Navigating EPF: How to Close PF and Start Pension Without Resigning?

I have a doubt regarding EPF. Our company is based in Cochin, Kerala. One of our 61-year-old employees has completed 26 years of service. We have been deducting his PF and depositing both contributions to the bank every month. Now, the employee wishes to receive his monthly pension and close his PF account. However, he does not want to resign from our firm and intends to continue his service for a long period.

Forms Required for PF Closure and Pension Initiation

In this case, which forms should we use to close his PF account and start receiving the monthly pension without resigning? Is he eligible for ESI after closing the PF account?

Please provide me with a reply. My email id is [Email Removed For Privacy Reasons]. Mobile: [Phone Number Removed For Privacy Reasons].

Regards,
Sanish

I faced a similar case with our concern. At that time, we decided to resign and rejoin. After rejoining, we were treated as a consultant, which did not affect ESI. He may take the treatment as old-age Medicare but does not need to contribute to ESI as well. Then, you may claim Form-19 & 10D.

Regards,
S. Muthu

I feel after 58 years of service, he can claim a pension. As of now, you are not contributing any amount to the pension fund; his total amount is contributed towards PF, not pension. He can get a pension even without resigning. Please contact your RPFC office in this regard; they will guide you.

He can apply for Form-10D for P.F. Pension as he has reached the age of 58 years while continuing in service. He can still remain a PF member, but his contribution amount should be deposited only in EPF account No. 1. (Please dispense with Pension Fund Account remittance.)

He can also continue with ESI even though he has turned 58 years old. There is no restriction for ESI.

Regards,
D. Gurumurthy
Advocate/HR & IR Consultant

Suggestion for Employee Retirement and ESI Membership

My suggestion is to retire the person, and he can be a member of ESI for ₹120 per year. Fill out Form 10-D for the pension.

Stay cool,
Atom

Mr. Gurumurty has rightly explained the following: "He can apply for Form-10D for P.F. Pension as he has completed the age of 58 years by continuing in service. He can still continue as a PF member. However, his contribution amount should be deposited in EPF Account No. 1."

Please treat the same employee as a consultant or professional.

Thanks & Regards,
Sumit Kumar Saxena