Pf schemes

What is the Subsidy Scheme by way of EPF Contribution under Atmanirbhar Bharat Rozgar Yojana? Who all are applicable for the same ?

The Hon’ble Finance Minister has declared Incentive to the Industries passing through difficulty due to Covid-19 Pandemic under the name and style of “ATMANIRBHAR BHARAT ROJGAR YOJANA” (ABRY).

The Central Government has given its approval for “ATMANIRBHAR BHARAT ROJGAR YOJANA” (ABRY) to boost employment in formal sector and incentivize creation of new employment opportunities during the Covid Recovery Phase under Atmanirbhar Bharat Package 3.0.

The salient features of the Scheme are as under:-

i] The Central Governmet will provide subsidy for two years in respect of new employees engaged on or after 1st October, 2020 and up-to 30th June, 2020.

ii] The Central Government will pay both 12% employees’ contribution and 12% employers’ contribution i.e. 24% of wages towards EPF in respect of new employees in the establishments employing upto 1000 employees for two years.

iii] The Central Government will pay only employees’ share of EPF Contribution i.e. 12% of wages in respect of new employees in the establishments employing more than 1000 employees for two years.

iv] An employee drawing monthly wages of less than Rs.15000/- who was not working in any establishment registered with the EPFO before 1st October, 2020 and did not have Universal Account Number (UAN) or EPF Member Account Number prior to 1st October, 2020, will be eligible for the benefit.

v] Any EPF Member having Universal Account Number (UAN) drawing monthly wage less than Rs.15000/- who lost employment during Covid Pandemic from 01.03.2020 to 30.09.2020 and did not join employment in any covered establishment up-to 30.09.2020, will also be eligible to avail the benefit.

Similar benefits given above are available but subject to the condition that the said Company must employ minimum 5 new employees or more. There is no upper limit of employment of New Employees.

In case any Industry is employing 1000 employees including Contractor’s employees irrespective of Separate Code, the said Industry is also entitled to the following benefits.

a) The Central Government will pay only employees’ share of EPF Contribution i.e. 12% of wages in respect of new employees in the establishments employing more than 1000 employees for two years. No other benefit is available to such employees including Contractors irrespective of Separate Code Number.

Number of employers are receiving SMS on their Phones regarding availability of benefits under the said Scheme. However, while uploading Data on site of EPFO, we do not find any option for taking the above benefits to the Industry.

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