epfo: CMPFO dismantles panel learning EPFO merger

Kolkata: Coal Mines Provident Discover Organisation (CMPFO) has dismantled a three-member panel shaped just lately to look at its merger with Workers Provident Organisation (EPFO) because it was constituted following “misreading” of minutes of a ministerial assembly held three years in the past.

Late final month, CMPFO had in a letter knowledgeable {that a} three-member panel was shaped to look at the merger following a letter from the ministry in early March.

In a press release issued final week, CMPFO mentioned that its letter, by which the panel to look at the difficulty of merger was constituted, has been withdrawn by the competent authority since presently there was no such proposal into account.

“The structure of the aforementioned committee was as a result of misreading of the minutes of the assembly of the committee held on 01.05.2017 which, amongst different points, additionally consisted of the difficulty of merger of CMPFO with EPFO.

“The intent of the letter from the ministry of coal dated 06.03.2020 was to hunt an motion taken report on administrative and actuarial points mentioned within the assembly held on 01.05.2017,” it mentioned.

ET had on Could 7 reported on the formation of the three-member committee at CMPFO to look at its merger with EPFO.

CMPFO, manages greater than Rs 1.13 lakh crore coal employees’ retirement funds. Its Rs 13,000 crore pension fund is at present receiving round Rs 309 crore from some 480,000 coal employees. Outgo in paying pensions to round 500,000 retired coal workers is round Rs 283 crore each month. It’s anticipated to completely deplete inside the subsequent eight years except contribution to the fund is elevated.

As a way to bridge the hole, CMPFO’s board of trustee determined to ask for voluntary contribution of Rs 10 for a tonne of coal offered to the pension fund.

Final week, the practical administrators of Coal India determined to put the proposal on the subsequent board assembly. It’s anticipated to contribute not less than Rs 600 crore yearly to the fund.

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