Over 7000 Air India employees get EPFO cover for social security

Air India has availed the Employees' Provident Fund Organisation coverage for its employees. Air India, which has been taken over by the Tatas, had applied for being voluntarily covered under the EPFO and the same has been approved for them.

A press statement issued by the Ministry of Labour & Employment has informed it and said, “EPFO on boards Air India for social security coverage to service the Social Security needs of their employees. Air India Ltd applied for voluntarily covered u/s 1(4) of the EPF & MP Act 1952 which has been allowed vide gazette notification dated 13.01.2022 w.e.f. 01-12-2021.”

7453 employees of Air India will get this social security benefit and the company has already filed its contributions with the EPFO for the month of December 2021.

According to the Ministry, the Employees of AIR INDIA now will be entitled to the following benefits:

(1) The employees will receive extra 2% employer’s contributions in their Provident Fund Accounts at 12% of their wages. Earlier they were covered under the PF Act of 1925, where the contributions to the Provident Fund was at 10% by employer and 10% by employee,

(2) EPF Scheme 1952, EPS 1995 and EDLI 1976 will now be applicable to the employees.

(3) A guaranteed minimum pension of Rs 1,000/- will be available to employees and pensions to family and dependents in case of death of employee.

(4) An assured insurance benefit in case of death of member will be available in the range of minimum Rs.2.50 Lakh and maximum 7 Lakhs. No premium is charged to the EPFO covered employees for this benefit.