EPFO errors slash higher pension payments for Kerafed pensioners

Kozhikode: Amid growing concerns over the EPFO’s large-scale rejection of higher pension applications, even those who made substantial additional payments are receiving lower pensions.

A group of about 30 former employees of Kerafed under the EPFO Thiruvananthapuram Region has encountered this issue. Despite contributing over Rs 20 lakh in additional payments, they are receiving pensions as low as Rs 5,000. Their Pension Payment Orders (PPOs) reflect pensionable salaries capped at the mandatory ceiling.

In a letter sent to Kerafed in early February, the EPFO confirmed that its employees’ applications met all the conditions outlined in the Supreme Court order and that they had also made the required additional contributions. The agency even attached a list of employees approved for a higher pension. Despite this assurance, miscalculations led to lower pension disbursements.

When the affected individuals contacted EPFO officials, they attributed the mistake to a rushed process, citing pressure from the Central Office to meet processing targets, raising questions on the credibility of the process.

This development comes after the EPFO said that 7.35 lakh out of 17.49 lakh applicants seeking higher PF pensions are not eligible for the benefit. Only 24,006 individuals have received the revised pension so far.