EPFO adds 1.39 crore subscribers in past two financial years

The web addition to subscriber base of Employees Provident Fund Organisation (EPFO) rose from 61.12 lakh in 2018-19 to 78.58 lakh in 2019-20, marking a development of 28%, the federal government mentioned on Monday.

The subscriber development is on account of decrease exits and better rejoining by exited members, in keeping with a press release issued by the ministry of labour and employment.

The tax-free returns of 8.% for 2019-20, which is likely one of the highest amongst different social safety devices and glued deposits, has helped EPFO scale back its exits for 2019-20 by round 10% as in contrast with the earlier 12 months.

Moreover, there was a strong improve of about 75% by way of rejoining by the members exited from 43.78 lakh in 2018-19 to 78.15 lakh in 2019-20.

“The auto-transfer facility which enables hassle-free transfer of provident fund balance from the old account to the new account on change of job has played a big role in ensuring continuity of membership in many cases,” the ministry mentioned within the assertion.

Age-wise evaluation throughout 2019-20 signifies that for the age group 26 to 28, 29 to 35 and past 35 the web enrolment elevated by greater than 50 per cent in comparison with the earlier 12 months.

Besides, enrollment of feminine employees has gone up by round 22% throughout 2019-20 in comparison with earlier years which signifies better feminine participation within the formal workforce.

A complete of 1.13 lakh new institutions began compliance for the primary time throughout 2018-19 and 2019-10. Simplification of compliance course of enabling institutions to acquire PF code simply by means of portal and facility of submitting digital challan-cum-return on-line has promoted voluntary compliance by institutions.

Category-wise evaluation of business signifies that hospitals and financing institutions have proven greater than 50 per cent development whereas buying and selling and industrial institutions, textiles and institutions offering cleansing and sweeping providers have all grown at better than 20% by way of web enrollment.