Context:
On July 19, 2025, the Ministry of Labour and Employment notified key relaxations to the Employees’ Deposit Linked Insurance (EDLI) scheme, administered under the Employees’ Provident Fund Organisation (EPFO). The aim is to enhance social security benefits for employees and their families, especially in cases of death during service.
Key Changes in EDLI Scheme
- ₹50,000 Minimum Assurance Benefit
- Nominees will receive at least ₹50,000 under EDLI, even if the PF balance is below that amount.
- Breaks in Employment – Relaxed Rule
- Gaps up to 60 days between jobs won’t break continuity. Multiple spells with ≤60-day gaps count as continuous service.
- Death Within 6 Months of Last PF Contribution
- If the employee dies within 6 months of the last PF deposit and remains on employer rolls, the family is eligible for EDLI benefits.
About the EDLI Scheme
- The Employees’ Deposit Linked Insurance Scheme (EDLI) provides life insurance coverage to all employees who are members of EPF or PF-exempted trusts under Section 17 of the EPF Act.
- The maximum benefit can go up to ₹7 lakh, depending on the last drawn salary and tenure.
- The scheme ensures financial support to the family of an employee in the event of death during service.
