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Which of the statement regarding EPFO is correct? The Employees' Provident Fund Organization (EPFO) has set the interest rate on Provident Fund Deposits for 2021-22 at 8.1%, down from 8.5% in the previous fiscal year 2020-21 The EPFO provides the rate of interest only after it has been ratified by the government through the Finance Ministry It comes under the purview of the Ministry of Labour and Employment.

Which of the statement regarding EPFO is correct? The Employees' Provident Fund Organization (EPFO) has set the interest rate on Provident Fund Deposits for 2021-22 at 8.1%, down from 8.5% in the previous fiscal year 2020-21 The EPFO provides the rate of interest only after it has been ratified by the government through the Finance Ministry It comes under the purview of the Ministry of Labour and Employment. Correct Answer all are correct

Correct answer is all are correct

Key Points

EPFO Sets Its Interest Rates on PF for 2021-22 At The Lowest Level

  • The Employees' Provident Fund Organization (EPFO) has set the interest rate on Provident Fund Deposits for 2021-22 at 8.1%, up from 8.5% in the previous fiscal year 2020-21.
  • This decision was taken by the Central Board of Trustees (CBT), the apex decision-making body of the EPFO, and will be sent to the Ministry of Finance for consensus.
  • The EPFO provides the rate of interest only after it has been ratified by the government through the Finance Ministry.
  • The EPF interest rate stood at 8 per cent in 1977-78, and this 8.1% is the lowest it has been in more than four decades. This interest rate was set by the retirement fund body for its approximately 50 million subscribers for the current fiscal year ending March 31.
  • The possible reason behind this decision is the low earnings of EPFO due to the COVID-19 pandemic. It delayed its payments for 2019–20 and paid the interest in two instalments, deriving from two sources of its investments—8.15% from debt investments and 0.35% from the equity portfolio.
  • EPFO had lowered the interest rate on provident fund deposits to a seven-year low of 8.5 per cent for 2019-20, from 8.65 per cent provided for 2018-19.
  • The EPF rate for 2017–18 was 8.55%.​

Additional Information

About Employees' Provident Fund Organization (EPFO)

  • It is India’s largest social security organization, mainly encouraging people to save for retirement, among others.EPFO comes under the purview of the Ministry of Labour and Employment.
  • The Central Provident Fund Commissioner (CPFC) is the Chief Executive Officer of EPFO and is the ex-officio Member Secretary of the Central Board.
  • CEO of EPFO - Ms. Neelam Shami Rao
  • Establishment - 1951.
  • Head Office – New Delhi.

Related Questions

What is the total number of employees in the company? Which of the following option is sufficient alone to find the answer? A) In the company, employees like either tea or coffee or cold drink. Out of the total employees, 25% like tea and 40% like coffee. Out of remaining employees, 20% like cold drink and remaining employees don’t like any of these drinks. B) Out of total employees 18% working in the marketing departments, 35% working in IT departments. From the remaining employees 25% working in HR departments and 45% working in content departments and remaining 141 are working in other departments. C) Employees working in the company is form state X, Y and Z. 20% of employees working in the company is from state X and from remaining 60% employees is from state Z and the remaining employees is from the state Y. D) 60% of the employees in the company are married and remaining employees are unmarried. The ratio of male and female unmarried employees is 4 : 5 and ratio of married male and female employees is 3 : 4.
In March 2020, Employees' Provident Fund Organization (EPFO) lowered the interest rate on provident fund deposits to how much per cent for the current financial year?
The question given below consists of a statement, followed by three arguments I, II and III. You have to decide which of the arguments is/are ‘strong’ arguments, is/are ‘weak’ arguments and accordingly choose your answer from the alternatives given below each question. Statement: Over the past five decades, term deposits in banks have emerged as the primary instrument of financial savings for the average Indian after former premier Indira Gandhi embarked on a mission to nationalise the lenders - 14 in the first tranche - on a rainy afternoon in July 1969. Coming with an unsaid sovereign guarantee of sorts, fixed deposits (FDs) seemingly offered investors liquidity - and safety - as nationalisation sought, in part, to arrest the 40-odd bank failures a year.  Now, however, deposits must burnish their allure to retain leadership status in an increasingly crowded financial marketplace that offers choice. Why? Arguments: I. If FDs are giving 7.5% and the effective tax rate is 10%, one gets close to 5-5.2% return. Similarly, in the case of FMP, if the rate is 7.5%, effective taxation comes to 10%, one gets 6.75%. It is higher than the effective returns on bank deposits.  II. People are becoming aware of more asset classes that offer better returns, and the quest for such assets became more pronounced after interest rates fell substantially over the past four years.  III. Savers are looking at mutual funds and provident funds for the higher return. 
Which of the following statements are not true in relation to employment of contract labour in any establishment?
1. Supreme Court can abolish contract labour system in any establishment.
2. High Court can abolish contract labour and prohibit the principal employer from engaging contract labour where the government has not abolished the same.
3. An appropriate government and not the court can prohibit the employment of contract labour as per the provisions of law.
4. Neither the court nor the appropriate government can abolish the contract labour in any establishment.
Two statements are followed by three Conclusions I, II and III. You have to consider the statements to be true, even if they seem to be at variance from commonly known facts. You are to decide which of the given conclusions can definitely be drawn from the given statements and indicate your answer accordingly. Statements: I. After a Pay Commission bonanza of 2% hike in dearness allowance in March, central government employees and pensioners can expect another round of salary increase with the government set to modify the index and base year for calculating dearness allowance.  II. The labour ministry is working on a new series of consumer price index for industrial workers (CPI-IW), which is used to determine dearness allowance (DA).  Conclusions: I. DA is a cost of living adjustment allowance paid to government employees, public sector employees and pensioners in the country. It is calculated as a percentage of an employee’s basic salary to mitigate the impact of inflation on people.  II. Since theindex is used to determine dearness allowance of all government employees and industrial workers there may be significant financial implication. III. The trend so far is that the weightage of transport, healthcare and housing has gone up many fold in the new series in the monthly expenditure of an industrial worker, especially consumption of petrol and diesel with the addition of cars to it, while there is decline in overall food basket which is being diversified.
If 10 employees in an organization having an average weight of 73 kg leave and 5 employees having an average weight of 70 kg join, the average weight of the employees in the organization decreases by 0.4 kg. The average weight of all employees in the organization initially is 70 kg. If the number of employees initially in the organization is n, which of the following is/are correct? I. 73 employees are left II. n is a multiple of 16 III. 70 < n < 80
Which of the following statements are true/false?
1. The International Labour Office is the permanent secretariat of the ILO.
2. Convention 182 regarding worst forms of Child Labour has been ratified by India.
3. International Labour Conference is also known as an international Parliament of labour.
4. International Labour Conference is a forum for discussion of key social and labour questions.
5. Trade Unions are involved in collecting wage data including fringe and personal benefits.
6. Strikes, boycotts and gheraos are militant functions of trade union.
7. Ministrant functions of trade unions involve providing financial support to members during strikes and lockouts.
Which of the following statements are true/false?
1. A minimum rate of wages for the time spent by employees for the production of output is minimum time rate.
2. Minimum piece rate is the rate based on the quantity of the output employees have produced.
3. The guaranteed time rate is a minimum rate of remuneration to apply in the case of employees employed on piece work for the purpose of securing to such employees a minimum rate of wages on a time work basis.
4. A minimum rate of remuneration to apply in the case of employees employed on piece work for the purpose of securing to such employees a minimum rate of wages on a time work basis is overtime rate.
Consider the following for the Minimum Wages Act, 1948.
1. The appropriate government will have the power to fix the minimum rates of wages payable to employees employed in an employment specified in Part I or Part II of the Schedules.
2. The appropriate government will review and revise the minimum rate of wages after five years.
3. The appropriate government will fix the minimum rate of wages in any scheduled employment in which there are in the whole state less than one thousand employees engaged in such employment.
Which of the following statement given above is/are correct?
Priya and khushi invested Rs.3000 together. Priya invested her amount at compound interest for ‘x/10’ years at x% rate interest and khushi invested half of her amount at compound interest and remaining half at simple interest at the same rate of interest for the same time period. [It is given that ‘x/10’ is a natural number] What is the value of ‘x’? Statement I: Ratio of investment of priya and khushi is 1 : 2 respectively and total sum received by them together after a particular time at x% rate of interest is Rs. 4280. Statement II: Simple interest received by khushi is Rs. 40 less than compound interest received by her. Statement III: Sum of simple interest and compound interest received by khushi after a certain time at x% rate of interest is Rs. 2500 Which of the above statement is redundant to find the answer of the given question?