This amount is only till March 2019 and the dues have since risen in the following months as the government faces continued financial pressure
The Centre’s statutory contribution to the Employees’ Provident Fund Organisation (EPFO) has touched Rs 9,115 crore, reports Mint. Notably, this amount is only till March and the dues since then have risen in the following months as the government faces continued financial pressure, the paper quoted a senior official as saying.
Moneycontrol could not independently verify the report.
Of the Rs 9,115 crore cumulative arrears, Rs 8,063 crore is owed toward employees’ pension scheme (EPS) and the balance towards minimum pension benefit for low-wage organised sector workers, another official told the paper.
The figure has skyrocketed as the government is clearing only portions of its arrears since 2014-15, instead of providing its yearly EPS contribution, the second official added. As a result, from the Rs 2,882.88 crore owed in March 2014, the amount has now crossed Rs 9,000 crore.
For 2018-19 too, the government cleared pending arrears of Rs 3,900 crore, instead of the Rs 5,483 crore contribution due. The same has occurred previously in 2012-13 and 2005-06, the report said.
The payment lag, termed ‘worrying’ was discussed by top EPFO managers in August and September, and the organisation has held back on raising pension for its own members in response, the article quotes a source as saying.