Determination of Eligible Service for Settlement of Pension Claims

The EPFO has issued a clarification for the determination of eligible service for the settlement of pension claims related to workers of seasonal factories or establishments.

As per para 9(a) of Employees’ Pension Scheme, 1995 amended vide GSR 226€ dated 26.03.2015, The eligible service shall be determined as follows:-

(a) in the case of ‘new entrant’ the contributory service shall be treated as eligible service. The total contributory service shall be rounded off to the nearest year. The fraction of service for six months or more shall be treated as one year and the service less than six months shall be ignored.

Explanation: in the case of employees employed seasonally in any establishment the period of contributory service in any year, notwithstanding that such service is less than a year shall be treated as a full year.

It is clarified that in view of the above, if a seasonal factory/establishment was operational only for four months and if the employee has worked for those four months, his contributory service shall be treated as full year. It is reiterated that eligible service in respect of members of seasonal factories/establishments must be determined properly as per aforesaid amended provision.

Related Acts
  • PF Act

More Notifications

Discuss business needs, find out pricing or get a demo.
We would love to talk.

  • HR & Payroll Administration
  • What is HRMS?
  • What is Payroll?
  • What is Statutory Compliance?
  • Guide to Leave Management
  • Guide to Attendance Management
  • Holiday Lists 2023
  • Holiday Lists 2024
  • Gender Inclusivity Report 2024
  • Product
  • HR Software
  • Payroll Software
  • Leave Management System
  • Attendance Management System
  • Performance Management System
  • Employee Self Service
  • greytHR Service Status
GDPR Compliant certification badge
Soc2 certification badge
ISO Certification Badge
WhatsApp LogoMessage us on WhatsApp
© 2024 Greytip Software Pvt. Ltd.
Privacy PolicyTerms of Use