EPFO Clears Path to Easier Fund Release

In a relief for employees whose savings are locked out because of an overlap in service periods, the Employees Provident Fund Organisation (EPFO), the state-backed retirement fund manager, has issued instructions that claims of such subscribers can't be rejected.

- Zia Haq

NEW DELHI:

An overlap in service period occurs when an employee is shown to be working in two different companies on the same date and this can happen when exit date from one company and the joining date in another firm overlap due to various technical reasons or errors.

"It has been observed that transfer claim requests are being rejected due to the issue of overlap in service periods by the regional offices. However, overlapping in services can occur due to genuine reasons and therefore the same should not be considered to be a disqualification per se in effecting transfers," a circular issued by the EPFO to all its offices on May 20 states.