Air India & Indian Airlines employees to come under the ambit of EPFO from January 1

Thousands of employees of Air India International Corporation and Indian Airlines Corporation will come under the ambit of Employees Provident Fund Organization from January 1, 2022 with the labour ministry repealing related legislation that allowed them to be part of the exempted trust so far.

The shift to EPFO is expected to fetch higher returns on the provident fund kitty of Air India employees than what they were getting under the trust which was managed by the national carrier that was in huge losses.

“The central government hereby rescinds the said notifications, namely S.O. 434, dated February 1, 1962 and S.O. 272, dated January 25, 1963, except as respects things done or omitted to be done before such rescission under the said notifications,’ the labour ministry said, adding that this notification shall come into force with effect from the 1st day of January, 2022.


“After the majority of the employees having agreed for transfer of the existing provident fund of the employees of the Air India International Corporation and the Indian Airlines Corporation to the Employees’ Provident Fund Organisation on voluntary basis, the central government has decided to rescind the concerned notifications,” it said in a gazette notification.

The government is in the process of disinvesting its stake in Air India with Tata Group having won the bid to acquire the national carrier.