Gap between PF accounts and contribution

The total number of Employees’ Provident Fund (EPF) member accounts as on 31.03.2016, as per Annual Report for 2015-16, is 17.14 crore. On an average, contributions have been received in respect of 3.76 crore members during the year 2015-16.  Reasons for this gap are as under:-

(i) The members after switching over from one covered establishment to another, especially, those employed in seasonal establishments and contractor workers, do not withdraw or get their balance transferred to the new Provident Fund (PF) account resulting in multiple accounts.

(ii)  It is not statutorily mandated for members to withdraw the accumulations after they are no longer in employment.

The total number of EPF member accounts as on 31.03.2016, as per Annual Report for 2015-16, is 17.14 crore. Further, there is no dormant account in Employees’ Provident Fund (EPF). However, as per para 72(6) of the Employees’ Provident Funds Scheme, 1952, certain amounts are classified as ‘Inoperative Accounts’ in which contributions have not been received for 36 months continuously. All such Inoperative Accounts have, however, definite claimants.

The State/UT-wise details of accounts/ members is enlisted.

The total number of members (on an average) whose contributions have been received during the last three years are as under:-

• 2013-14  :  3.26 crore
• 2014-15  :  3.49 crore
• 2015-16  :  3.76 crore

State/UT-wise details of average contributing members as on 31.03.2016 is enlisted.

ESTABLISHMENTS AND MEMBERS – STATE/UT-WISE (AS ON 31-03-2016)

This information was given by Shri Bandaru Dattatreya, the Minister of State (IC) for Labour and Employment, in reply to a question in Lok Sabha today.