TUs to protest on Friday against lower EPF rate

NEW DELHI: Trade unions today gave call for day-long nationwide protest on Friday against Finance Ministry's decision to fix 8.7% interest rate for provident fund subscribers, lower than 8.8% decided by the EPFO.

“While condemning such arrogant anti-worker approach of the government, central trade unions call to protest by holding demonstrations, meetings on April 29,” said a joint statement by 10 central trade unions on Tuesday.

The unions include Indian National Trade Union Congress, All India Trade Union Congress, Centre of Indian Trade Unions and All India United Trade Union Centre.

However, RSS-backed Bharatiya Mazdoor Sangh has opted out. BMS general secretary Virjesh Upadyay said, “BMS will hold a nationwide protest tomorrow (Wednesday).”

Unions strongly denounce the “unilateral reduction” in interest rate on Employees Provident Fund ( EPF) from 8.8% to 8.7%, ignoring the unanimous decision of tripartite Central Board of Trustees (CBT) of EPFO, the statement added. CBT, which is headed by the labour minister, is the apex decision making body of the Employees Provident Fund Organisation (EPFO). It is probably for the first time that the finance ministry has overruled the decision of the Central Board of Trustees (CBT) on the interest rate.

“CBT of EPFO, in its meeting chaired by labour minister ( Bandaru Dattatreya) unanimously decided the interest rate on EPF at 8.8% as an interim measure with an indication of increasing it further,” it said.

But the finance ministry, imposed its decision to reduce the interest rate further to 8.7% without even consulting the CBT, it added.