation. A specimen of the PPO is given in the 'Forms & Returns' chapter at the end of' this Handbook. The PPO contains two portions, viz., - Pen portion and Disburser's portion. The Pensioner's portion of the PPO will be given to the pensioner by the disbursing bank through its paying Branch. The Disburser's portion will be retained in the safe custody of the paying Branch.
- 66. The PPO willindicate the details of persons eligible to draw pension, the quantum of pension payable and the period upto which payable. The joint photograph of the pensioner alongwith his spouse will be affixed in the PPO. On death of the pensioner drawing his life pension, the pension will be passed on to the widow/widower and to the children (upto two children at a time, upto the age of 25 years) as specified in the PPO, through a separate Savings BankAccount opened by each of the widow/ widowerlchildren including minor children. Wherever the Children Pension is payable to a person who is a major/minor, a separate Savings Bank Account may be opened duly obtaining the photograph (in duplicate). In the case of minor children the photograph of the guardian who operates the account in the name of minor should be obtained. MODE OF CREDITING PENSION Payment of Pension (including family pensions) will be automatic and no bill will be required to be submitted. The amount of monthly pension, including relief, on annual evaluation of pension fund, sanc-tioned by the Employees' Provident Fund Organisation from time to time, will be credited by the Paying Branch selected by the pensioner, to his or her individual Savings Account already opened or to be opened with that branch. Payment of Pension in cash or through a 'joint' account with or without 'either or survivor' facility is not permitted in the Scheme. The account cannot also be allowed to be operated by a holder of power of attorney. However, the facility of allowing cheque books and acceptance of standing instructions for transfer of funds from the account is admissible as per instructions of Reserve Bank of India as applicable to Central Civil Pensioners. The widow/widower/major/minor children (by the guardian) are required to open a separate Bank account for each person to draw their pension. FIRST PENSION (FRESH PPOS) In order to make prompt payment to the pensioners, fresh PPOs are sent to the Link Branch of the desired Paying Branch on weekly basis. On receipt of the PPOs from the EPFO, the Link Branch forwards the PPOs to the concerned paying branches under its jurisdiction within three days. The following procedure is adopted for making first time pension to the new pensioners:- (a) On receipt of the PPO, the Paying branch will address the pensioner through a letter advising him/her to appear at the branch alongwith the documents mentioned therein for the purpose of identification. (b) In the case of physically handicapped pensioner, who is unable to present himselflherself at the paying branch, the requirement of personal appearance shall be waived. Instead, the Bank rep resentative authorized in this behalf, may visit the pensioner's residencelhospital for the purpose of identification and obtain specimen signatures etc. (c) Before commencement of pension, the paying branch shall obtain specimen signatures or the thumb impression as the case may be, in the space provided for the purpose in the disburser's portion of the PPO and handover the pensioner's portion of the PPO to him/her after proper identification and obtain acknowledgement. 56
- 67. (d) The payingbranch shall obtain an undertaking from the pensioner that excess payment, if any, credited to him/her account, shall be recovered by the Bank. (e) On the first appearance of a pensioner at the paying branch, the designated Officer of the Branch will satisfy himself about the identification of a pensioner by ensuring that:- (i) the personal identification marks, if any, on the face or/and hand of the pensioner given in the disburser's portion of the PPO have been checked. (ii) The pensioner has produced hislher personal copy of the intimation received directly from the authority issuing the PPO or any other documentary proof establishing his/her identity as pensioner. (iii) The pensioner bears a close resemblance with the photograph as affixed on the disburser's portion of the PPO. (iv) The pensioner's specimen signatures or thumb and fingers/great toe impressions, as the case may be, to be obtained by him in the space provided for the purpose in the disburser's portion of the PPO agree with the attested signatures or thumb/and fingers/ great toe impressions received with the PPO; and (t) The personal identification of the pensioner as prescribed in the preceding paragraphs, will be only for the first payment of pension at the paying branch. DUE DATE FOR PAYMENT OF PENSION Pension fixed at monthly rates are payable every month by way of credit to the pensioners' S.B. account on an appointed date between 1SI and 5th of the month to which the pension relates. CERTIFICATES TO BE FURNISHED BY THE PENSIONERS (i) LIFE CERTIFICATE The pensioner would be required to furnish a life certificate in November each year in the pre-scribed form given in the 'Forms & Returns' Section at the end of this Handbook: (ii) ·NON·REMARRIAGE CERTIFICATE In the case 'of widow/widower recipient family pension, the certificate of non-remarriage in the-prescribed form is required to be furnished by the recipient, at yearly intervals i.e. in November. Prescribed form is given in the 'Forms & Returns' Section at the end of this Handbook. The certificates mentioned above are required to be submitted by the concerned pensioner to the Paying Branch and the Paying Branch will retain it with the Pension Payment Order concerned and send a list of the certificates so received to the concerned Regional Office/Sub-Regional Office of the Employees' Provident Fund Organisation. 57
- 68. TRANSFER OF PENSIONPAYMENT FROM ONE BRANCHlBANK TO ANOTH;ER Applications for transfer of pension may fall under any of the followirig categories-e d II (i) tu) Transfer from the Paying Branch to another Branch falling within the same Link Branch. Transfer from one Link Branch jurisdiction to another of the same Bank (such transfers to be allowed only once in a financial year); and (Ui) Transfer from one Bank to another Bank at same or different station. Request falling under category (i) may be entertained by the Link Branch itself. In cases falling under categories (ii) and (iii) above, the pensioner shall be required to return the own half of the PPO to the Paying branch. The Paying Branch through its Link Branch would return both the portions of the PPO to Regional/Sub-Regional Office concerned. The ROISRO of the EPFO will then forward the PPO with appropriate endorsement thereon, to the new Link Branch for payment of pensions through the desired Paying Branch, under intimation to the pensioner, duly observing the laid down procedure. 58
- 69. D D "- - - --_.- ....*-'.--......-. ---- . . GUIDELINES FOR EXEMPTION - - -- - D 0
- 70. GUIDELINES FOR GRANTOF EXEMPTION UNDER EPS, 1995 Statutory Provision regarding grant of exemption Section 17 (I-C) provides that the appropriate Government may, by notification in the Official Gazette, and subject to the condition on the pattern of investment of pension fund and such other conditions as may be specified therein, exempt any establishment or class of establishments from the operation of Pension Scheme if the employees of such establishment or class of establishments are either members of any other pension scheme or proposed to be members of such pension scheme, where the pensionary benefits are at par or more favourable than the Pension Scheme under the Act. Para 39 of the Employees' Pension Scheme, 1995 further provides for gram of exemption rrom the operation of the Statutory Scheme if the employees are either members of any other Pension Scheme or propose to be members of a Pension Scheme wherein the Pensionary benefits are at par or more favourable than the benefits provided under the Statutory Scheme. . The employer of the concerned establishments seeking exemption need to submit the exemption together with Pension Scheme of the establishments and other prescribed document to the Regional Provident Fund Commissioner-in-charge of the Sub-RegionallRegional Office under whose ju-risdiction the establishment is covered under the EPF & MP Act, 1952. The RPFC is required to scrutinize .the application in the prescribed manner and submit it to the CPFC. On being satisfied that the pension-lIlY benefits provided in the establishment pension scheme are at par or more favourable than the benefits provided under the statutory scheme and also other terms and condition governing grant of exemption aTe fulfilled, the CPFC shall forward the exemption proposal alongwith his recommendations to the ap-propriate Government for decision. The appropriate Govt. shall issue a notification granting exemption or otherwise issue an appropriate order rejecting the exemption application, as the case may be. Accordingly, request for Exemption will be entertainable both in the event, the establishment is baving any existing scheme or going in for any New Scheme with comparable benefit parameters. There-fore. in scrutinizing and comparing the establishments scheme provisions, stress need to be given to comparing the provisions relating to coverage, eligibility, entitlement and benefit quantum of pension pimarily. Funding and other modalities may not be the relevant and perhaps would be taken care of by obtaining Actuarial Certificate about economic viability of the scheme in the long run. Comparison p!u1UIIle(fm~ray thus suffice as above. The other miscellaneous s;riteria, which need be ensured, could be as under: The employer shall establish a Board of Trustees for the management of the Pension Fund fol-lowing the directions as may be given by the Central Provident Fund Commissioner or by the appropriate Government, as the case may be, from time to time. The Pension Fund shall vest in the Board of Trustees who will be responsible for and accountable to the Employees' Provident Fund Organisation, inter-alia for proper accounting of the receipts into and payment from the Pension Fund and the balances in their custody. 59
- 71. 3. 4. TheBoard of Trustees shall meet atleast once in every 3 months and shall function in with the guidelines that may be issued from time to time by the appropriate Go Provident Fund Commissioner or any other officer authorized by him. The accounts of the Pension fund maintained by the Board of Trustees shall be subject to by a qualified independent Chartered Accountant annually. Where considered necessary, the tral Provident Fund Commissioner shall have the right to have the accounts re-audited by other qualified auditor and the expenses so incurred shall be borne by the employer. 5. A copy of the audited annual Pension fund accounts together with the audited balance sheet the establishment for each accounting year shall be submitted to the Regional Provident Commissioner within 6 months after the close of the financial year. For this purpose, the U"'Ull"la year of the pension fund shall be I" April - 31st March. 6. The employer shall transfer to the Board of Trustees the contribution payable to the PPt1'C!'n1 Fund by the 15th of each month following the month for which the contribution is payable. employer shall be liable to pay damages for any delay in transfer of the funds to the Board Trustees. .,,. The Board of Trustees shall invest the monies in the Pension Fund as per the directions that be given by the Government/Central Provident Fund Commissioner from time to time. The curities shall be obtained in the name of Board of Trustees and shall be kept in the custody a scheduled bank under the control of the Reserve Bank of India. 8. Failure to make investment as per directions of the Government shall make the Board of severally and jointly liable to surcharge that may be imposed by the Central Provident Commissioner or any other officers authorized by him. 9. The Board of Trustees shall maintain scrip wise register and ensure timely realization of 10. The Board of Trustees shall maintain detailed accounts to show the Pension contributions ceived, Pension amount disbursed and interest received on the Pension Fund. 11. The Board of Trustees may issue pass books showing their Pension fund accretion to employee. T~ss-books shall-remain in the custody of employees arid will be brought date by the Board on presentation of the employees. 12. The employer shall make good any loss that may be caused to the Pension fund due to burglary, defalcation, mis-appropriation or any other reason.. 13. The employer as well as the Board of Trustees shall submit such returns that may be on:~SCI1~ by the Regional Provident Fund Commissioner/Central Provident Fund Commissi ate Government from time to time. 60
- 72. it n-ly 15. 16. of [ld Notwithstanding anything contained in the Pension Fund of the establishment, if on the.cessation of any individual from the membership of the Provident Fund consequent on retiring from service or on taking up the employment in some other establishment, if is found that the benefits under Provident Fund rules of the establishment are less favourable as compared to those under the Statutory Scheme, the difference shall be borne by tlre employer, The employer shall bear all the expenses of the administration of the Pension Fund including the maintenance of accounts, submission of returns etc. The employer shall display on the Notice Board of the establishment, a copy of the rules of the Pension fund as approved by the appropriate authority and as and when amended there to alongwith ::ttr::tn~hltinn nf th.,:, salient point thereof in the language of the majority of1he employ-ees. 17. The appropriate Government may lay down any further conditions for exemption of the estab-lishment from the operation of the statutory Scheme. 18. In the event of an employee who is already a member of the Pension Scheme (either in the· exempted or un-exempted establishment) is employed in his establishment, the employer shall immediately enroll him as a member of the Pension Scheme and arrange to have the accumula-tions in the Pension fund account of such employee with his previous employer transferred and credited to pension fund account. 19. All categories of employees should stand covered either under the same scheme or different scheme/schemes of the establishment irrespective of nature of employment namely permanent! temporarylcasual!contract employees etc. 20. Comparative statement of benefits should be prepared and submitted indicating corresponding position about pensionary benefits and other items. 21. Consent of the majority of the employees of the establishment in favour of establishment scheme! schemes should be furnished. 22. Actuarial certificate endorsing the financial viability and economic sustenance of the scheme! schemes in the long run should be furnished. 23. Employer should undertake either to provide or bear the cost for extending managerial and fi-nancial experti-se to thePenslon "Fund Trust. - .. , 24. Income Tax and other statutory recognition required for operating Pension Fund be obtained and furnished. 25. The exemption will be liable to be cancelled for violation of any of the above conditions. [C.P.F.C.'s circular letter No. PensionIPIC/6tb Meeting dated 14tb June, 1996) 61
- 73. MODALITIES OF EXEMPTION 1. As per provisions of para 39 of Employees' Pension Scheme, 1995, as amended through tification dated 28.2.96, 'Exemption Application' is required to be presented by the establi ment to the Regional Provident Fund Commissioner having jurisdiction over the together with a copy of the Pension Scheme of the establishment and other relevant documents! The Regional Provident Fund Commissioner is required to scrutinize and obtain the recommen,i dations of the Central Provident Fund Commissioner and submit the same to appropriate ernment for decision. 2. "Pc:th 39 further provides that 'Exemption Application' shall be disposed of within a oeriod 6 months from the date of its receipt or such further time that may be extended for reasons be recorded in writing. In case the 'Exemption Application' is not disposed of within the fied period, the exemption applied for shall be deemed to have been granted. An explanation been provided under para 39 through which it has been clarified that the period of 6 months count from the date on which the application for exemption is given in complete form to satisfaction of the Regional Provident Fund Commissioner. 3. Certain employer are addressing the 'Exemption Application' to the Central Provident Fund missioner, where as some employers are presenting their applications to the Regional Fund Commissioner concerned. Keeping in view the provision of para 39 any 'Exemption plication' received directly in Central Office will be forwarded to the Regional Provident Commissioner concerned to scritinize the same and take appropriate action in accordance the provision of para 39 of the Scheme. To facilitate scrutiny of 'Exemption Application', lines were circulated vide Central Office Circular No. PensionlPIC/Vith Meeting/2782 14.6.96. 4. Besides, modalities for grant of exemption as suggested by the Actuary are given hereunder further guidelines: - A. In case of Existing Pension Fund the exemption procedure will be as follows: i) Establishment will provide Income Tax approved Trust Deed and Trust Rules of the which shall contain all the provisions of Annexure 'A'. ii) Consequent of the majority of employees of the establishment in favour of creating empted Pension Fund in Annexure 'B'. iii) - Confirmation by Employer-that-all categories of Employees associated with the -estaOlll ment are covered in Annexure 'D'. iv) Declaration by the Trustee that the investment has been made as per approved format 62 investment. v) Actuary of the fund will sign: (a) Annexure 'E' confirming that benefit of the scheme is at least at par with of EPS Scheme.
- 74. (b) Annexure 'F'confirming solvency and adequacy of fund. vi) Establishment agrees to submit by 30th September of every year: (a) Account of the fund audited by a Chartered Accountant. (0) Annual Actuarial Valuation of the fund by an Actuary. (c) Confirmation by Trustees that investment of the fund is as per format. (d) Benefits paid to employees in no case was less than that available under EPS, 95. [C.P.F.C.'s circular letter No. PensionlGenllExemlAduary/95 dated 25th July, 1996] 63
- 75. ANNEXURE' A' PROVISIONSTO BE CONTAINED BY EXEMPTED PE~SION FUNDS Trust Deed and Trust Rules should contain the following:_ 1. The Employer shall establish a Board of Trustees for the management of the Pension Fund fol-lowing the directions as may be given by the Central Provident Fund Commissioner or by the appropriate Government as the case may be from time to time. Such Board of Trustees shall have atleast one employee representative. 2. The Pension Fund shall vest in the Board of Trustees who will be responsible for and accountable to the Employees' Provident Fund Organisation, inter-alia, for proper accounting of the receipts into and payment from the Pension Fund and the balance in their custody. 3. The Board of Trustees shall meet atleast once in every 3 months and shall function in accordance with the guidelines that may be issued from time to time by the appropriate Government/Central Provident Fund Commissioner or any other officer authorized by him. 4. The accounts of the Pension Fund maintained by the Board of Trustees shall be subject to audit by a qualified independent Chartered Accountant annually. Where considered necessary, the Cen-tral Provident Fund Commissioner shall have the right to have the accounts re-audited by any other qualified auditor and the expenses so incurred shall be borne by the Employer. 5. A copy of the audited Pension Fund accounts together with the audited balance sheet of the establishment for each accounting year shall be submitted to the Regional Provident Fund Com-missioner within 6 months after the close of the financial year. For this purpose, the financial year of the Pension Fund shall be 1SI April to 31SI March. 6. The employer shall transfer to the Board of Trustees the contribution payable to the Pensi Fund by the 151h of each month for which the contribution is payable. The employer shall liable to pay damages for any delay in the transfer of funds to the Board of Trustees. 7. The Board of Trustees shall invest the monies in the Pension Fund as per the directions that be given by the Government/Central Provident Fund Commissioner from time to time. The curities shall be obtained in the name of the Board of Trustees and shall be kept in the cusroav of a scheduled Bank under the control of the Reserve Bank of India. 8. Failure to make investment as per directions of the Government shall make the Board of Trllldfloj~ severally and jointly liable to surcharge that may be imposed by the Central Provident Commissioner or any other officer authorized by him. 9. The Board of Trustees shall maintain scrip wise register and ensure timely realization of interest 1o. The Board of Trustees shall maintain detailed accounts to show the Pension contributions ceived, pension amount disbursed and interest received on the Pension Fund. 64
- 76. :ar on be lay se-ldy ees .md -est, re- 11. The Board of Trustees may issue pass books showing their Pension Fund accretion to every employee. These pass books shall remain in the custody of employees and will be brought upto date by the Board on presentation of the employees. 12. The employer shall make good any loss that may be caused to the Pension Fund due to theft, burglary, defalcation, mis-appropriation or any other reason. 13. The employer as well as the Board of Trustees shall submit such returns that may be prescribed by the Regional Provident Fund Commissioner/Central Provident Fund Commissioner/ Appropri-ate Government from time to time. 14. Notwithstanding anything contained in the Pension fund rules of the establishment, if on the ces-sation of any individual from the membership of the Pension Fund consequent on retiring from service or on taking up the employment in some other establishment, it is found that the benefits under Pension Fund rules of the establishment are less favourable as compared to those under the Statutory Scheme, the difference shall be borne by the employer. 15. The employer shall bear all the expenses of the administration of the Pension Fund including the maintenance of accounts, submission of returns etc. 16. The employer shall display on the Notice Board of the establishment, a copy of the rules of the Pension Fund as approved by the appropriate authority and as and when amended thereto alongwith a translation of the salient point thereof in the language of the majority of the employ-ees. 17. The appropriate Government may lay down any further conditions for exemption of the estab-lishment from the operation of the statutory scheme. 18. In the event an employee who is already a member of the Pension Scheme (either in exempted or in Unexempted establishment) is employed inhis establishment, the employer shall immediately enroIl him as a member of Pension Scheme and arrange to have the accumulations in the Pension fund account of such employee with his previous employer transferred and credited to Pension fund Account. 19. Employer should undertake either to provide or bear the cost for extending managerial and fi-nancial expertise-to t~e Pension Fund Tr~t. '. , 20. Income Tax and other statutory recognition required for operating Pension Fund be obtained and furnished. 21. The exemption will be liable to be cancelled for violation of any of the above conditions. 65
- 77. ANNEXURE 'B' Theestablishment i.e. Has advised that they have created an Exempted pension fund at par with that of EPS, 1995. We, the following undersigned, have opted in favour of this Exempted Pension fund. Names Signatures 66
- 78. ANNEXURE 'C' We, The duly Constituted Attorneys of Do hereby confirm: 1. All permanent employees of this company have been covered under this scheme. 2. All Temporary employees of this Company have been covered under this scheme. 3. All Casual employees of this Company have been covered under this Scheme. 4. All Seasonal employees of this Company have been covered under this scheme. 5. All Contractor's Labour have not been covered under this Scheme: 6. The following employees have not been covered under this scheme. Signed ANNEXURE'D' We, the Trustees of _ Employees' Pension Scheme, do hereby confirm that all the investments of the Fund during the Financial Year ending has been made as per approved format of investments. No securities have been sold at a loss to the Fund/any loss on sale of securities has been reimbursed by the Company. Signature Trustees 67
- 79. SCHEDULE 'E' EVALUATIONOF VIS-A.-VIS EMPLOYEES' PENSION SCHEME (STATE SCHEME) CRITERION STATE SCHEME 1. Contribution 9.112% of wage 2. Retirement Age 58 3. Members Pension 4. Minimum Pension 5. Maximum Pension 6. Death in Service 1170 x Salary x Service Rs.588 p.a. 60% of Salary Widow Pension Mans Pension Children's Pension = 25% of Widow Pension Orphan Pension =75% of Widow Pension Widow = 50% of Man's pension Children=25% of Widow Pension Orphans=75% of Widow Pension Pension to Nominee after Retirement 7. Death after Retirement 8. Bachelors Pension 9. Pension Options Pension for life 90% of original pension for life. 100 times original pension on death of pensioner. 10. Pension increase On every Actuarial Valuation -. _. -- ----~ Conclusion: 68
- 80. .,,.",' . .'~" - , i] ANNEXURE 'F' Actuary's certificate includes following items: L Liability of the Fund as at 31'1 March of that year. 2. Asset of the Fund as at 31 st March of that year. 3. Contri bution to the Fund as at 315 March of that year. 4. Solvency of the Fund on long term basis. 5. Adequacy of the Fund to meet the liability as and when it arises i.e. no cash-flow problem. 69
- 81. ANNEXURE 'G' Certificateof the establishment for furnishing the annual accounts/actuarial valuation, etc. I hereby undertake to furnish the following documents/certificates by 30111 September of every year to the Regional Provident Fund Commissioner in respect of the Pension Fund formulated for the employees of Mls . (a) Audited accounts of the Pension Fund by a Chartered Accountant; (c) Confirmation by the Trustees that investment of the Fund is as per the pattern; and (d) Certificate confirming that the benefits paid to the employees in no case was less than that available under Employees' Pension Scheme, 1995. Signature . Name and Designation . Official Seal of the establishment . 70
- 82. COMPARISON OF ESTT.PENSIONSCHEME VIs-A.-VIS EMPLOYEES PENSION SCHEME 1995 [Refer S.No. 3 below Para 39 - Clarifications] S. CRITERION STATUIURY ESTABLISH- CONCLUSION COMMENTSI No SCHEME MENT PENSION AT PAR! RECOMMEND· EPS 1995 SCHEME SUPERIOR! ATIONS OF (Quote Rule No. INFERIOR RPFC (IN also) CHARGE OF REGION) 1 2 3 4 5 6 1. MEMBERSHIP (i) Every employee of the Establishment contributing to EPF Scheme' 1952 and FPF Scheme' 1971. (ii) All new entrants joining the establishment w.e.f 16.11.95. (para 6) (iii) All the categories of employees including temporary, casual employees engaged by or through contractor. 2. CON1RIBUTlON (i) 8.33% of Employer Share. (ii) 1.16% of wages as Govt. Share. 3. MONTHLY a) Superannuation pension MEMBERS On completion of eligible PENSION service of 20 years and on attaining the age of 58 years b) Retirement Pension On Completion of eligible serv ice of 20 years and on retirement before attaining the age of 58 years. c) Short Service Pension On completion of eligible service of 10 years or more but less that --:-20-yeifrs.LPafiC12 (1) (dJJ. -, d) Eligible Service: 10 years e) Superannuation Age: 58 yrs 4. PERMANENT One month's Contribution to the TOTAL pension fund is required. DISABLEMENT (Para 15) PENSION 71
- 83. 5. BENEFITS OF(a) Refund of contribution as Per LEAVING Table 'D' for the Service less SERVICE than 10 years. (Para 14) BEFORE (b) Alternatively, Member can BECOMING obtain scheme certificate ELIGIBLE FOR retaining the services for MONTHLY Futurepensionl Family Pension MEMBERS Benefits (Para 12(8). PENSION 6. PENSION 1170 X Pensionable Salary X FORMULA Pensionable Service (i.e. PS X PSX .0143) (Para 12(2) 7. PENSIONABLE (a) Contributory Service SERVICE (b) Can go up to maximum of 40 years (c) 2 Years bonus weightage after completion of 20 years (Para 10). 8. ROUNDING UP 6 months and above will be OF PENSION- deemed as full year, less than 6 ABLE SERVICE months will be ignored. (Para 9). 9. PENSIONABLE 12 Months average preceding to SALARY the date of exit. (Para 11) COMMUTATION 1/3rd of pension can be commuted on or after 15.11.98 (Para 12 A). 1l. OPTION FOR (a) Three options available for RETURN OF reduced pension. CAPITAL JQQ/99 times of the original pension as return of capital , as per the option exercised, (Para 13). 12. NOMINEE Pension to Nominee in the case PENSION of death of Bachelor/Spinster. [Para 16(5)(a)]. 72
- 84. '.~ "IT. FAMILY(a) Death while in service with PENSION one month contribution (b) Death away from service while holding Scheme Certificate. - - ., (c) Death as Pensioner. I (Para 16) 14. CHILDREN/ (a) Provision for payment of ORPHAN Pension at the rate of 25% of PENSION widow pension to two eligible children upto the Age of 25 yrs. aiongwitn WIQOW Pension. (b) If the parents are not alive, 75% of Widow Pension to each orphan will be paid for two orphans concurrently, up i to the age of 25 years.(Para 16) 15. ACTUARIAL Provision for Annual VALUATION Valuation exists. (Para 32) b) Whether any provision exit in , the Estt. pension scheme for providing future amendments/ - additional relief being brought under EPS 95. 16 INVESTMENT As per the pattern of investment - OF THE notified by Central Government PENSION FUND under Section 17 (f-C) '; 17. BENEFIT Disbursement of pension and " - .~ DELIVERY other benefits is arranged through SYSTEM disbursing agencies like 1 nationalised Banks or Post j Offices. i .- - i. 18. GENERAL OBSERVATION - CONTROLLER OF PENSION R.P.F.C. (IN-CHARGE OF REGION) - . 73 ., .<.~;.
- 85. D D IFORMS . & RETURNS •• • •.• ~~ .• _,__ __,. _. 0. __ - __ '---_._-, - . ' I 0 D
- 86. INDEX Returns tobe submitted Page by Employers Purpose No. 1 Form 9 (Revised) Initial return of Employees who are entitled and required to become members of the Employees' Provident Fund and Pension Fund - one time. 75 2 Form 5 - A Return of Ownership - Initial-one time. 77 3 Form No. 5 Return of Employees qualifying for membership of the Employees' Provident Fund for the first time during the month - monthly. 79 4 Form No. 10 Return of the members leaving service during the month - monthly. 80 5 Form No. 12 - A Statement of Contribution for the month - monthly. 81 6 Form No. 3 (1'3) Consolidated return of employees who are entitled and required to become members of the pension Fund on the date the Pension Scheme comes into force - for exempted establishments-Initial-one time 82 7 Form No. 4 (PS) Return of employees entitled for membership of the Pension Fund during the month-for exempted establishments - Annual. 83 8 Form No. 5 (PS) Return of Members Leaving Service during the month-for exempted establishments - monthly. 84 9 Form No. 6 (PS) Statement of contribution for the month-for exempted establishments-monthly. 85 10 Form No. 7 (PS) Contribution card for members for the year-for exempted establishments-Annual. 86 11 Form No. 8 (PS) Annual Statement of Contribution-for exempted estrt-Annual option to become member of the EPS,95 87 Forms Used By Members/Pensioners 12 Form 1 (EPS) Option Form to become member of E.F.P.S., 19711E.P.S., 1995. 88 13 Form 2 {Revised} Declaration and Nomination Form. 90 14 Form 11 (Revised) Declaration by a person taking up employment in an establishment in which the Fmployees' Provident Funds & Family Pension Fund Scheme enforce. 92 15 Form No. 9 (PS) Declaration by a person taking up employment in which the Employees' Pension Scheme is in force [establishments exempted from Employees' Provident Fund Scheme, 1952] 93 16 Form lOC For claiming Withdrawal Benefit/Scheme Certificate 94 17 Form 10D For claiming Monthly Pension by member himself/family 101 18 Proforma For making reference to Medical Board of Central/State Govt./ESIC (Annexure I)·· -Hospital under Para 15(3) of Employees' Pension Scheme, 1995 llZ 19 Proforma To be completed by the Medical Board on examining the disabled (Annexure 11) Member 114 (Life Certificate/Non To be submitted by the Pensioner in the month of November each Remarriage Certificate year 116 Forms used by EPFO 21 Pension Payment Order Il7 22 Scheme Certificate 126 74 ...".
- 87. FORM - 9(Revised) THE EMPLOYEES' PROVIDENT FUND SCHEME, 1952 [PARA 36(1)] and THE EMPLOYEES' PENSION SCHEME, 1995 [PARA 20] RETURN OF EMPLOYEES WHO ARE ENTITLED AND REQUIRED TO BECOME MEMBERS OF THE EMPLOYEES' PRO'.'IDENT FUND AND PEN-SION FUND. NAME AND ADDRESS OF THE FACTORYIESTT . CODE NO . INDUSTRY IN WHICH THE FACTORY IESTT. IS ENGAGED -n. A'T'T:' AT:' roA't Tnn AroD •••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••• ~.l. 1..1. ~ '--'.I.. .••...".-.J.. ' .&.....I..1.'..ra.'-'...&....I •••••.•••••••••••••••••••••••••••••••.•••••••••.•.••••••••••••••••••••••••••••••••.•••.•.••• REGN. NO. OF THE FACTORYIESTABLISHMENT . If factorylEstt. is covered under E.S.1. Act, indicate the code No. allotted under E.S.1. E.S.I. Code No . Specimen Signature of the Employer or authorlzed Official: Sr. No. Name . Designation Specimen Signature 1 . 2 . 3 . 4 . (Attach a specimen signature card supplied) REMARKS, IF ANY: NOTE: (1) This Form should be accompanied by declaration in Form-2 byevery employee. (2) Any change in the authorized official/designated Medical Officer should be inti-. mated mtlRfCottrtnissioner. No. of Employees enrolled as Members on the date of coverage. Signature of the employer or other Authorized Officer. Date and stamp of FactorylEstt .. 75
- 88. Folio No ,. CODE NO. S. Account Name Father's Date Sex. Date of Total Machine! Initials Date Remarks No. number of the name (or of eligibi- period of EDPNo. ofS.S. and and empl- husbands birth lityof previous of Ledger reason initials on oyee (in name in .. memb- service Card of settlement block the case ership (excluding opened leaving D.C.S.S., capital) of periods of service A.O., married breaks) as E.P.F., women) on the E.P.S. date of JJ.L.~. joining the Fund. (1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) I -. --.,---- --' _. ' Signature of the Employer 76
- 89. "FORM NO. 5-A" (FOR UNEXEMPTED ESTABLISHMENTS ONLY) THE EMPLOYEES' PROVIDENT FUNDS SCHEME, 1952 (See paragraph 36-A) THE EMPLOYEES' PENSION SCHEME, 1995 (See paragraph 21) THE EMPLOYEES' DEPOSIT LINKED INSURANCE SCHEME, 1976 (See paragraph 1) RETURN OF OWNERSHH? TO BE SENT TO THE REGIONAL COMMISSIONER 1. Name of the establishment . 2. Code number of the establishment under the Employees' Provident Funds and Miscellaneous Provisions Act, 1952 . 3. Postal address of the establishment and its branches/department, if any . 4. Industry or business in which engaged . 5. Date of firs commencement of production/business (Trial/regular) . 6. Date of closure by the Previous management '" . 7. Whether run by the owners or leaser (if by leaser, period of the lease should be indicated) 8. Particulars of owners : Name Age Status* Father's name Residential address Date from which in position. (a) (b) (c) (d) Ce) (f) (i) (ii) (iii) (iv) (v) (vi) * Whether proprietor, partner, Managing Partner, Managing Director, Director etc. 77
- 90. 9. If onlease, particulars of leaser: Name Age Father's name Residential address Date from which in position. (a) (b) (c) (d) (e) (i) (ii) (Ui) (iv) (v) (vi) 10. If registered under the Factcricc .'~~, ?u.~i.•:.!u•;:.3 0:- the ;"~dtl4gt;doccupier Name Age Father's name Residential address Date from which in sition (a) (b) (c) (d) (e) A. Occupier B. Manager 11. Particulars of the person mentioned above, who are in charge of, and responsible for, the conduct of, the business of the establishment. Name Age Father's name Residential address (a) (b) (c) (d) (i) (ii) (iii) (iv) (v) (vi) Signature of the employer Designation Dated . Seal of the establishment NOTE:- Any change in the information given above should be intimated in writing to the Re gional Commissioner within fifteen days of such change by registered post and in the prescribed manner. 78
- 91. FORM - 5 THE EMPLOYEES' PROVIDENT FUNDS SCHEME, 1952 [paragraph 36 (2) (a)] Return of Employees qualifying for membership of the Employees' Provident Fund for the first time dUring: the month of . [To be sent to the Commissioner with Form 2 (Revised)] Name and address of the FactorylEstt . Code Number of FactorylEstablishment . Date of (7) (8) S. Account Name of the Father,s Date of Sex No No. Employee in name (or Birth Block (capital) husband's name in case of married eligibility for membership (1) (2) (3) (4) (6) Remarks Date . No. of Form 2 enclosed: . (Also fill in Form No. 10-overletlfy---- Signature of the Employer or other authorized officer of the Factory/establishment Stamp of the Factory/establishment Indicate the followina: in the remarks; - 1. Previous Ale No. & Service particulars - with Form-Id (Revised). 2. The Scheme Certificate control no., if any, enclosing the certificate. 3. Details of Pension being drawn, if any, under EPS, 95. (Such member should be enrolled for PF & EDLI only). 4. Enclose Form-2 (Revised), giving nomination for PF & also for Pension by all members. 79
- 92. FORM -10 THEEMPLOYEES' PROVIDENT FUNDS SCHEME, 1952 [Paragraph 36 (2) (a) & (b)] Return of the members leaving service *during the month of . Name and address of the Factory/estt Code No . .C.'). Account Name of Father's name (or husband's Date of Reasons Remarks No. No member Name in case of married leaving for (in block woman) service. leaving letters) service 1 2 3 4 5 6 7 I Date . Signature of the Employer or other authorized officer Stamp of the FactorylEstt. *Please state whether the member is (a) retiring according to para (69) (1) (a) or (b) of the Scheme (b) leaving India for permanent settlement abroad or taking up employment abroad (c) retrenchment (d) dis-charged (e) resigning from or leaving service (f) taking up employment elsewhere (The name and address of the Employers should be stated) (Also fill in form no. 5 overleaf) Signature of the Employer Note:- A member who attained the age of 58 years Is ceased to be a member under the Employees Pension Scheme, 1995. He is eligible to avail the benefits under the EPS - 95. 80
- 93. FORM 12A (Revised) Only for exempted establishments EMPLOYEES' PROVIDENT FUNDS SCHEME, 1952 EMPLOYEES' PENSION SCHEME (PARAGRAPH 20(4)- EMPLOYEES DEPOSIT LINKED INSURANCE SCHEME, 76. Name and address of the Estt. l1/s . C~;;~p~~~~·;'ii·~;om 1SI April 200 Dto 31 sI March 200 D (To be filled in by the EPFO) r-------~Establishment Status r;;:> Statement of contribution for the Month ot I IGroup Code Statutory rate of contribution Code No 'L1 --' Particulars Wages on Amount of contribution Amount of contribution Amount of Amount of Date or which remitted Administrative Administrative Remittance Contributions Charges due Charges (enclose are payable remitted triplicate copies of Challan) I 2 3 4 5 6 7 Recovered Payable by Workers Employer's from the the share share workers emjllo~er E.PF. Ale Ale No. 2 No. 01 Pension Fund NIL NIL NIL NIL Ale No. !O D.L.1. Ale NIL NIL Ale. 22 No. 21 Total No. of Employees the amount is remitted ..•.•..... ;. a) Contract b) Rest c) Total Name and address of the bank in which Details of Subscribers .... .,.----. -- --.-- PF Pension Fund E.D.L.L No. of subscribers as per last month No. of new subscribers (Vide Form 5) No. of subscribers left service (Vide Form 10) (Net) Total Number of Subscribers Signature of the employer with Official Seal 81
- 94. FORM NO. -3 (PS) (For exempted Establishments) THE EMPLOYEES'. PENSION SCHE~E, 1995 [Paragraph 20(i)] Code No. of the Estt . Consolidated Return of employees who are entitled and required to become members of the pension Fund on the date the Pension Scheme comes into force. Name and address of Establishment.. , Date of coverage . .Industry in which the Estt. is engaged Registration No. of the Estt . SI Account Name of Father's Basic Date Sex Date of Remarks No. No. the Name or wages DA of entitlement employee Husband's induding birth for (in name in the cash value membership capitals) case of of food married concession woman) & retaining allowance, if any I 2 3 4 5 6 7 8 9 . Signature of the employer or other Sta-authorized officer The information received in Form 5 (PS) in respect of the members leaving service shall be entered in this form by commissioner specifying clearly the reason for leaving service. Stamp of the Establishment This form should be accompanied by declaration and nomination in form 2 by every employee mentioned in column 3. The employees who have attained the age of 58 years andlor receiving Pension under the EPS 95 are not required to become a member of the Pension Scheme. (3) In case the employee surrenders the Scheme Certificate, the Control No. of the certificate should be 'entered. (4) The membership under P.P. and Pension will commence simultaneously. 82
- 95. FORM NO. -4 (P.S.) (For exempted Establishments) THE EMPLOYEES' PENSION SCHEME, 1995 [Paragraph 20] Return of employees entitled for membership of the Pension Fund during the month of . Name and Address of Establishment. . Code No. of the Establishment. . SI Account Name of the Father' Date of Sex Date of Remarks (Previous No. No. employee name (or birth entitlement Ale No. & (in capitals) husband's for particulars of name in the membership previous service case of (Enclose Scheme married Certificate, if any) woman) 1 2 3 4 5 6 7 8 Date . Signature of the employer or other authorized officer of the establishment. Note: An employee who has attained the age of 58 years and/or drawing Pension under the EPS- 95' is not to be enrolled as a member. 83
- 96. FORM NO. -5 (P.S.) (For exempted Establishments only) THE EMPLOYEES' PENSION SCHEME, 1995 [Paragraph 20 (2)] Return of Members Leaving Service During the Month of ••••..... 200 ••••• Name and Address of Establishment. . Code No. of the Establishment. . SI Account Name of the I Father' name I Date . I . of Reas~ns ~or leaving Remarks I No. No. employee ' 1 "I 11 'I ",UI UU;'UClllU :) ICilV1Ug set VIce (see note (in block) name in the service given below) case of married woman) 1 2 3 4 5 6 7 , An employee who has attained the age of 58 years will cease to be a member of the scheme and entitled to receive the ~u_eE,en~fitunder the E~S-95. Signature of the Employer Stamp of the Establishment 84
- 97. Signature of theEmployer (with official seal) FORM - 6 (P.5) (For Exempted establishment Only) Total No. of Employees , . (Contract Rest Total) THE EMPLOYEES' PENSION SCHEME, 1995 (Paragraph 20) Statement of Contribution for the month of •...•..••.••..•.... 200•.•• Total No. of Subscribers , . Name & Address of the Establishment. . Currency period from I" April, 200 to 3pt March 200 . Code' No. of the Establishment Statutory Rate of Contribution 8.33% . Total No. of Wages on Amount of Amount of Date of Name and subscribers which contribution contributions Remittance address of the contribution due 8.33% remitted in Alc (Triplicate bank in which are payable No.lO copy of the amount is challan to be remitted. enclosed) 1 2 3 4 5 6 No. of Sub. as per last month's return . Add: No. of New Subscribers - vide Form 4 (PS) . Less: No. of Subscribers left service - vide Form 5 (PS) . Net Totai : (This should talIy with the-figures given in Col. 1) ~..,.-..-- ~ _._. --"-_.- Note (1) If there is any substantial variation between the wages & amount of contribution shown above and those shown in the last month's return, suitable explanation should be given in the 'Remarks' Column. (2) If any arrears of contributions or damages are included in the figures under column 4 suitable details indicating the circumstances, amount, No. of subscribers and the period involved should be furnished in the 'Remarks' column or on the reverse. 85
- 98. FORM - 7(P.S.) (For exempted Establishments only) THE EMPLOYEES' PENSION SCHEME, 1995 [Paragraph 19) Contribution card for members for the year 200 200 . 1) 2) 3) 4) 5) Alc No. Name (in Block capitals) . Father's/Husband's Name . Name & Address of Establishment . Whether opted to contribute on wages, in excess of Rs.5000/- I Month Amount of wages, retaining Contribution to *Period of Remarks allowance, if any & DA Pension Fund non-including cash value of food 8.33% contributory concession paid during the Rs. service month 1 2 3 4 5 April 200 .. a) Date of May leaving June service ...... July b) Reason of August leaving September service ........ October c) Date of November attaining the December age of 58 January years ........ February March (for stoppage of contribution) Certified that the difference between the total number of contributions shown under Col. (3) of the above er table and that arrived at the total wages shown in Col. (2) at the prescribed rate is solely due to the .1) rounding off of contribution to the nearest Re. under the rules. Certified that the total amount of contributions indicated under Col. (3) has already been remitted in full in Account No ...lO (Pension-Fund Contribution) . nd m. e be -, Date 200 . Signature of the Employer (With Official Seal) • Indicate the no. of days for which the member has not earned wages. 86
- 99. FORM NO -8 (P.S) (For exempted Establishments only) THE EMPLOYEES' PENSION SCHEME, 1995 [Paragraph 20] Annual statement of Contribution for the Currency period from 1'1 200 to 200 . Name and Address of the establishment. . Code No. of theestablishment. ; . S. Account Name of Wages. retaining allowances (if any) Contribution to Remarks No. number member (in and D.A., including cash value of food Pension Fund block concession paid during the currencv 833% letters) period (Rs) 1 2 3 4 5 6 Reconciliation of Remittances Total Rs Rs S.No Month Pension Fund Contributions Nc No. 10 1 2 3 4 5 67 89 10 11 12 Certified that the difference between the figures of total Pension Fund conu ibutions remitted during the currency period & the total Pension fund contribution shown under Col. 5 is solely due to the rounding of amounts to the nearest rupee under the Rules i) Total number of contribution cards enclosed Form 7 (PS) ii) Certified that Form 7 (PS) completed of all the members listed in this statement are enclosed, except those already sent during the course of the currency period for the final settlement of the concerned members' account 'Remarks' furnished against the names of respective members above. Rs. Rs. Rs. Rs. Rs. Rs. Rs. Rs. Rs. Rs. Rs. Rs. Signature of the Employer (With office seal) Total Rs. NOTE: 1) The names of all members, including those who left service during the currency period should be included in this statement. Where the Form 7 (PS) in respect of such members who had left service were already sent to the Regional Office for the purpose of final settlement of their accounts, the fact should be stated against the members in the 'Remarks' column above thus, "Form 7(PS) already sent in the month of 200 " 2) The Form 7 & 8 are combined as Form 7/8 (Revised) to suit the computerized preparation. 87
- 100. r FORM -1 EMPLOYEES' PENSION SCHEME, 1995 (PARAGRAPH 7) OPTION (To be exercised before 16.5.96) 1. FOR THOSE WHO CONTRIBUTE TO EMPLOYEES' PROVIDENT FUND (INCLUDING EX EMPTED FUNDS) ONLY AND NOT FOR FAMILY PENSION FUND. 1 opt to become a Member of Employees' Pension Scheme, 1995, With Effect From DD DD DDDD DATE MONTH .~ YEAR 2. FOR THOSE WHO WERE CONTRIBUTING TO FAMILY PENSION FUND (EMPLOYE FAMILY PENSION SCHEME, 1971) AND OUT OF EMPLOYMENT ON OR AFTER 01.04.1993. I opt to become a Member of Employees' Pension Scheme, 1995, With Effect From DD DD DDDD DATE MONTH YEAR I) I undertake to pay the Contributions due to the Pension Fund 2) I undertake to refund the benefits received under the EFP Scheme, 1971. Witness Signature Signature EPFIFPF A/C No DATE: Name in full (In block letters) Name in full (In block letters) Designation Designation: Name of the establishment: . Name of the establishment Excmpted/U nexempted: ExemptedIUnexempted . Note: Widow/widower of a FPF member who died on or after 1.4.93 but before 16.11.95 can also exercise the option. ·Strike. out whichever is not applicable. 88
- 101. CERTIFICATE The provisionsof the Employees' Pension Scheme, 1995 were explained to the above member in presence and were properly understood by himlher before exercising the above option, it was made to the optee that option once exercised is final and irrevocable. Signature of the Employer CC/HC ------------- AAO APFC his authorized (FOR OFFICE USE ONLY) Option exercised is scrutinized/accepted and sent to EDP Not accepted - intimation sent. 89
- 102. ent FORM -2 (REVISED) NOMINATION AND DECLARATION FORM FOR UNEXEMP7EDlEXEMPTED ESTABLISHMENTS Declaration and Nomination Form under the Employees' Provident Funds & Employees' Pension Scheme, 1995. (Paragraph 33 & 61 (1) of the Employees' Provident Funds Scheme, 1952 & Paragraph 18 of the Em-ployees' Pension Scheme, 1995). 1. 2. 3. .4. 5. Name (in block letters) Father's/Husband's name Date of birth Sex Marital Status 6. Account No. Permanent Temporary PART - A (EPF) I hereby nominate the person(s)/cancel the nomination made by me previously and nominate the person(s) mentioned below to receive the amount standing to my credit in the Employees' Provident Fund, in the event of my death. Name of the Address Nominee's Date of Total amt. or share of If the nominee/nominees relationship birth accumulations in Nominee is a with the Provident Fund to be minor, name member paid to each nominee and relationship of the guardian . who may receive the amount during the minority of nominee . 1 2 3 4 5 6 ~-~- - 1. *Certified that I have no family as defined in para 2(g) of the Employees' Provident Fund Scheme, 1952 and should I acquire a family hereafter the above nomination should be deemed as cancelled. 2. *Certified that my father/mother is/are dependent upon me. Signature or thumb impression of the subscriber *Strike out whichever is not applicable. 90
- 103. 5 PART -B (EPS) (Para 18) I hereby furnish below particulars of the members of my family who would be eligible to receive widow/ children Pension in the event of my death. 1 Name and address of the famil member Address Date of birth 2 3 4 Relationship with member S.No. 1. 2. 3. **Certified that I have no family, as defined in Para 2(vii) of Employees' Pension Scheme, 1995 and should I acquire a family hereafter I shall furnish particulars thereon in the above form. I hereby nominate the following person for receiving the monthly widow pension [admissible under Para 16 (2)(a) (i) & (ii)] in the event of my death without leaving any eligible family member for receiving pension. Name and address of the nominee Date of birth Relationship with the member Date: Signature or thumb impression of the subscriber **Strike out whichever is not applicable CERTIFICATE BY EMPLOYER Certified that the above declaration and nomination has been signed/thumb impressed before me by Shri/ Smt/Kum employed in my establishment after he/she has read the entries/entries have been read over to him/her by me and got confirmed by him/her. Place: Signature of the employer or Uther authorized Officer of the establishment Dated the: Designation: Name and Address of the Factory/establishment or rubber Stamp thereof, 91
- 104. 1 .r Form·11 (Revised) THE EMPLOYEES' PROVIDENT FUNDS SCHEME, 1952 (Paragraph 34) AND THE EMPLOYEES' FAMILY PENSION SCHEME, 1971 (Paragraph 19) Declaration by a person taking up employment in an establishment in which the Employees' Provident Funds & Family Pension Fund Scheme is in force I S/o/W/o/Daughter of do here by sol-emnly declare that ;- (a) I was employed in M/s (Name and address of the estanhsnment) and left service on prior to that, I was employed in from to . (b) I was member of Provident Fund and alsolbut not of the Pension Fund from to.......................... .and my account number (s) was/ were . (c) I have/have not withdrawn the amount of my Provident FundlPension Fund (d) I have/have not drawn any superannuation benefits in respect of my past service from any em-ployer. (e) I have/have never been a member of any Provident Fund and/or Pension Fund. (f) I am drawing/not drawing Pension under EPS 95. (g) I am a holder/not holder of Scheme Certificate. (h) Scheme certificate surrendered/not surrendered. Date . Signature or left hand thumb impression of the employee i/ (To be filled by the employer only when the person employed had not already been a member of the .d Employees' Provident Fund) or Shri/Smt.. . . . . . . . .. . . .. .. .... .. . . .. . . . . . . . . . .. . . . . ... is appointed as (Name of Employee) (Designation) III M/s with effect from (Name of the Factory/establishment) (Date of appointment) Dated . Signature of the Employer/Manager or other Authorised Officer 92
- 105. FORM NO -9 (P.S) (For PF exempted Establishments only) THE EMPLOYEES' PENSION SCHEME, 1995 [Paragraph 24] Declaration by a person taking up employment in an establishment in which the Employees' Pension Scheme is in force. 1. . (Name) *son/wife/daughter of do hereby solemnly declare that: *(a) I was lastly employed in . (Name and full address of the establishment) and left service on 200 . *(b) I was a member of Provident Fund and also of the Family Pension fund from to and but not my account number(s) was/were ~ . ** *(c) I havelhave not withdrawn the benefit accruing from the Family Pension Fund. *(d) I have never been a member of any Provident Fund nor Family Pension Fund. *(e) I am drawing/not drawing Pension under EPS-95. *(f) I am a holder/not holder of Scheme Certificate. *(g) Scheme Certificate surrendered/not surrendered. Signature or *right hand thumb Impression of the employee Date . *Strike out whichever isriof a.pplicable:-- - NOTE: - The principal employer should have filled it up in respect of employees to be employed by or through a contractor. 93 -,
- 106. (EMBLEM TO BEPRINTED) EMPLOYEES' PENSION SCHEME, 1995 FORM lO-C (EPS) (Supplied free of cost) Form for claiming withdrawal benefit/scheme certificate INSTRUCTIONS Who can apply? 1. A member of the Employees' Family Pension Scheme, 1971/ Employees' Pension Scheme, 1995. a) Who has left the employment before completion of 10 years service; b) Who has attained the age of 58 years before completion of 10 years service - whether in servicelleft the service. 2. A member, who has completed 10 years service on the date of his leaving the service has not attained the ate of 50 years on the date of filing this application or has attained the age of 50 years on the date of filing this application or has attained the age of 50 years or more but less than 58 years, and not willing for reduced pension. NOTE: 1 To determine the period of 10 years service rendered from 01.03.1971 to 15.11.1995 (if any), shall also be taken. NOTE:2(i) A member who has completed 10 years service and attained the age of 58 years, where In service or not, is eligible for Monthly Member Pension. (ii) A member who has completed 10 years service and also attained the age of 50 years is eligible to draw pension at reduced rate, after leaving the employment. (ill) A member who has left the service on account of total and permanenl disablement, irrespective of his age and period of service, is eligible for monthly disablement pension. (iv) To claim the Monthly pension, application in Form IO-D should be submitted. 3. Type of benefit eligible- .. . A member falling under Item I above is eligible to get the amount towards withdrawal benefit. However, a member falling under item lea) above is advised to opt for Scheme Certificate on account of following advantages: .; (i) . On taking up employment in another establishment, his earlier service period will be carried forward and clubbing both the spe~ls together pension entitlement shall be regulated. 94
- 107. (ii) If themember does not take up employment and dies before attaining the age of 58 years. His family will get Family Pension. On his survival he will get withdrawal benefit with weightage as may be prescribed. (iii) While availing a Scheme Certificate, there is not bar to withdraw the P.P. accumulation 95 by the member. 4. Guidance for filling the application (S.No. given below refers to the one given in the application) Write your name in CAPITAL letters as given in the service records of your es-tablishment. To be furnished only when the application is preferred by a person other than the member himself (i.e. Nominee/family member). The exact date of birth of the member should be gi ven. Particulars should be written clearly without any overwiiting of sutting, Correction if any, be attested. The option is to be given by the member only if he has not rendered 10 years service and eligible for withdrawal benefit. Complete particulars of nominee and family (spouse and all children) should be given without fail. To be furnished when the claim is preferred by nominee of the family member (s), To be completed only when a member is eligible for withdrawal benefit and opted for it in lieu of Scheme Certificate (not applicable to those who are entitled for Scheme Certificate or opted for Scheme Certificate in lieu of withdrawal benefit) 12 In case, the member is drawing Family Pension/ Pension under the Employees' Pension Scheme, 1995, the details should be furnished. SI. No. 1(a) 1(b) 2. 3 to 7 8 9 10 11. Advance Receipt To be given where the withdrawal benefit is admissible and opted for payment by cheque. (The Advance Receipt need notbe.signed.hz the ..member, if the payment is opted through Money Order) .. Attestation of claim form: The claim should preferably be attested by the employer under whom the member was last If for any reason, the claimant is unable to get the application attested by his ex-employer, he forward the claim to the Provident Fund office duly clarifying the position, after getting it attested by. anyone of the following authorized officials.
- 108. t 1 e d r ) e l. Y Y (i) Manager of the Bank where the member is holding an account; (ii) Head of Educational Institution; (iii) A Gazetted Officer; (iv) Sub-Post Master; (v) The Magistrate (vi) Member of Central Board of Trustees, Employees' Provident Fund or Regional Committee. (vii) ChairmanfSecretarylMember of the MunicipallDistrictlLocal Board; (viii) President of the village Union/ .::'ali~:ia'yau' ~v~vHli;vl UI Pc:ui.iafIl~ntiMember of Legislative Assembly. (ix) Any other officer approved by the Regional P.F Commissioner. 5. For further guidancel clarifications required, if any, The Public Relation Officer in the nearest Provident Fund Office (including Provident Fund Inspectorates) may be contacted. 96
- 109. Serial No. _ For Office use only Inwards No. Form No. lO-C (E.P.S.) EMPLOYEES' PENSION SCHEME, 1995 FORM TO BE USED BY A MEMBER OF THE EMPLOYEES' PENSION SCHEME, 1995 FOR CLAIMING WITHDRAWAL BENEFITI SCHEME CERTIFICATE (Read the instructions before filling up this form) 1. a) Name of the member: - (In Block Letters) c) Name of the claimant (s) 2. Date of Birth 3. a) Father's Name b) Husband's Name 4. Name & Address of the Establishment in which, the Member was last employed. 5. Region/SRO Code L..1_---L_---lL...-_...L-_-L-_---I Code No. & Account No. 6. " Reason for leaving service & Date of-leaving ..- 7. . Full Postal Address: - (In Block Letters) ShiS mt./Km S/o, .W/o, Dlo __________ PIN _ 97
- 110. 8. Are youwilling to accept Scheme Certificate in lieu of withdrawal benefits. (a) D Yes D ,(b) No 9. Particulars ofFamiiy (Spouse & Children & Nominee) Name Date of birth Relationship with Member Name of the guardian of minor (a) Family members (b) Nominee 10. In the case of death of member after attaining the age of 58 years without filling the claim: a) Date of death of the member b) Name of the Claimant (s)/ and relationship with the members 11. MODE OF REMITTANCE [PUT S TIC IN THE BOX AGAINST THE ONE OPTED] a) By postal money order at my cost to the address given against item No. 7 D c) Account payee cheque sent direct for credit to my SB Ale (Scheduled Bank)D Under Intimation to me. S.B.Account No. Name of the Bank (In Block Letters) Branch (In Block Letters) Full address of the Branch (In Block Letters) 12. Are you -avaningp-ensioiflmder"EPS-95? If so, indicate: PPO No. By whom issued _ CERTIFIED THAT THE PARTICULARS ARE TRUE TO THE BEST OF MY KNOWLEDGE Date _ Signature or left Hand Thumblmpression of the Member/claimanti s) 98
- 111. ADVANCED STAMPED RECEIPT [To be furnished only in case of (b) above] Received a sum of Rs (Rupees ) only from Regional Provident Fund Com-missioner /Officer-in-charge of Sub-Regional Office by deposit in my savings Bank N c towards the settlement of my Pension Fund Account. (The Space should be left blank which shall be filled by Regional Provident Fund Commissioner/Officer-in- charge. Signature & left hand thumb impression of the member on the stamp. Rs.1/- Revenue Stamp Certified that the particulars of the member given are correct and the member has signed/thumb im-pressed before me. The details of wages and period of non-contributory service of the member are as under: - Form 3AI7(EPS) enclosed for the period for which it was not sent to Employees' Provident Fund Office.) Wages (Basic + D.A.) as on 15.11.95 (if applicable) Wages as on the date of exit. Period of non contributory Service YearIMonth No-of-days Date: . Signature of Employer/Authorised Official. 99
- 112. (FOR THE USEOF COMMISSIONER'S OFFICE) (Under Rs. . P.O. No . ................................................... .M.OJ Cheque Passed for payment words) . for Rs (in M.O. Commission (is any) , , net amount to be paid by M.O . ............ .towards withdrawal benefit. D.H. S.S. A.A.O (FOR USE IN CASH SECTION) Paid by inclusion in cheque No Dt. vide cash Book (Bank) Account No.IO Debit Item No ; . S.S. AC (Cash) For issue of S.S.; IDS is enclosed. D.H. S.S. A.A.O. APFC (A/cs) (FOR USE IN PENSION SECTION) Scheme Certificate bearing the control No. . .issued on ..... ~.......•........ _ .... And.entered.in.the Scheme Certificate Control Register- D:H. S.S. A.A.O. APFC (PENSION) 100
- 113. Serial No. EMBLEM (To Be Printed) EMPLOYEES' PENSION SCHEME, 1995 (Supplied free of cost) Application for monthly Pension Member Widow/widower Form lO-D (EPS) Note: To be submitted in two Copies in case pension is to be drawn in other Region. EXPLANATORY NOTE FOR THE APPLICATION: Serial No. given below relates to the corresponding No. given in the application. 1. By whom the pension is claimed? Indicate anyone of the following under SI. No. 1. Major Orphan Guardian Nominee 2. Type of Pension Claim - Indicate anyone of the following. a) On attaining 58 years whether in service or PENSION not SUPERANNUATION b) Attained the age of 50 years but below 58 years and left service. REDUCED PENSION c) DISABLEMENT PENSION PENSION e) ORPHAN PENSION d) WIDOW & CHILDREN o NOMINEE PENSION 3. (a) to (c), 4 & 5 Please furnish the particulars relating to the member correctly. 101
- 114. 6. Indicate theactual date of leaving service. This need not be filled by a member who has attained 58 years and continued to be ins e r - vice. Indicate, 'still in service'. 7. If the reason for leaving service was on account of total and permanent disablement, as indicated by the establishment to the P.E Office through Form 10, then only the member is entitled for Disablement Pension. In all other cases the actual reason for leaving service may be given. However, a member who continues in services beyond the age of 58 years may indicate "still in service". 8. If the present address is temporary one, also indicate permanent address. 9. SI. No. 9 is applicable only to a member of the Pension Scheme and not for his family. The applicant is eligible to commute upto a maximum of 1/3 of his pension so as to receive 100 time of the pension commuted. If a pensioner who is getting an original pension of Rs.600/- commutes 1/3rd of it, he will get Rs.20,OOO/-as commuted value. The commutation will be effective only from 16.11.1998. The applicant may give his option for commutation in the application and this will be effective and paid only if the member - pensioner continues to draw his pension as on 16.11.1998. On opting for commuted value of pension, the original pension mentioned for Return of Capital will be the balance of pension after commutation. 10. The member can give his option for Return of Capital. Option once exercised is final. He may choose anyone of the following and indicate the no. shown under alternative against SI. No. 10 of the application. Alternative Quantum of Pension Return of Capital 1. 90% of original pension On member's death 100 times the original monthly pension to nominee. 2. 90% of original pension to On death or remarriage of member. On his death 80% of Widow/Widower whichever is earlier. pensi~n toWidow /Wi dower .. 90 times of original pension to nominee. , 3. 87.5% of original pension for a At the end of 20 years, 100 times of fixed period of 20 years to original pension to member, if he is member. On his death before 20 ali ve, otherwise to nominee. years, nominee will get pension for balance period. 102
- 115. 11. The memberis required to furnish the details of his/her nominee for receiving the Return of Capital. A member can nominate his/her spouse or sons or daughters. A married member who is not survived by any member of his family (spouse/sons/daughters) and a bachelor/spinster may nominate a person of his/her choice to receive Return of Capital/Pension, due if any, under Altemati ve 3 as per Serial Number 10 above. 12. This should be completed by the member. In his absence, by the spouse/Children. The list of surviving family Member, covering his spouse, all children should be furnished. The particulars of Guardian should be given in respect of each minor child, as on the date of application. In support of the age of children, age proof certificate obtained from the School or Registrar of Birth-death or E.S.I. Record, or Municipal authorities should be enclosed. In the case of Guardian other than natural guardian, a Guardianship Certificate should be enclosed. 13. Applicable only in case the member is not alive. In support to the date of death, Death Certificate should be enclosed. 14. The details of Bank Saving Bank Account Number should be given. In case the claim is preferred by spouse, he/she should give hislher Saving Bank Account Number and also separate Saving Bank Account Numbers. In respect of each child Saving Bank Account Numbers of children who are below the age of 25 years (as on date of death of the member) should be given. On behalf of minor child, Saving Bank Account opened in the name of minor and operated by the guardian of the minor and Account Number should be given. Pension is payable through any branch of the *(to print the name of designated bank(s) on the specified day of each month by credit to the Saving Bank Account of eligible pensioners. Hence, Saving Bank Account should be opened only in the said Bank. Necessary guidelines have been given to all branches of the Bank to open a Saving Bank Account for the pensioners. The applicant may approach any branch of the said bank to open the account. The member, spouse and children (minor or major) should necessarily open Saving Bank Ac-counts in the same branch of the Bank. Whenever pension is opted from a place beyond the jurisdiction of the Region in which the member was last employed, he should ascertain the name of the designated bank applicable in that Region and open a Saving Bank Account therein. On sanction.of.Penaion, iruimation will be sent to the pensioner to contact the bank. 14 (A) In case of death of the member before attaining 58 years without leaving any eligible family members to received the pension, the nominee as appointed by the member through the Form 2 (Revised) already sent to the P.P. Office may apply giving his particulars against this column. * Please write the name of the designated Bank(s). 103 '
- 116. 15 In casethe member was working in different establishments and obtained Scheme Certificate, the details should be furnished against this column. In case, no Scheme Certificate was received or not applied for the same, the details of past employment may be indicated in this column. 16. If the applicant is already receiving pension under Employees' Pension Scheme, 1995 or claim Pension, The details should be furnished against the column. 17. List of documents to be enclosed and specifiedunder Column No. 17: (a) Descriptive role of pensioner and his/her specimen Signatureffhumb impression in duplicate. (b) 3 pass-port size photographs (if claimed by the member Joint photo with spouse). If the pension is claimed by member, there is no need to send photograph of the children. If claimed by widow, the photograph should be sent for widow/widower and his/her two children (be-low 25 years) separately. The photographs are to be attested by the employer or his au-thorized official, indicating the person to whom the photograph relates and also the P.P' Account Number of the member, written on the reverse and placed in a separate envelope. (c) In the case of a member, who is permanently and totally disabled during the employment, he/she should undergo a Medical Examination before the Medical Beard as advised by the E.P.P' Office. However, the disablement should occur while in employment. (d) The application should be forwarded through the establishment in which the member last served/died. The establishment should furnish the certificate and wage particulars duly at-tested by the authorized Officer. (e) Only if the establishment is closed, the application should be forwarded through the Mag-istrate/ Gazetted Officer/ Bank Manager/ any other authorized officer as may be approved by the Commissioner. .' 104
- 117. For Office Usei Only Inward No. APPLICATION FOR MONTHLY PENSION FORM lO-D (EPS) EMPLOYEES' PENSION SCHEME, 1995 (Read INSTRUCTIONS before filling in this Form) 1. By whom the Pension is claimed? 3. (a) Member's Name (In Block Letters) (b) Sex (c) Marital Status (d) Date of Birth/age (e) Father's !Husband's Name 4. E.P.F. Account Number 5. Name & Address of the establishment In which the member was last employed 6. Date of leaving service 7. Reason for leaving Service 8. Address for communication 2. Type of Pension claimed. RO SRO Establishment Code No. Member's Account No. --------~,--,'::':-----------------:------------------- 9. Option for commutation of 1/3 of Quantum 'Pension (If option is for lesser) Commutation indicate the quantum) PIN: Yes No CJ CJ CJ 105
- 118. 10. Option forReturn of Capital (Please refer Serial Number 10 of INSTRUCTIONS) [Put a tick ( )] If yes, indicate your choice of r-I alternative. l.--.J Yes No CJ CJ- ~~~ 11. Mention your Nominee for Return of Capital Name Relationship Date of Birth Address 12. Particulars of Family S.No. Name Date of Relationship Indicate against Minor Birth/Age with Member Guardian Relationship Name with Member (1) (2) (3) (4) (5) - (6) ~- Note: If any child is physically handicapped, please indicate "DISABLED" below the name. 13. Date of death of Member (if applicable) 14. Details of Saving Bank Account Opened (1) Name of the Bank (2) Name of the Branch (3) Full Postal Address PIN CODE 106
- 119. SI. No. Nameof the Claimant(s) Saving Bank AccountNo, 14(A) If the claim is preferred by nominee, indicate his/her (1) Name (2) Relationship with the deceased ~ember Details of Scheme Certificate Already in possession of the Member, if any Scheme Certificate 'j received & enclosed 1.- -' 15. Not Received Not Applicable If Received, indicate SI. No. Scheme-Certificate Control No. Authority who issued the Scheme 107
- 120. 16. If Pensionis being drawn PPO No. Under E.P.S., 1995 issued by 17. Documents enclosed (Indicate as per the Instructions 1. 6. 2. 7. 3. 8. 4. 9. RO I' SRO , 108 [I
- 121. TO BE SUBMITTEDIN DUPLICATE IN RESPECT OF EACH PERSON ELIGIBLE FOR PENSION Descriptive roll of Pensioner and hislher Specimen Signature/Thumb impression 1. Name of the Member 2. E.P.F. Account Number 3. Name of the Pensioner 4. FatherIHusband Name 5. Sex 6. Nationality 7. Religion 8. Height 9. Personal Marks of Identification 1. (ii) _ 10. Specimen signature of Pensioner (ii) _ (ii) _ (ii) (Only in the case if illiterate Claimant (Pensioner) Left Hand Finger Impression); 1. THUMB INDEX MIDDLE RING SMALL Place: Date: Certified that: (ii) I am not drawing Pension under Employees' Pension Scheme, 1995 (ii) The particulars' given in this application are true and correct. 109 Signature: Name of the Attesting . Authority Office Seal Signature of the appli Left Hand Thumb
- 122. ·, ~ , = •.. .......................•. / Certified that: (TO BE FILLED IN BY THE EMPLOYER! AUTHORISED OFFICER OF THE ESTABLISHMENT) i) the particulars of the member are correct; ii) the particulars of Wages and Pension Contribution for the period of 12 months preceeding the date of leaving service are as under: - (In case, the wages is not earned for all 12 months, the block of 12 months will commence wards from the last pay drawn) back- Year Month Wages Pension Contribution due Details of period of non-contributory service. If there is no such period, indicate 'NIL' No. of Amount Year No.of days for whic days no wages were earned (1) (2) (3) (4) (5) (6) (7) Encls: 1. Documents as given in the Instructions. 2. Form of descriptive roll and specimen signature. . , Signature of Employerl Authorised Official of The Establishment with Seal & Date 110
- 123. (FOR OFFICE USEONLY) (PENSION SECTION/ACCOUNTS SECTION) Certified that the particulars in the application have been verified with the relevant concerned documents. The claimant is eligible for Pension. The Input Data Sheet is placed below for approval. Entered in Form 91F0rm 3(PS), Master Ledger Card/Claim Inward Register. Form 2(R) enclosed alongwith the documents furnished by the claimant. CLERK Date Sos. Date 4.4.0. Date A.P.F.C. Date FOR USE IN PENSION PRE-AUDIT CELL The Input data sheet verified with reference to the application and the documents enclosed and found correct. P.P.o. may be generated through Computer. CLERK Date S.S. Date A.A.O. Date A.P.F.C. (Pension) Date FOR USE IN PENSION DISBURSEMENT SECTION P.P.O. No. Date of issue to the Bank Intimation sent to the Claimant And also to Accounts Branch on CLERK Date S.S. Date A.A.O. . Date A.P.F.C. - Date I 11 I
- 124. Annexure-I PERFORMA [Formaking reference to Medical Board of Central/State GovtJESIC Hospital under Para 15(3) of Employees' Pension Scheme, 1995] 1. Name of the Member 2. EPF Ale No. 3. Establishment in which Member is working 4. Residential Address 5. Reported date of disablement (as reported in Form-lOD claim) 6. Reported nature of disablement (as reported in Form-WO claim) 7. Definition of permanent total disablement as provided under Para-2(xvi) of EPS, 95 "Permanent total disablement means such disablement of permanent nature as incapacitates an employee fer all work which he/she was capable of performing at the time of disablement, regardless whether such disablement is sustained in the course of employment or otherwise." 8. To be examined by "Medical Board" to determine whether or not he or she is permanently and totally unfit for any of such disablement and certify in the enclosed proforma in clear terms, duly signed with seal, for considering the claim Form submitted by the Member for grant of monthly pension on "Permanent and total disablement during the service'~_~round. RPFC/COP 01 C,SRO/ APFC 9. Any other remarks Place Date To Medical Board Hospital Place 112
- 125. Copy to: Shr!lSmt (Address) for information and to appear before the Medical Board for medical examination and arrange to submit the Medical Certificate, at the earliest. 113
- 126. Annexure- 11 PROFORMA [To be completed by the Medical Board on examining the disabled Member] 1. Name of the Member 2. Father's Name 3. EPF Ale No. 4. Name of the ~dllhlic;:hmpnt in U~!':'~he/she is working 5. Residential Address 6. Nature of disablement sustained in the course of employment or otherwise 7. Date on which disablement sustained 8. Whether the relevant nature of disablement has resulted in permanent and total disablement (If so, please certify so in clear terms and furnish the relevant details including the percentage of disablement) 9. Whether the Member is permanently and totally unfit for employment 10. Whether permanent total disablement incapacitated the Member employee for all work which helshe was capable of performing at the time of disablement 11. Name of the Central/State GovtJESIC Hospital with full address 12. Members of the Medical Board who have examined the disabled Member Name of the Members of Medical Board 1. 2. 3. 114 Designation
- 127. 13. Report ofthe Medical Board and their recommendations: - Note: - The Medical Board should clearly certify the permanent and total disablement on the above lines [Refer Para 2 (XVII), 15(3)]. 14. Signature of the Members of the Board with office seal and date: - 1. 2. 3. To RPFC/COP OIC, SRO/APFC 115 ,
- 128. CERTIFICATE TO BESUBMITTED BY PENSIONER L LIFE CERTIFICATE Certified that I have seen the pensioner (Name of the pensioner) holder of Pension Payment Order No. and that he is alive on this date. SignaturefI'humb impression of pensioner Place: Name _ Date: Designation of authorized Officer Seal II. CERTIFICATE OF NON RE-MARRIAGE * I hereby declare that I have not been re-married and I undertake to report such an event promptly to the Pension Disbursing Authority/Bank. Place: Signature _ Date: Name of the Pensioner ------- P.P.O. No. _ I certify to the best of my knowledge and belief that the above declaration is correct. Signature of a responsible Officer or a well-known Place: Person Date: Name Designation _ 116
- 129. [FORMAT OF PPO] EMPLOYEES' PROVIDENT FUND ORGANISATION REGIONAL/SUB-REGIONAL OFFICE ~' . Date: UNTIL FURTHER NOTICE, and on the expiration of every month, be pleased to pay Shri/Smt. the pension as set out in Part-II of this order Widow/Widower Pension and the Children Pension as set out in Part-Ill of this order / Orphan Pension as set out in Part-IV of thisorder / Nominee Pension as set out in Part- V of this order/Commuted Value of Pension as set out in pan -VI of this order and Return of Capital value as set out in Part-VII of this order, after due verification of the Pensioner/ Family Pensioner, including Children Pension/Orphan Pension. Signature Designation Special Seal of the Pension Payment order Issuing Authority Bank Code To S.B. A/e 117 1 J ••
- 130. PENSION PAYMENT ORDER (PENSIONER'S PORTION) PART ·1 Draft Pension No. Particulars of member of the Employees' Pension Scheme, 1995 1. Name of the member 2. Employees' Provident fund Nc No. : 3. Date of Birth 4. Date of cessation of membership 5. Reason of cessation of membership 6. Past Service upto 15/11/1995 7. Actual Service 8. Eligible Service 9. NCP days 10. Pensionable Service 11. Weightage of 2 years Total Pensionable Service 12. Pensionable Salary 13. Wages on 15/11/95 14. Wages on date of exit 15. Years to Age 58 Rs. Rs. Rs. Yrs. 16. Details of Family membersINominee eligible for Pension in the event of Death of Member SI. I Name I Relationship I Date of Birth , 118
- 131. PART -11 (Applicablein the case of cessation of service due ~o any reason other than death) Section - 1 Particulars of Pensioner 1. Joint photograph with the spouse 2. Name of the member 3. Permanent Address 4. Present Residential Address 5. Personal marks of identification on face or on hand, if any 6. Signature or left hand thumb impression of the pensioner (To be obtained at the time of first payment of pension) Section - 2 Details of Pension l. Class of Pension Superanuation Pension 2. Para. under which sanctioned 3. Monthly Member Orignal Pension Rs. 4. Commuted Pension Rs. 5. Pension after Commutation Rs. 6. Reduced amount due to ROC Rs . ...-~~,,--"_-.. " 7. Monthly reduced Pension Rs. , 8. Actual amount of Monthly Rs. Member Pension payable 9. Date of commencement of Pension 119
- 132. Section - 3 Details of WidowlWidower Pension including Children Pension/Orphan Pension payable on the death of the Pensioner 1. Para under which WidowlWidower/ : 16.2(a).(iii),16.3(b),16.4(a) Children Pension/Orphan Pension is admissible 2. Amount of widow/widower Pension/Children Pension: Type of Pension I Amount I.From I To Widow/Widower Pension Rs. Plus the amount of widow Rs. pension at the rate of 80 % The date following The date of death of member pension in case the date of death Re-marriage of the opted for reduced pension of the Pensioner. WidowlWidower, option 2 whichever is earlier Total: Rs. Children Pension Rs. to two children at the same The date following The date of attain time (Simultaneously with the date of death -ing age of 25 Yrs the WidowlWidower.) of the Pensioner. or death, which -ever is earlier 3. Orphan Pension: In the event of death/or .re-marriage of the Widowl Widower, the children shall be paid in lieu of Monthly Children Pension, the Monthly Orphan Pension to maximum of two children at a time Rs. " Orphan Pension to two children at a time The date following the date of death Ire-marriage of the WidowlWidower whichever is earlier The date of attaining age of 25 Yrs or death whichever is earlier 120
- 133. Section - 4 Name of the nominee for payment of pension for the balance of 20 years paid under capital return option 3 on the death of membei pensioner before expiry of 20 years period from the date of commencement of pension: 121
- 134. EMPLOYEES' PROVIDENT FUNDORGANISATION REGIONAUSUB-REGIONAL OFFICE' PENSION PAYMENT ORDER (DISBURSER'S PORTION) space for joint Draft Pension No. : Photograph Debitable to E.P.F. Ale No. _ Place for signature ot pensioner to be taken at the time of first payment 1. _ 2. _ 3. _ I Particulars of member of the Employees' Pension Scheme, 1995 1 Name of the member 2 Employees' Provident fund Ale No. 3 Date of Birth 4. Date of cessation of membership 5. Reason of cessation of membership : Superannuation 6. Ace. No. With Disbursing Bank (if any) : Details of Family membersINominee eligible for pension in the event of Death of Member SI. I Name No. I Address IRelationship I Date of Birth I I 122
- 135. II TABLE S.No.Name Type of Pension Date of Birth**Date of commencement Pension**Date of Stpoage (if applicable) Original pension Commuted Pension Pension after commutation Reduced amount due to ROC Monthly Pension in Payment III (1) Date of death of member Pensioner (2) Date of re-marriage/death of widow/widower UNTIL FURTHER NOTIC-E,andon-theexpiration of every month, be p-leased to pay to the person(s) whose name(s) is/are mentioned in para. II (particulars of Pensioners), the amount of pension indicated against his/her/their respective natpe (s) in the table bearing the amount of Pension upon the pro-duction of the pensioner's portion of this order taking from the claimant a receipt for the amount according to prescribed form. The payment should commence from the date indicated in the table above and shall continue to be made till the death of the member pensioner. 123
- 136. IV. MONTHLY FAMILYPENSION ADMISSIBLE IN THE EVENT OF DEATH OF THE MEMBER PENSIONER (SURVIVED BY FAMILY MEMBER). In the event of the death of Shri WidowlWidower pension and the children pension should be paid to the following member of the family of the deceased pensioner simultaneously at the rate indicated against their respecti ve names : S.No. Name Date of Birth Amount in Rs. AlC no. with bank The payment should commence from the date following the date of death of the pensioner & shall continue to be made till the date of happening on the event stated below: (i) Re-marriage/death of Sh.lSmt. whichever is earlier. (ii) On attaining the age of 25 Yrs. in case of childrens DETAILS OF OTHER CHILDREN IN THE FAMILY S.No. Name Date of Birth CHILDREN PENSION'- Children Pension shall be payable to not more than two children at a time. In the event of anyone or both of the children who have been getting pension, becoming non-entitled due to the happening of any event as in (ii) above, the children pension shall be paid to the next eldest surviving child/children till the attainment of age of 25 years 124
- 137. V. ORPHAN PENSION In the event of cessation of widow/widower pension due to death or re-marriage of the widow/ widower, the children shall be paid Monthly Orphan Pension. in lieu of the Monthly Children Pension, at the rate of Rs. 207 Upto 3111211999,338 wef Jan 2k each per month. The payment ..should commence from the date following the date of death/re-marriage of widow/widower. The Monthly Orphan Pension shall continue to be paid till the date of attaining the age of 25 Yrs. VI. NOMINEE PENSION In the case of death of the member who did not have living spouse and/or an eligible child, a monthly Nominee Pension at the rate indicated below against the nominee shall be payable. Not applicable VII. Commuted Value of Pension ShrilSmt.- (Member pensioner) shall be paid a lumpsum amount of Rs.- being the commuted value ofpension(l00 times the commuted pension)by the disbursing agency, as set out in PART-VI Of PPO (Pensioner's Portion ), after verifying the bonafides of the said recipient and after taking from him !her a receipt of said amount according to the prescribed forms VIII. RETURN OF CAPITAL VALUE On death of the member pensioner or the widow/widower as the case may be who has been in receipt of Reduced Pension as indicated in the table, Shri/Smt. (Beneficiary/Nominee) shall be paid a lump sum amount of Rs. by the disbursing agency, after verifying the bonafide of the said recipient and after taking from him/her a receipt for the said amount according to the prescribed form. (Seal of the Issuing Authority) Signature & Designation of Issuing Authority! APFC(PENSION), E.P.F.O., Regional . /Sub-regional Office.' To Bank Code: S.B. Ale 125
- 138. EMPLOYEES' PROVIDENT FUNDORGANISATION EMPLOYEES' PENSION SCHEME, 1995 - Date: SCHEME CERTIFICATE TO BE ISSUED UNDER PARA 12(8) Particulars of the Member of Employees' Pension Scheme 1995 Scheme Certificate No. 1. Name of the Member 2. Employees' Provident Fund Alc No. 3. Date of Birth 4. Father'slHusband name 5. Dt. of Joining Current Estt.(EPS) 6. Date of Cessation of membership 7. Reason for Cessation of membership 8. Age as on 16/11/95 9. Date attained age 58 on 10. Age on Date of Exit 11. Past Service upto 15/11/1995 12. Actual Service 13. Eligible Service 11+12 14. Pensionable Service 15. Salary as on 15.11.1995 16. Pensionable Salary 17. Last Salary 18. NCP days 19. Date of Voluntry Contrib. option 20. Details of Family memberslNominee Rs. Rs. Rs. 1 1 SI. I Name No. I I Relationship I Date of I with the member I Birth Date: AUTHORISED SIGNATORY 126
- 139. D D CONSOLIDATED MONTHLY .RETURN ON EMPLOYEES' PENSION SCHEME, 1995 D
- 140. Tel: (011) 6172677 Fax: (011) 6172677 E-mail: cpfc@alpha.nic.in EMPLOEES' PROVIDENT FUND ORGANISATION (Ministry of Labour, Govt. of India) HEAD OFFICE, BHAVISHYA NIDHI BHAWAN 14, BHIKAJI CAMA PLACE NEW DELHI-110 066 No.: Actuary-l(3)/20001 To Dated: 13121 Dec., 2000 All Regional Provident Fund Commissioners (In-charge of Regions), All Officers-in-charge of SROs/SAOs, . All Regional Provident Fund Commissioners (pension) in Regional Offices. Sub:- Prescribing consolidated monthly return for collection of information/data from regions relating to the implementation of Employees' Pension Scheme, 1995 - regarding. Sir, As you are aware, that at present, all the Regions are required to send to the Pension Wing at Head-quarters Office, the following periodical returns: - Subject (1) Receipt, Disposal & Pendency of Withdrawal Benefit Scheme Certificate claims (F/IOC claims) (2) Receipt, Disposal & Pendency of Pension Claims (FIlOD) (3) Database creation - Members Data in Form 2 Fortnightly (4) Classification of pensioners (5) Details of pensioners with wage-slab wise break up (6) Compliance under the EPS, 1995 (7) Commutation amount released to pensioners (8) Pensioners with classification of pension amount (9) Defaulting establishments > No. and amount. (10) Receipt, Disposal & Pendency of Exemption applications Actuarial valuation Information (11) Establishment details (12) Financial data (13) Pension payments EPSF-I EPSF-4 EPSF-5 127 Periodicity Monthly Monthly Fortnightly Monthly Monthly Monthly Monthly Monthly Monthly Annual Annual Annual
- 141. 2. The aforesaidreturns are collected from the regions with a view to:- ./' Monitoring the progress of implementation of Employees"Pension Scheme, 1995 in the region concerned . ./' Reporting the figures to PIC/CBT/GovernmentlAnnual Report . ./' Utilising the figures for Annual Valuation by the Consultant Actuary. These returns were prescribed from time to time as and when need arose for collecting the requisite information. With the passage of time, the requirement of the Pension Wing (Head-quarters) office has been assessed. It has, therefore, been decided that instead of a number of returns, a consolidated return may be prescribed in the manner stated below.- ./' The returns mentioned at S.No. (1) and (2) are dispensed with . ./' Fortnightly returns at S.No. (3) & (4) above would continue to be furnished as separate returns . ./' A consolidated format has been designed in place of monthly returns at S.No. (5) to (10) and Annual returns at S.No. (11) to (13) and the details/information/data may be furnished on monthly basis by the Regional Offices, for the region as a whole . ./' SROs should send the relevant information to their Regional Headquarters by 5th of the following month . ./' The Regional Offices should compile and consolidate the information for the whole region and furnish the same through single monthly return, to the Head-quarters Office by 10th of the following month. 3. The format of the consolidated return contains six (VI) parts as under:- ( I) Part I Classification of pensioners. (2) Part 11 Database Creation (Members Data in Form-91F0rm-2) (3) Part III Details of Exemption Applications received/disposed etc. (4) Part IV (a) No. of establishments (un-exempted exempted); Establishments in default; Amount in default etc. Bifurcation of defaulting establishments/amount - Public/pri vate sector-wise . (b) ..__ ... - ------ . Actuarial Valuation data: (a) Establishments; (b) Pension Fund Membership; (c) Contribution; (d) Pensioners not opted/opted for Return of Capital; (e) Scheme Certificate issued; (f) Scheme Certificates surrendered. (5) Part V 128 "'~ iI I
- 142. (6) Part VIFinancial data for Actuarial Valuation (a) Amount paid towards monthlypension (lOD) cases - during the month. (b) Amount paid towards monthly pension (lOD) cases - during the year. (c) Commutation of pension (COP). (d) Return of Capital paid. (e) Capital value of Pension (ROC) paid to Nominee. (f) Withdrawal Benefits paid (Form lOC cases) 4. Suitable instructions with regard to filling up of the format of consolidated monthly return have also been attached on the top of the format. It will facilitate the functionaries in the SROs/Regional Offices to furnish the relevant information correctly and uniformly. It has also been decided that the new return may be implemented from 1st February, 2001. First return should contain the information for the month of January, 2000. The SROS/SAOs should submit the requisite information in the prescribed for-mat relating to their respective SROISAO to their Regional information so received from theSROs including the information relating to the Regional Office, and furnish it to the Headquarters by IO" of the concerned month. It is, however, made clear that on introduction of the new consolidated monthly return, the fortnightly returns mentioned at S.No. (2) & (3) would continue and should be sent as before within the prescribed time. Kindly acknowledge receipt. Yours faithfully, SdI- (A. VISWANATHAN) Addl. Central Provident Fund Commissioner (Pension) Copy to:- (1) FA & CAO. (2) Addl. CPFCs(NorthlEast/WestlSouth Zones). (3) Director (NATRSS)/All ZTIs.--- (4) Director (MIS). (5) All Zonal Audit Officers. (6) PS to CPFC. (7) Advisor 129
- 143. INSTRUCTIONS FOR FILLINGTHE CONSOLIDATED MONTHLY RETURN RELATING TO EMPLOYEES' PENSIONS SCHEME, 1995 Part I Classification of Pensioners: (a) Cclumn-(a) i.c., sub-columns (i) to (iii) relate to the 'Member Pensioners'. It has three categories viz., Early Pension (availed pension between the age of 50-57 years), (ii) Superannuation Pension (availed pension on attaining the age of 58 years), and Disablement Pension (availed pension by the disabled members). (b) The first column relates to the opening balance which means the pensioners in position as on the begin-ning of the month (carried forward from the earlier months). The next column 'added during the month' means the member pensioners in the three categories sanctioned pension during the month. Next to this column is the pensioners 'deleted' during the month. This means, the number of existing pensioners who have ceased due to death; re-marriage etc. (in case of spouse pension) are to be entered in this column. (c) Column (b) relates to 'spouse pensioners'. This includes cases of "Death in service" as well as "death away from service". Also include here the cases of the erstwhile EFPS, 1971 in the category of 'Death in service' since the erstwhile EFPS, 1971 permitted pension to the spouse only in the case of death of the member while in service. (d) Similarly, the figures in column (c) relate to the 'Children pension' granted so far under the erstwhile EFPS, 1971 and under the EPS, 1995. (e) SimiIartreatment has to be given to the columns at (d); (e) and (f) in this part. Part 11 Database creation (Members Data in Form-9/Fform-2): Presently this information is being furnished in the fortnightly return indicated at S.No.3 in the covering letter. The same information shall be furnished in this part also. Part III Details of Exemption Applications This part relates to the applications received from the establishments who have applied for grant of exemption under para 39 of the Employees' Pension Scheme, 1995. This being a monthly return, all figures viz., opening balance, applications received etc. should be furnished for the current month only. Part IV (a) Establishment/amount in default under the Employees' Pension Scheme, 1995 • First column relateste-tetalnumber of establishments' to which the Employees' Pension Scheme., 1995 applies. Establishments exempted from the EPS, !995 need not be included in this part. Informa-' tion relating to Un-excmpted and exempted establishments as at the beginning of the month, to which this return relates, only need be shown. However, "exempted establishments' in this part mean those establishments Which are exempted from the E.P.F. Scheme, 1952 but not exempted from the EPS, 1995. • Similarly "number of establishments in default" will mean the establishments who have defaulted in the matter of compliance either for contributions or for any other reasons. 130
- 144. • In thethird main column "Progressive Amount in default", means the amount in default relating to EPS contribution (including contribution in default under the EFPS, 1971). This should be progressive amount i.e., total carried forward from earlier years to the end of the month to which the return relates. • Fourth main column relating to "Amount of contribution in default.." should be filled with the amount of default for the current year i.e. 1st April to the closing of the month to which the return relates. Figures should be furnished in "Rs. in lakhs" only. (b) Public Sector and Private Sector Bifurcation This part is further bifurcation of the information furnished in part (a) above, sector-wise. 'Grand total' of the 'Total' columns in the three main columns should tally with the figures given in the 'Total' columns in part (a) above. Part V ACTUARIAL VALUATION DATA: This part has further six sub-parts viz. (a) Establishments; (b) Pension Fund Membership; (c) Contribution; (d) Return of Capital; (e) Scheme Certificates issued; and (f) Scheme Certificates surrendered by the members. This is vital information to be furnished to the Consultant Actuary for the purpose of Annual Actuarial Valuation as required under the provisions of the Employees' Pension Scheme, 1995. The 'members under EPS, 1995' should only be furnished under "Membership column". (a) & (b) Information under the sub-heads 'Establishments', and the 'Membership' with regard to the open-ing balance; added during the month and particularly the establishments/members 'ceased during the month' due to various reasons has to be furnished separately under each of the columns. (c) As regards information to be furnished under the sub-head 'Contribution' it is for guidance that in the first column figures for the 'contribution due' for the current year i.e., April to the month of the return, be furnished. Similarly, the next column be furnished with the total contributions received upto the month, i.e., April to the month of the return. Contribution shall mean Contribution under the EPS, 1995. The next column relates to the 'establishments not contributing' under the EPS, 1995. This has to be filled with the cumulative figures forthe current year i.e., 'April to the current month'. This column includes 'No. of establisnments as well as the total amount of default for the current year till the current month. (d) This part relates to the 'Return of Capital' benefit opted by the members under para 13 of the EPS, 1995. Informauoahastobe furnished in four columns. In the first column.numberof cases where Return of Capital has not been opted. The other three columns relate to the three options available for availing the Return of Capital. Inf onnation should be collected and furnished separately for the differ ent options. There are three options available under this para. First option allows Revised Pension (90%) for life time of member with Return of Capital on his death. Under the second option Revised pension (90%) during the lifetime of member, furtherrednced pension (80%) during lifetime of the widow/remarriage, whichever is earlier and Return of Capital on her deathlremani age. ThIrd option allows pension (87.5%) for a fixed period of 20 years and Return of Capital at the end of 20 years to the member/nominee. 131
- 145. Figures relating toReturn of capital opted/not opted against the three types of pensions viz., Superannuation; Early Pension; Disabled Pension should be furnished separately. Figures for the current year i.e., 'April to current month' and the progressive figures (i.e., carried forward from earlier years) should be furnished in the relevant columns, (e) Scheme Certificates Issued: In this part, number of Scheme Certificates issued to the members 'during the month' and 'during the current year' i.e., April to Current month_shall be furnished separately in the relevant columns. (f) Scheme Certificates surrendered by Members: This part relates to the Scheme Certificates surrendered by the members for availing benefits/continuing membership. Scheme Certificates surrendered 'during the month' and 'during the current year' i.e., April to Current month_shall be furnished separately in the relevant columns. PART VI FINANCIAL DATA FOR ACTUARIAL VALUATION (a) Monthly Pension payments (During the months): This part deals with the figures relating to the amount paid towards monthly pension (Form IOD cases) during the month. There are six main columns showing the nature of pension viz., Member Pension; Widow Pension; Children Pension; Orphan Pension; Nominee Pension and the Parent Pension. First four columns have been further divided into sub-columns indicating the contingency of drawing the pen-sion. Separate information has to be furnished indicating the amount paid during the month against each sub-column.ln the total column, total amount disbursed (total of all the 12columns preceding the 'total column') towards different pensions during the month has to be furnished. (b) Monthly Pension payments (During the year): This sub-part (b) is similar to sub-part (a). Only difference is that in this sub-part, figures for the current year (April to current month) should be furnished. (c) Commutation of Pension: This sub-part has two main columns, Each column has further two sub-columns.ln the first main column information relating to the current month has to be furnished whereas in the second column information relatingto the current year (April to current month) has to be furnished. First sub-column relates to the 'num.ber of cases' where COP--h-as been dis_.bursed and the second sub-column relates to the 'amount disbursed' towards COP against that number, (d) Return of Capital Paid: This sub-part has also two main columns and each column has further two sub-columns. Figures relating to the current month and the current year as in (c) above has to be furnished against the respective columns separately against the three different option. 132
- 146. 1 (e) Capitalvalue of Pension (Return of Capital) paid to nominee: Para 16(5)(b) of the EPS, 1995 provides for allowing to the nominee the Return of Capital under para 13(1) if the member who had retained membership, dies without rendering pensionable service on the date of exit from employment. Similar to sub-para (c) & (d) above, this part has also two main columns and each main column has further two sub-columns relating to the current month and the current year. Information may be furnished accordingly. (I) Withdrawal Benefits: In this part details of withdrawal benefits paid against Form 1QChas to be furnished. Like previous sub-part this sub-part (0 has also two main columns and further two sub-columns under each of the main column. Details regarding number of cases settled and the amount paid towards that number has to be furnished against the relevant columns. 133
- 147. MONTH ....,--_ .REGION _ EMPLOYEES' PENSION SCHEME, 1995 CONSOLIDATED MONTHLY RETURN Part I Classification of Pensioners Opening Added Deleted Closing Balance during the during the balance month month (End of this month) a) Member Pensioners i) Early Pension (50-57 years) ii) Superannuation Pension(58 years) iii) Disablement Pension. TOTAL b) Spouse Pensioners i) Death in service - EFPS 71 - EPS 95 . ii) Death away from service. TOTAL c) Children Pensioners i) EFPS, 1971 ii) EPS95 TOTAL d) Orphan Pensioners- -"_."" - " e) Nominee Pensioners t) Parent Pensioners Grand Total (a+h+c+d+e+f) 134
- 148. Part 11 DatabaseCreation (Members Data in Form-9IForm-2 Members of E.P.F. Form-2 Form-2 Database created issued received Data entry in computer Dafa Transferred toEPFO systems Tctal Contributing Members Members Estts. Members Members members as members on 1.1April Part m Detalls of Exemption Applications Opening No. of SenttoHqrs Retumedto Rejected Closing Balance applications for grant of Estt.for Balance recvd During exemption rectification the month Note: - Enclose the list of establishments sent to Head Office for cross verification. Part IV a) Establishmentl Amount in Default under the Employees' Pension Scheme, 1995 Rs. inlakhs TOTAL NO. OF FSIT. NO. OF ESTrs. IN PROGRESSlVEAMT. IN AMT. OFCONfR. IN DEFAULT UPI'011IE END DEFAULT· DEFAULTFOR11IE OFnmMON11I (Rs, in Iakhs) CURRENfYEAR[I'ROM I-APRIL TQTIlEENDOF - nJECURRENI'MONI1I] (Rs. in lakbs) Unexe. Exe. Total· Unex.·· E& Total Unex. Exe. Total Unex. Exe. Total ,· .• ·0',,. " ,•.".! .•, .. Note:- The above figures should tally with the MIS/ABP/Annual Report figures of the region. 135
- 149. b) Details ofdefault - Public Sector and Private Sector - Bifurcation PUBLIC SECTOR NO. OF ESTTS. IN PROGRESSIVE AMT. IN AMT. OF CONTBN. BELONGING TO DEFAULTUPTOTHE DEFAULT * IN DEFAULT FOR THE MONTH (Rs, in lakhs) CURRENT YEAR [FROM I· APRIL TO THE END OF THE CURRENT MONTH] (Rs, in lakhs) Unexe. Exe. Total Unexe. Exe. Total Unexe. Exe. Total 1. Central Govt. 2 Union Territory 3. State Govt. 4. Local Bodies/Municipal Committee etc. TOTAL (1 to4) 5. Private Sector 6. Any other (PI. classify) GRAND TOTAL ** • Progressive total carried forward from earlier years to the end of current month .* This should tally with the details under (a) Part V ACTUARIAL VALUATION DATA a) Establishments Category Opening Added during the Ceased during the month Closing balance 136 balance month Unexe. - • _··'._c - Exe. -, , 10fAL =
- 150. b) Pension FundMembership Category Opening Added Clg. Balance During Bal. the Ceasedduring themonth month -- Super- Early Disab- Death Death Scheme With- Total (2+3 annua- Pension lement In away Certifi- drawaI (4t5+6 -11) tion Pension service from cate benefit +7+8+9 , service cases settle- +10) ' ment (1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) Unexe. Exe. TOTAL '- c) Contribution Rs.inlakhs Category Toml centrfbutlo» due Total contributleus Estts. Not contributing upto upto the month received upto the the month (April-current month) month (April-current menfh) (April-current month) No. of Estts. Total amount Unexe, Exe, TOTAL d) Details of Pensioners not opted/opted for RETURN OF CAPITAL (April-upto the month)/progressive. Category Life Pension Option I Life Pension Option-I1 RevRd Option.m Pension for (ROC not opf"<l) withROC Pension to members! Fixed period - 20 . (Number) (NumbeJ") pension to widow years with ROC withROC (Number) (Number) Current *Progressive Current *Progressive Current *Progressive Current *Progressive year ----- -year~ .. year - year "- Superannuation Early pension Disabled , pension * Progressive detail.s carrie.d forward from earlier years to the end of cu"elll molllh. 137
- 151. e) Number ofScheme Certificates issued No. of Scheme certificates issued to members During the month During the year (April-current month) f) Number of Scheme Certificates surrendered by Members (issued earlier by the EPFO offices) (April-current month) I During the month During the year Note:-The Statistical figures from (a) to (f) should tally with the MIS/ABP/Annual Report figures of the region. Part VI FINANCIAL DATAFOR ACTUARIAL VALUATION Details of amount paid towards monthly pension (Form 10Dcases) a) During the month Rsinlakhs Member Pensioners Widow Pension Children Orphan Nominee Parent Total Pension Pension Pension Pension Amount Super Early Disab- Death Death Death Death Death Death Death annua Pens- led in away of inI of in! of tion Ion Pensio- Service From Member Away Member Away Member ners Service Pensio- From Pensio- From Pensio-ner Service ner Service ner b) During the year (April to current month) Rsin lakhs Member Pensioners Widow Pension Children Orphan Nominee Parent Amount Pension Pension Pension Pension Total Super Early Oisab- Death . Death Death Death Death Death Death , annua Pens- led in away of inI of inI of tion Ion Pensio- Service From Member Away Member Away Member ners Service Pensio- From Pensio- From Pensio-ner Service ner SeJVice ner 138 ' , if .~ J
- 152. ,• cJ Detailsof cases relating to commutation of Pension (COP) ;I i. ,,'.' Amount disbursed towards COP Amount disbursed towards COP during the during the month current year (April-current month) Number . Amount Number Amount (Rs. in lakhs) (Rs. in lakhs) d) Details of Return of Capital paid Rsinlakhs ROC OPTION DURING THE MO~lH DURING THE YEAR (APRIL -CURRENT MONTH) Number Amount Number Amount Option 1 Option 2 Option 3 TOTAL e) Details ofCspita! Vruu~ of Pension (Return of Capital) paid to nominee under para 16(5)(b) of Employees' Pension Scheme, 1995. DURING THE MONTH DURING THE YEAR Number Amount Numb+ Amount f) Details of withdrawal benefits paid (Form lO-C cases) Rsinlakhs DURING THE MONTH DURING THE YEAR (April-Current Month) - -~...-. " Number Amount Number Amount " = , .' ',,', i ) Note:- The payment figures (a) to (0 should tally with the Balance Sheet Figures of the Region. 139