The deceased employee had worked under two establishment codes without any break in the same organization. However, the Provident Fund Authorities settled the death claim under EDLI based only on his provident fund balance, i.e., just Rs. 1,20,000/- instead of Rs. 6,00,000/-.

Employment Details

He had worked in two establishments:

First Establishment Code Service: From 01-11-2004 To 30-09-2015

Second Establishment Code Service: From 01-10-2015 To 25-08-2016

He died in August 2016.

Preceding 12 Months Salary

August 2015: Rs. 13,757.00
September 2015: Rs. 14,198.00

2nd Establishment:
October 2015: Rs. 13,899.00
November 2015: Rs. 13,899.00
December 2015: Rs. 13,899.00
January 2016: Rs. 13,899.00
February 2016: Rs. 13,899.00
March 2016: Rs. 13,899.00
April 2016: Rs. 15,000.00
May 2016: Rs. 15,000.00
June 2016: Rs. 15,000.00
July 2016: Rs. 15,000.00

His average salary was Rs. 14,279.

Please clarify how much amount the nominees will get under EDLI.

From India, Eluru
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Kindly inform whether the employee has transferred his PF balance from his first employer to the second employer. If he has transferred, then only the benefits of the first employer are available under EDLI.
From India, Mumbai
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GB
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The entire provident fund balance from previous account to present account have been transferred before members death. The provident fund balance is Rs.3,20,000/- on members death
From India, Eluru
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Clarification on Death Claim Settlement Under EDLI

I would like to add my perspective. I think Mr. GUNNAM_BHAGAVAN might be confused because, as he mentioned, settling a death claim under EDLI alone is not justified. Based on my knowledge, there are three parts under the act:

1. Employee Provident Fund
This is paid to nominees, consisting of whatever is deposited in the Employee Provident Fund.

2. Family Pension
This is calculated based on the total length of service and the last drawn salary. It is given to the nominee as well as the children.

3. EDLI
This is a linked insurance and works similarly to other insurances. It is based on 30 times the last drawn salary plus a bonus of Rs. 1.5 lakh. Therefore, there is no relation to the duration; it is solely insurance.

From India, Rudarpur
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Dear Mr. Gunnam,

As per the EDLI Act, paragraph 22-1, his PF balance averages Rs. 1 L - as he has not completed 1 year under the same employer. (Equals Rs. 50 K + 40% of the excess of 50 K, max to Rs. 1 L.) As per EDLI Act, paragraph 22-4, the amount arrived at as per paragraph 22-1, 2, 3 - 20% in addition, whichever is higher. Accordingly, Rs. 1 L + 20% = Rs. 1.20 L is the EDLI amount.

Thanks,
Vidyadhar Bhat

From India, Pune
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If an employee not attended his duties for 6 months and not received any salary and he died , will EDLI benefits are applicable or not ??
From India, Pune
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Dear Mr. Chandratre,

The payment is done as per para 22-1 or 2 or 3, whichever is higher. Para 22-1 is related to PF balance, and para 3 is related to 12 months wages, max 15K, in the same establishment. If there are no wages for six months, naturally the average will be lower, and he will be eligible for benefit para 1 as mentioned above.

Thanks,
Vidyadhar Bhat

From India, Pune
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If an employee declared absconded as he remained absent from work due to severe illness but was neither terminated nor resigned in writing, and he passed away after 3 months, is he eligible for EDLI and family pension? He worked in the company for 6 years, and all these events happened unintentionally. What is the solution for this?
From India, Guwahati
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Anonymous
Eligibility for EPFO Pension

My brother-in-law was employed in a travel agency based in Gurugram and had worked there for more than 9 months. He died in a road accident in November 2010 while returning home from the office. His company later forwarded a request to the ESI Haryana authority to grant an ESI pension on account of a job injury. My sister, along with her two minor children, has been receiving an ESI pension from November 2010 until today.

Due to ignorance, we did not follow up on the EPF-EDLI pension. I request your guidance on whether she is eligible for an EPFO pension in the same way as ESI. If yes, what procedures are required, and what formalities need to be completed? Please provide a detailed explanation.

I would be highly obliged for an earliest response.

Regards, [Email Removed For Privacy Reasons]

P. S. Negi
[Phone Number Removed For Privacy-Reasons]
16th August 2018

From India, Lucknow
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Dear Negiji,

Please find out from the employer whether the deceased employee was covered under EPF at the time of death. If yes, contact the employer for the following:

1. Refund of EPF accumulations to nominee/wife
2. Pension for wife & 2 children under EPS, 1995
3. Claim under Employees' Deposit Linked Insurance Scheme to nominee/wife for death while in service

Thank you.

From India, New Delhi
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