EPF board likely to meet on July 2
Financial Express, 17-06-07

Under pressure from Left parties not to lower the interest for its subscribers, the Employees Provident Fund Organisation (EPFO) board is likely to meet on 2 July to take a final decision on the rate for 2006-07 and 2007-08.

While trade unions have been demanding that the 8.5% rate be retained, the Central Board of Trustees (CBT) of the EPF has expressed its inability to do so, saying it would be left with a deficit of Rs 450 crore. While the interest rate for 2005-06 was fixed at 8.5%, the EPFO board will be meeting amid rising deposit rates in the system.

EPF panel may meet on July 2
Tribune, 17-06-07

Under pressure from Left parties not to lower the interest for its four crore subscribers, the EPFO Board is likely to meet on July 2 to have a fresh look at its coffers to take a final decision on the rate for 2006-07 and 2007-08.
While trade unions affiliated to Left parties have been demanding that the 8.5 per cent rate be retained, the Central Board of Trustees (CBT) of the EPF has expressed its inability to do so, saying it would be left with a deficit of Rs 450 crore.
The government finds itself in a tight spot as Left supporters insist that with banks raising their interest rates, the EPF interest rate should not be slashed further.

While the interest rate for 2005-06 was fixed at 8.5 per cent, the EPFO Board will be meeting amid rising deposit rates in the system. Commercial banks are already offering up to 10.5 per cent interest rate on fixed deposits.
"The meeting is most likely on July 2. The decision I cannot foretell but the CBT would deliberate on all the relevant issues, including the interest rates," Union Labour Minister Oscar Fernandes said here today. — PTI