Please help me with a query regarding EDLI. An employee was working with our organization on the contractor payroll. Unfortunately, he met with an accident while working at home and passed away after only 3 months of employment. Is his nominee eligible for the EDLI claim? Additionally, is the nominee also eligible for a pension?
Please advise me.
Thank you.
From India, Kumar
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Please advise me.
Thank you.
From India, Kumar
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EDLI is the part of PF Act. I think employee must be a PF member. His nominees are eligible for the benefit of EDLI Scheme.
From India, Kumar
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2From India, Kumar
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Since it is a contract employee who died at home, the contractor certainly would have contributed towards EPF, and the next of kin is eligible for a family pension even if they have contributed one month's salary or contract amount, which is eligible and the minimum is payable.
Duties of Contractors
Every contractor shall, within seven days of the close of every month, submit to the principal employer a statement showing the particulars in respect of employees employed by or through him in respect of whom contributions to the Employees' Pension Fund are payable and shall also furnish to him such information as the principal employer is required to furnish under the provisions of this Scheme to the Commissioner.
Benefits to the Family on the Death of a Member
(1) Pension to the family shall be admissible from the date following the date of death of the member if the member dies:
- (a) while in service, provided that at least one month's contribution has been paid into the Employees' Pension Fund, or
- (b) after the date of exit but before attaining the age of 58, from the employment having rendered service entitling him/her to a monthly member's pension but before the commencement of pension payment, or
- (c) after commencement of payment of the monthly member's pension.
Note: The cases where a member has rendered less than 10 years of eligible service on the date of exit but has retained the membership of the Pension Fund, and dies before attaining the age of 58 years, shall be regulated under sub-paragraph (8) of paragraph 12. Subs. by G.S.R. 134 dated the 28th February 1996 (w.e.f. 16th March 1996).
Employees' Provident Fund Scheme, 1952
Employees' Pension Scheme, 1995
Employees' Deposit Linked Insurance Scheme, 1976
Benefits:
- Accumulation plus interest upon retirement, resignation, or death.
- Partial withdrawals allowed for specific expenses such as house construction, higher education, marriage, illness, etc.
- Monthly benefits for superannuation/retirement, disability, survivor, widow(er), children.
- Amount of pension based on average salary during the preceding 12 months from the date of exit and total years of employment.
- Minimum pension on disablement.
- Past service benefit to participants of the erstwhile Family Pension Scheme, 1971.
- The benefit provided in case of the death of an employee who was a member of the scheme at the time of death.
- The family will get 20 times the average wages of the last 12 months of the member.
- According to the revised scheme, maximum benefits under the scheme will now be Rs. 1,30,000/-, as the wage ceiling up to which contribution can be paid under the scheme is Rs. 6500/-.
Declaration:
Any person joining an establishment, to which the EPF & MP Act applies, shall compulsorily submit a declaration to his/her employer, whether he/she is already a member of Provident Fund (Form 11). This will ensure continuity of service and consequential benefits. In case he/she was a member, he/she shall also apply in Form 13 for getting the old account details and the fund balance to the new account.
Nomination:
There is a common Form for all three Schemes. Form 2 (R) The nominations in case of the EPF Scheme are also applicable for the EDLI Scheme. A member having a family can nominate any one or more of the family members as defined under Para 2 (f) of the EPF Scheme, 1952. A member not having any family member as defined in the said Para can nominate any other person, but the nomination will become invalid in case of the member acquiring a family. The member has to give the names of the spouse and all children in the prescribed Form. In case the member has no family, one person can be nominated. However, such nomination will become invalid once the member acquires a family. The nomination under the EPF Scheme will be applicable for the EDLI Scheme also.
Claim Forms:
- For final settlement by member: Form 19
- For Transfer of old account to the new one: Form 13
- For Withdrawal in certain cases: Form 31
- For financing LIC Policy: Form 14
- For final settlement in favor of nominee/beneficiary of a deceased member: Form 20
- For Monthly Pension: Form 10D
- For Withdrawal Benefit and Scheme Certificate: Form 10C
- For claiming Insurance Benefit by a nominee/beneficiary in case of a member's death while in service: Form 5IF
A member can view online the status of his Claim submitted to PF Office (Click Here). An employee working for an establishment can check whether the establishment in which he/she is working is covered under the EPF & MP ACT 1952 (Click Here). He/she can also check whether his/her PF deductions are deposited by the employer. This information is available from the financial year 2012-13 (Click Here). A member can register himself/herself on the Member Portal and download his/her e-passbook having transaction-wise details in the PF Account.
Thus, you can check the eligibility and the claim submitted accordingly. However, in the case of contract laborers, this needs to be ensured whether the contractor is submitting the payment contributions regularly.
Regards,
Gopinath.v
From India, Arcot
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Duties of Contractors
Every contractor shall, within seven days of the close of every month, submit to the principal employer a statement showing the particulars in respect of employees employed by or through him in respect of whom contributions to the Employees' Pension Fund are payable and shall also furnish to him such information as the principal employer is required to furnish under the provisions of this Scheme to the Commissioner.
Benefits to the Family on the Death of a Member
(1) Pension to the family shall be admissible from the date following the date of death of the member if the member dies:
- (a) while in service, provided that at least one month's contribution has been paid into the Employees' Pension Fund, or
- (b) after the date of exit but before attaining the age of 58, from the employment having rendered service entitling him/her to a monthly member's pension but before the commencement of pension payment, or
- (c) after commencement of payment of the monthly member's pension.
Note: The cases where a member has rendered less than 10 years of eligible service on the date of exit but has retained the membership of the Pension Fund, and dies before attaining the age of 58 years, shall be regulated under sub-paragraph (8) of paragraph 12. Subs. by G.S.R. 134 dated the 28th February 1996 (w.e.f. 16th March 1996).
Employees' Provident Fund Scheme, 1952
Employees' Pension Scheme, 1995
Employees' Deposit Linked Insurance Scheme, 1976
Benefits:
- Accumulation plus interest upon retirement, resignation, or death.
- Partial withdrawals allowed for specific expenses such as house construction, higher education, marriage, illness, etc.
- Monthly benefits for superannuation/retirement, disability, survivor, widow(er), children.
- Amount of pension based on average salary during the preceding 12 months from the date of exit and total years of employment.
- Minimum pension on disablement.
- Past service benefit to participants of the erstwhile Family Pension Scheme, 1971.
- The benefit provided in case of the death of an employee who was a member of the scheme at the time of death.
- The family will get 20 times the average wages of the last 12 months of the member.
- According to the revised scheme, maximum benefits under the scheme will now be Rs. 1,30,000/-, as the wage ceiling up to which contribution can be paid under the scheme is Rs. 6500/-.
Declaration:
Any person joining an establishment, to which the EPF & MP Act applies, shall compulsorily submit a declaration to his/her employer, whether he/she is already a member of Provident Fund (Form 11). This will ensure continuity of service and consequential benefits. In case he/she was a member, he/she shall also apply in Form 13 for getting the old account details and the fund balance to the new account.
Nomination:
There is a common Form for all three Schemes. Form 2 (R) The nominations in case of the EPF Scheme are also applicable for the EDLI Scheme. A member having a family can nominate any one or more of the family members as defined under Para 2 (f) of the EPF Scheme, 1952. A member not having any family member as defined in the said Para can nominate any other person, but the nomination will become invalid in case of the member acquiring a family. The member has to give the names of the spouse and all children in the prescribed Form. In case the member has no family, one person can be nominated. However, such nomination will become invalid once the member acquires a family. The nomination under the EPF Scheme will be applicable for the EDLI Scheme also.
Claim Forms:
- For final settlement by member: Form 19
- For Transfer of old account to the new one: Form 13
- For Withdrawal in certain cases: Form 31
- For financing LIC Policy: Form 14
- For final settlement in favor of nominee/beneficiary of a deceased member: Form 20
- For Monthly Pension: Form 10D
- For Withdrawal Benefit and Scheme Certificate: Form 10C
- For claiming Insurance Benefit by a nominee/beneficiary in case of a member's death while in service: Form 5IF
A member can view online the status of his Claim submitted to PF Office (Click Here). An employee working for an establishment can check whether the establishment in which he/she is working is covered under the EPF & MP ACT 1952 (Click Here). He/she can also check whether his/her PF deductions are deposited by the employer. This information is available from the financial year 2012-13 (Click Here). A member can register himself/herself on the Member Portal and download his/her e-passbook having transaction-wise details in the PF Account.
Thus, you can check the eligibility and the claim submitted accordingly. However, in the case of contract laborers, this needs to be ensured whether the contractor is submitting the payment contributions regularly.
Regards,
Gopinath.v
From India, Arcot
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If he is an EPF member, his nominee will receive EDLI as 20 times the salary (subject to a salary ceiling of Rs. 6500, accordingly, the ceiling of compensation will be Rs. 1,30,000).
If he has a spouse and children, they will receive a pension subject to the following conditions:
1. Widow/Widower pension - Lifelong but until remarriage.
2. Children's pension - At a time, for 2 children, until the age of 25 years.
Parents and other nominees are not entitled to receive a pension as his service is below 10 years.
Regards,
Abbas.P.S
From India, Bangalore
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If he has a spouse and children, they will receive a pension subject to the following conditions:
1. Widow/Widower pension - Lifelong but until remarriage.
2. Children's pension - At a time, for 2 children, until the age of 25 years.
Parents and other nominees are not entitled to receive a pension as his service is below 10 years.
Regards,
Abbas.P.S
From India, Bangalore
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