Govt rolls back decision on tightening PF withdrawal norms

"The notification issued on 10th February, 2016 is cancelled. Now the old system will continue," Union Labour Minister Bandaru Dattatreya said at a press conference here. "I will take ratification from CBT (Central Board of Trustees of EPFO)," he said after violence rocked Bengaluru for the second day when garment industry workers torched several buses and attacked a police station protesting against the tightening of rules. Giving reasons for the rollback, Dattatreya said, "The reason is the request of trade unions. The earlier decision (to tighten the PF withdrawal norms) was also taken by the opinion of the trade unions. Now, when the trade unions are requesting, then we have rolled back the decision." Earlier in the day in New Delhi, the Minister had said, "The notification (tightening PF withdrawal norms) will be kept in abeyance for three months till July 31, 2016. We will discuss this issue with the stakeholders." Dattatreya said employees and workers need not have any misconceptions in the wake of the cancellation of the notification. The decision would have barred withdrawal of the employer's contribution from the PF money till the age of 58 years. - PTI