EPFO: Increase in gratuity on account of hike in DA put in abeyance with immediate effect

The circular, signed by SK Suman, further Central PF commissioner, reads: “The circular fig HRD-1/8/2024/Misc-Circulars-Part(1)/1004 dated 30.4.2024 is kept successful abeyance with contiguous effect."

The EPFO released the circular connected Tuesday.

It is captious to callback present that the Union Cabinet had approved releasing further dearness allowance (DA) and dearness alleviation (DR) to cardinal authorities employees and pensioners effectual January 1. The DA has been raised from 46 percent to 50 percent of the basal wage oregon pension.

As DA hikes, each different related allowances specified arsenic location rent allowance (HRA), gratuity ceiling and hostel subsidy are besides acceptable to increase. This happens due to the fact that these allowances are linked to the DA and arsenic the DA rises, they emergence too.

After DA was hiked to 50 percent, the gratuity ceiling was besides raised from ₹20 lakh to ₹25 lakh.

The determination of raising the DA and DR was taken successful the tally up to wide elections and was aimed to soften the interaction of ostentation connected authorities employees and pensioners. 

This is acceptable to payment astir 4.9 cardinal authorities employees and 6.79 cardinal pensioners, costing the exchequer full of astir ₹12,868.72 crore. 

The summation was successful accordance with an accepted look based connected the recommendations of the seventh Central wage commission, a authorities had stated.

ALSO READ: DA hiked to 50%: Will it pb to higher basal wage for cardinal authorities employees? Key questions answered

Matters regarding NPS

In different news, EPFO besides released a circular announcing a caller email ID with regards to NPS related matters. The caller email id is epfohq.nps@epfindia.gov.in. This was announced successful a circular released connected May 3, 2024.

The circular besides says that immoderate references of NPS related matters pertaining to caput bureau volition present beryllium forwarded to the said email ID.

In fact, the pension money assemblage besides highlighted that pending references sent earlier are required to beryllium forwarded to the caller email ID.

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Published: 08 May 2024, 03:34 PM IST