Notification restricting withdrawal of PF deferred

As violent protests by garment workers continued in Bengaluru over the Centre's February notification restricting withdrawal of Employee Provident Fund, the Central government on Tuesday said that the notification will be kept in abeyance for three months till July 31, 2016. A call on the notification will be taken after July.

"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," Labour Minister Bandaru Dattatreya told reporters.

The announcement came in the midst of escalating protests by labour unions, especially the violent agitation in Bengaluru against the bar on withdrawing employer's contribution from the PF account till the age of 58 years.

Meanwhile, the police crackdown on protesters continued in many parts of Bengaluru as over 15,000 workers took to streets.

While the traffic in the city was held up, a three km long jam was reported on the national highway. The protestors are demanding a complete cancellation of the notification.

In a placatory move, the Labour Ministry also said it was contemplating permitting withdrawal of all accumulations by Employees' Provident Fund Organisation's (EPFO) subscribers on grounds like purchase of house, serious illness, marriage and professional education of children. The matter has been referred to Law Ministry for clearance.

People have also launched online campaign against the decision, which was to be implemented from February 10 but was later put on hold till April 30.