EPFO demands repayment of 'excess' amount, withholds pension

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Kannur: The Employees’ Provident Fund Organisation (EPFO) has issued a notice to pensioners asking them to repay the higher amount they received with retrospective effect. The pensioners alleged that the EPFO had also blocked the pension of those who did not return the amount after receiving the notice.
The notice was served on pensioners who were receiving the higher pension based on a favourable verdict of the High Court, before the order issued in the pension case by the Supreme Court on November 4, 2022. As per an amendment announced by the EPFO in September 2014, it was decided to calculate the pension based on the average salary of an employee during the last 60 months of service, instead of 12 months.
However, employees who retired from service were paid pension based on the average of 12 months based on a High Court order, as the amendment on 60 months’ average was under the consideration of the Supreme Court. Later, when the Supreme Court approved the average of 60 months, the EPFO started sending notice to pensioners.
The notice said that the pensioners were receiving an excess payment amount and they had to return the additional amount. Though the pensioners who were served with the notice approached the High Court and obtained a stay, the EPFO is yet to implement the order.
The pensioners pointed out that various high courts in the country had issued orders against reducing the higher pension. The pensioners also alleged that even after non-payment of pensions for the last two months, the EPFO authorities were showing no mercy. According to the pensioners, they had no option but to resort to contempt of court procedures against the EPFO.