The Employees' Provident Fund Organisation (EPFO) has announced that it will no longer provide Covid-19 advances to its members with immediate effect.
In a notification dated June 12, EPFO said, "As Covid-19 is no more a pandemic, the competent authority has decided to discontinue the said advance with immediate effect. This will be applicable to the exempted trusts also and accordingly may be intimated to all the Trusts coming under your respective jurisdictions."
In 2020, during the first wave of the pandemic, EPFO introduced a non-refundable advance for EPF members. Then, in May 2021, during the second wave, a second advance was made available.
The members were allowed to withdraw three months basic wages (basic pay + dearness allowance) or up to 75 percent of amount standing to their credit in their provident fund account, whichever is less.
The COVID-19 advance has been a great help to the EPF members during the pandemic, especially for those having monthly wages of less than Rs 15,000.
The provision for special withdrawal to meet the financial need of members during the pandemic was introduced in March 2020, under Pradhan Mantri Garib Kalyan Yojana (PMGKY).
An amendment to this effect was made by the Ministry of Labour & Employment in Employees' Provident Funds Scheme, 1952 by inserting therein sub-para (3) under paragraph 68L, through notification in the Official Gazette.
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