Retirement fund body EPFO is likely to approve on Tuesday a proposal to provide insurance cover to its subscribers for three years after cessation of employment.
The Central Board of Trustees (CBT), which is the main decision-making body of Employees' Provident Fund Organisation, is scheduled to meet on Tuesday.
According to the agenda of the meeting, a proposal to introduce voluntary retention of EDLI membership to subscribers at reduced rate of contribution for three years after cessation of employment would be discussed.
The CBT will consider a proposal for an amendment to Employee s Deposit Linked Insurance (EDLI) Scheme that presently provides up to Rs 3.6 lakh insurance coverage.
The employers are required to pay 0.5% of basic wages of workers as premium for the insurance scheme for their workers. The workers used to lose membership or benefit of scheme after quitting job.
The CBT will also consider a proposal to provide interest to inoperative account holders of the EPFO subscribers. The inoperative accounts are those accounts wherein the contribution has not been received for 36 months.
