An open letter by the President of the Retired Employees Association to CBT Members on EPS 1995 Pension - Karma Global
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An open letter by the President of the Retired Employees Association to CBT Members on EPS 1995 Pension

 

Contents News/Article Date: 4th March 2023

Relating to which Act: The Employees Provident Funds & Miscellaneous Provisions Act, 1952; 

Applicable to which State:  All the establishments in the States with PF coverage

Type: An open letter by the President of the Retired Employees Association to CBT Members on EPS 1995 Pension  

Pertains to: Establishments and Members of PF Fund  

Relevance of this news: Karma Global is in the business of HR Services, Payroll, Outsourcing, and Regulatory Compliances right from its inception in 2004 since then, has brought in a lot of efficiencies and technological upgradations with experts on its role, to ease the hassles of Payroll Processing, Temp Staffing, On-boarding, Employee Life Cycle, Statutory, Regulatory, and Payroll compliances by providing customized solutions to all its elite clients.

Now Karma Global is also fully into labour compliance for nearly 18 years and is helping both establishments and workers for the fulfillment of obligations as per the laws of the land.  It has over 200 staff, both direct and indirect on its rolls and operates on Pan India basis.  Recently, it has diversified into foreign shores as well, into countries like the US, UK, UAE, Canada, Philippines, and Asia for handling payroll, outsourcing, recruitment, and governance.

And in this instance: Please refer to my earlier mails sent before the CBT meeting.

  1. The poor old age pensioners had high hopes that some fruitful result will be there. But all of them are now deeply disappointed and are thinking that the CBT members were perhaps there to meet but did not raise any issue of the pensioners.
  2. The only result of the hike in interest rate is not at all concern of the old poor pensioners.
  3. Perhaps you people have forgotten that your primary role is to safeguard the interests of employees including pensioners. Your appointment as a CBT member of this EPFO fund is to watch and check every act of EPFO, that is why employees and employer representatives are so appointed there.

And in the last instance: The online joint (employee and employer) option form with the necessary documents has been hosted by EPFO in the unified portal for contributing to higher salary to the EPS-95. The form paves the way for giving effect to the SC order dated 04.11.2022 while adhering to the basic scheme provisions. More than 8,000 members have already applied online as of date though the submission deadline is 03rd May 2023. Since the contributions of both the employee and employer on higher wages are involved, the EPF and EPS-95 schemes require a joint request when they contribute to a higher salary. This is not a new requirement and predates the EPS-95 and the position has been affirmed by SC in the RC Gupta case stating that it is a necessary pre-cursor for exercising the joint option of higher salary under EPS.

Subject: A worthy representation to CBT members on EPS 95 Pensioners made by the President of Retired Employees Association

 

Appended is the complete news item

 

A worthy representation to CBT members on EPS 95 Pensioners

 

Dear Sir,

Please refer to my earlier mails sent before the CBT meeting. The poor old age pensioners had high hopes that some fruitful result will be there. But all of them are now deeply disappointed and are thinking that the CBT members were perhaps there to meet but did not raise any issue of the pensioners.

  1. The only result of the hike in interest rate is not at all concern of the old poor pensioners.
  2. Perhaps you people have forgotten that your primary role is to safeguard the interests of employees including pensioners. Your appointment as a CBT member of this EPFO fund to watch and check each and every act of EPFO, that is why employees and employer representatives are so appointed there.

I agree with the Hon’ble Minister who says that the judgment of the Supreme Court dated 4.11.2022 will be implemented and in that direction, two circulars dated 29.12.2022 and 20.2.2023 have been issued by the EPFO. But ever you CBT members asked him why these both circulars are conditional and from where these conditions are picked from the supreme court judgment dt.4Nov 2022.

  1. Just ask whether you are doing justice to the poor pensioners and whether you have left the poor pensioners at the mercy of EPFO officials who are bent upon ensuring that the poor pensioners are given their dues despite their fight in the Apex Court for the last about a decade.
  2. I know for granted that most of the poor pensioners are seeking injustice done to them for which their representatives have not raised their voices in the CBT meeting.
  3. I would suggest you go through the two circulars of EPFO and try to convince yourself whether the conditions laid down in the circulars dt 29 Dec 22 and 20th Feb 23 are part and parcel of the apex court judgment.

Try to see the Supreme Court judgment dt 4/11/22 operating para no 44 that where these three conditions are written: –

  1. a) where proof of written permission under 26(6) of the PF Act
  2. b) Joint Request for higher pension under 11(3) by employees and employer.
  3. c) Refusal letter by EPFO on 11(3) request by employee and employer.

You may ask EPFO that to how many exempted organizations (out of 1375) and non-exempted organizations have been permitted 26(6) of the PF act. Even if the option for a higher pension was stopped by EPFO in 2004, then who can have got permission for a higher pension? Under the garb of the 4/11/22 judgment, EPFO had suspended the higher pensions of those who were drawing higher pensions on the basis of so many judgments of various high courts and the Supreme Court. Even the higher pension of RC Gupta was suspended from 1/1/23. It means RC Gupta’s judgment is reversed but in judgment dt 4th Nov 22 where it is reversed.

Try to ask EPFO about the veracity of statements of EPFO advocates before the court about the actuarian report that there will be a load of 15Lacs crores of rupees if all be given a higher pension. Ask EPFO to provide you numbers of eligible retired employees and the average load on a single person. We have it.

You all CBT members along with the EPFO body is responsible if we poor old aged pensioners didn’t get a higher pension.

 

At the end I may request you to please: –

Ask EPFO for copies of the following.

  1. A) List of exempted and non-exempted trusts to whose employees are given permission under 26(6) of the PF act and their counts.
  2. B) In absence of 26(6) of PF act permission companies and their employees are being contributed higher wages, EPFO was examining their records regularly and was charging 1.16% of employer contribution but did EPFO raise any objection in writing about 26(6)? If, not why?

For non-exempt organizations, EPFO is still paying interest every year and printing of copies of PF accounts was being done regularly ignoring 26(6) permission. How all the organizations are deducting PF on higher wages and EPFO/Ministry is keeping MUM?

  1. C) Copy of legal vetting/approval of circular dt. 29/12/22 and 20/2/23 for implementation of supreme Court judgment dt 4 Nov 22.
  2. D) Where are conditions written in the judgment dt 4th Nov 22, imposed in above both the circulars dt. 29/12/22 and 20/2/23.
  3. E) Please ask for a list of eligible retired employees as per the above two circulars.
  4. F) In judgment dt 4th Nov 22 where RC Gupta’s judgment dt 4/10/16 is reversed. If not reversed why pension of those pensioners who were getting higher pensions based on RC Gupta’s judgment is stopped from Jan 23?

Ask for a Copy of approval from the Ministry of L&E on this issue.

  1. G) Figures of eligible retired employees for higher wages and average load on each.
  2. H) if all these doings are being done by your approval in CBT meetings or not? If not, why?
  3. I) Why corrections in Name spellings, changes, etc. in UAN is not being done on an urgent basis? People are waiting for more than 15 days for correction at EPFO end.

Still, we think that we can provide u with all the EPFO documents and other relevant material for your study, just mail or call on us.

We hope that you will act as a representative of employees and employers. If your efforts get positive, please share. I am vice president of NCR writ petition no 1134/18 having lacs of its member and about 120 retired associations are members of NCR. Any positive indication sent by you will be spread all over India without losing a second.

 

Thanks and regards.

President

Retired employees NFL Association

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