InvestorQ : What has been the response from individuals to the easy EPF withdrawal scheme of the government of India during COVID-19?
Lavanya Subramanian made post

What has been the response from individuals to the easy EPF withdrawal scheme of the government of India during COVID-19?

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ishika Banerjee answered.
1 year ago
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The response has been huge and it also shows the level of desperation of people. A total of 23 lakh members have withdrawn Rs.8000 crore ($1.2 billion) from their retirement savings as loss of income continued to widen during the ongoing lockdown. The amount withdrawn from EPF savings in last one and half month is 10 times higher compared to the pre-COVIDI period. While it brought relief and liquidity for the people, it also forsakes the long term retirement savings of the people. EPF holders were allowed to withdraw the lower of 75% of their savings or up to a maximum of three months' basic pay and dearness allowance from their PF account. That is hardly surprising because the recent CMIE survey shows that over 12 crore people lost their jobs in April with the unemployment rate over 23%.

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