EPFO aims to bring construction workers within fold

New Delhi : With the launch of the unique account number (UAN) for provident fund members, the Employees’ Provident Fund Organisation (EPFO) plans to expand its coverage and bring in more workers from the construction sector as well as contract employees under its ambit.

Accordingly, the EPFO has set up two sub-committees under the Central Board of Trustees (CBT) to suggest ways on how to expand the scheme to bring in more works from these sectors. Both the sub-panels will be chaired by Central Provident Fund commissioner KK Jalan.

“Typically, contract workers and construction sector workers lose out on social security benefits as they frequently change their jobs. In the case of construction sector workers, the problem is more magnified as they are often migrant workers,” said a senior PF official.

“The sub-committees will suggest mechanism for increasing the coverage of construction sector and contract workers,” said an official missive. The EPFO’s apex decision making body — the CBT — had, in its meeting in August, suggested setting up the panels. Sources said that proposals suggested by the panels will be reviewed by the trustees in their meeting next week.

The EPFO estimates that a large part of the Rs 27,000 crore lying with it in inoperative accounts belongs to workers from these two sectors who have been unable to retrieve these savings due to frequent job changes.