New Delhi, December 27
Hopes of hike in EPF interest rates soured today with Union Labour Minister Chandrashekhar meeting Prime Minister Manmohan Singh in the presence of Finance Minister P Chidambaram and discussing the issue.
Mr Rao, who had promised EPF subscribers the “best return” did not disclose the outcome of the meeting to waiting mediapersons.
The minister said the ministry would issue a notification soon.
When the EPFO board had lowered the interest rate by a percentage point to 8.5 per cent, Mr Rao had stated that this was the decision of the Central Board of Trustees and a final decision on the interest rate was yet to be taken.
The UPA government and the Labour Ministry has been under considerable pressure from the Left parties and the trade union, who have been demanding that the government restore the interest rate to 9.5 per cent.
Last year also under pressure from the Left parties, the government had hiked the interest rate.
The Prime Minister at the Indian Labour Conference had said he would talk to the Labour Minister on the issue and do whatever possible within the resources of the EPFO.
He, however, ruled out any budgetary support to retain the EPF interest rate at 9.5 per cent as demanded by trade unions and some political parties, including Left parties.
