Financial products cannot be compared with social security benefits, PF Commissioner Ranjan Kumar Sahoo has said.
Speaking at the 63rd anniversary of the ESI Corporation on Tuesday, he said that while the New Pension Scheme (NSP) was a financial product, the EPF and the ESI were social security benefits. EPF contributions were not taxed, Mr. Sahoo said. Tier-II accounts of NPS had provisions that were hardly understood by average employees.
ESI covered employees for sickness, invalidation, death etc. Mr. Sahoo said that of the 22 persons who had died in an accident in HPCL, 10 paid contribution only for two months, but their family members were getting benefits for lifetime.
Joint Director of ESIC Sub-Regional Office T.N. Nayak said that the corporation was trying its best to serve clients.
CMO (Health) of GVMC M.S. Raju said that the ESI had come to the rescue of civic bodies that had outsourced employees. Besides paying minimum wages, ESI and PF were being deducted.
Employees were also getting half-pay leave in case they fell sick. Chief Regional Manager of HPCL Jaya Raju said PF and ESI were beneficial to employees, and families of the 60 persons who had died in the 1997 accident got benefits. However, there was a need to increase awareness among employees as they were not willing to contribute.
Superintendent of ESI Hospital S.V. Prameela said that in emergency cases, after admission to any hospital, permission could be obtained from the ESI hospital.
