Due to the pandemic, people are losing jobs and facing more hurdles in this catastrophic situation. The government, thus, turned up with an initiative to pay both the employer and employee’s share of provident fund contributions.
On March 26th Finance Minister, Nirmala Sitharaman, announced a package of Rs.1.7 lakh crores to be implemented for the cause. The government also has said that the entire provident fund contributions will be taken care by it for those who earn less than Rs. 15,000 per month in companies that employ up to 100 people and where 90% draw salaries of less than ₹15,000 per month.
The government, keen to prevent job cuts, may soon pay both the employer and employee’s share of provident fund contributions at more companies.
An announcement on this could be part of an economic package that is in the works, according a top government official.
As part of a ₹1.7 lakh crore package announced by finance minister Nirmala Sitharaman on March 26.