The Employees Provident fund is managed by an organisation called the Employees Provident Fund Organisation (EPFO). This organisation is the largest provident fund institutions in the world. It manages the provident funds of around 5 crore workers of India. In the recent years there were many cases of defaults in provident fund contributions by employers found. So the EPFO is planning to issue monthly statements to the workers instead of annual statement. By this development workers would become well aware of the defaults done by their employer immediately and can report to the appropriate regulatory authority.
Every subscriber is expected to have a detailed statement from FY12-13. Provident fund contribution is a compulsory contribution of employee, 12% of the salary (Basic and D.A) is deducted from the employee’s salary and the same amount have to be added by the employer and it is the responsibility of the employer to deduct this EPF and deposit it in EPFO. There are a number of defaulters those who are not depositing such amount in EPFO or not depositing in Time. So to overcome such a tendency the EPFO decided to give monthly statements which helps the employee to know whether the employer deposited the amount or not.
At present, about 20,000 crore to 30,000 crore is added to the corpus every year. With the technology advancement in Government organisations, it will be possible to issue the detailed monthly statement from next fiscal. This is a good movement from EPFO. We also hope that in the near future, the EPFO may make available online access of the individual details to the registered subscribers. It is the right of each subscriber to know the details of their investment (Contribution) and the growth of their contribution.Google+