Govt. benefiting rich, troubling poor: Cong on EPF rate cut

New Delhi [India]: Coming down heavily on the Centre for the decision to cut down the interest rate of Employee Provident Fund (EPF), the Congress on Tuesday said the government is cheating the common people, adding that this move has been taken to benefit the rich and trouble the poor.

“This is cheating the common man. I don’t understand why the government is decreasing it. If you lower the interest that means the government wants the businessmen and big companies to get cheaper loans,” Congress leader Sandeep Dikshit told ANI.

Escalating his attack on the Centre, the Congress leader said the government is looting the common people by creating a strange environment.

“To benefit the rich, you are causing trouble to the poor. This is completely wrong. This also projects that the government is doing mischief,” he added.

Keeping in line with falling interest rates, the organised sector workers will earn 8.65 percent on their provident fund savings this year.

This follows a decision by the apex decision-making body of the Employees Provident Fund Organisation (EPFO) to reduce interest rate on provident fund deposits to 8.65 percent for 2016-17 from the current 8.8 percent.

The Finance Ministry had decided earlier this year to lower interest on EPF for 2015-16 to 8.7 percent from the 8.8 percent approved by CBT.

However, the government had to roll back the decision and provide 8.8 percent interest following protests by trade unions.(ANI)