Employees Provident Fund Organisation (EPFO) has issued guidelines dated February 20, 2023, giving procedure for eligible employees to apply for higher pension under the Employees Pension Scheme (EPS). Even employees who had not earlier applied for higher pension but were entitled to do so can now do so. Currently, the deadline to apply for higher pension under EPS is March 3, 2023 as mandated by the recent Supreme Court judgement.

As per the circular, in compliance of the SC judgement, the following employees with their employers may submit joint option under para 11 (3) and 11 (4) to the concerned Regional office:

  • The employees and employers who had contributed under paragraph 26(6) of EPF scheme on salary exceeding the prevalent wage ceiling of Rs 5000 or Rs 6500 AND
  • Did not exercise joint option under the proviso to Para 11 (3) of the pre-amended scheme (since deleted) while being members of EPS, 1995; AND
  • Were members prior to 1.9.2014 and continued to be a member on or after 1.9.2014

Thus, any employee who was member of Employees’ Provident Fund (EPF) as on August 31, 2014 and did not opt for higher pension under the EPS, has an option to opt for the same on or before March 3, 2023.

How eligible employees can apply for higher pension from EPS

The circular has provided the guidelines on how eligible employees can apply for higher pension. As per the circular, the manner in which such employees have to apply to the concerned regional office is as follows:

(i) The request will be made in such form and manner, as may be specified by the Commissioner

(ii)The joint option will contain the disclaimer and declaration as may be specified therein

(iii) In case of share requiring adjustment

from Provident Fund to Pension Fund and if any re-deposit to the fund, explicity consent of the employee will be given in the joint option form iv) In case of transfer of funds from exempted provident fund trust to pension fund of EPFO an undertaking of the trustee shall be submitted. The undertaking shall be to the effect that due contribution along with interest up to the date of payment, will be deposited within the specified period