The Hindu Business Line : EPF concerns

When an employee covered under the EPF & MP Act, 1952 dies while in service, his family is entitled to the Employees Deposit Linked Insurance benefit (EDLI), subject to a ceiling of Rs 60,000.

The issue here is whether the family members claim the amount immediately after the death of the employee or after a few years, the sum paid is the same.

This is a great loss to the deceased member's family.

Hence, the EPFO must sanction the EDLI benefit along with the interest on a par with the Employees Provident Fund interest from the date of death of the employee to the date of realising the EDLI benefit, subject to the said ceiling since EPF & EDLI schemes are inter-related.

The other pointis that the benefit under the EPF scheme is paid either when the employee is alive or dead. On the other hand, the benefit under the EDLI scheme is paid only on the death of a member while in service.

To equalise the benefit under the EPF & EDLI scheme, the EPFO should also pay some nominal benefit to the family members of employees who die after retirement.

V. Sundaralingam

Vellore

Letters to the editor and contributions can be sent by e-mail to: bleditor@thehindu.co.in

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