Pre-2014 retirees may move court against validity of EPFO circulars

They contend that by imposing “unrealistic” stipulations, the circulars have virtually rendered those who retired before September 1, 2014 ineligible to get higher PF pension

Updated - September 15, 2023 08:42 pm IST - CHENNAI:

Despite suffering a setback in the Supreme Court last month, a section of pre-2014 retirees covered under the Employees’ Pension Scheme (EPS) 1995 of the Employees’ Provident Fund Organisation (EPFO) is exploring the possibility of challenging legally the validity of EPFO’s circulars issued in December 2022 and January 2023.

Indicating this, Dada Tukaram Zode, national legal adviser, Employees Pension (1995) Co-ordination Committee, points out that what the Supreme Court did was to dismiss a host of clarification applications, contempt petition and review petitions, all pertaining to the November 2022 judgment.

The court, in its verdict 10 months ago, gave an opportunity to all employees, as on September 1, 2014, who did not exercise the option under the EPS rules for higher pension but were entitled to do so but could not due to the interpretation on cut-off date by the authorities. As for the circulars, the December 2022 communication was meant for those who retired before September 1, 2014 and after exercising the option for higher pension while the January 2023 circular lists the procedures and required documents for existing employees and for those who retired after September 1, 2014 to claim higher pension.

The circulars constitute a “new and separate cause of action” and would be required to be challenged specifically through writ petitions before the respective High Courts or the Supreme Court. Mr. Zode contends that by imposing “unrealistic” stipulations, the circulars have virtually rendered those who retired before September 1, 2014 ineligible to get higher PF pension on the ground that they did not exercise the option for higher pension. Only after getting the circulars quashed by the courts, the pre-2014 retirees will be able to get relief of higher pension, he adds.

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