EOBI to offer self-assessment scheme

It will encourage pension contribution from employers, benefit employees as well

KARACHI:

The upcoming amendment of Employees Old-Age Benefits Institution (EOBI) Act will offer a self-assessment scheme (SAS) for the convenience of employers and to encourage contributions from them, revealed EOBI Chairman Shakeel Ahmed Mangnejo.

Speaking at the SITE Association of Industry, the chairman underlined that the companies to be audited under the scheme would be selected through random balloting.

“Along with employers, this scheme will also benefit employees,” Mangnejo pointed out.

According to him, EOBI is currently paying Rs50 billion per annum to more than 400,000 pensioners.

He suggested reporting harassment cases under Section 35 of the Act and added that the EOBI website already had a section for it.

Regarding EOBI accounts, the chairman underlined that unaudited accounts till the year 2020 had been placed on the EOBI website.

He said that the companies, whose contributions exceed Rs100 per month, would be bound to pay their contributions through the EOBI’s automated Facilitation System from February 1, 2022. “This is necessary to maintain an accurate record of registered workers.”

EOBI was also working to launch its mobile app by March 2022, the chairman revealed.

Mangnejo announced the reactivation of the EOBI help desk at the SITE Association with immediate effect.

In this regard, an officer would be appointed for better coordination between the registered employers and EOBI, as well as to resolve issues of members of the association, he added.

Talking to The Express Tribune, a social security expert Azmat Khan underlined that the scheme would be beneficial to those who did not come under the ambit of Section 1.4.i of the EOBI Act.

Moreover, it would be beneficial to those who were still not registered under Section 11 of the Act, he added.

“SAS employers shall be registered with immediate effect and no questions shall be asked about previous liability,” Khan elaborated, adding that they should also be exempted from record checking for two years, if they increased employees by 10%.

“SAS employees shall avail benefits of Clause 22 of the Act, as they will be eligible for pension from the date of registration of the employer and the date of entry of employees as insured persons,” he underlined.

Their records should be maintained through the Facilitation System by issuing a user ID and password, he added.

“The processing of their pension cases will be fast-tracked when they use the Facilitation System and will get computerised pay slips,” Khan pointed out.

On the occasion, SITE Association of Industry President Abdul Rasheed stressed that a representative of the association should be appointed on the EOBI board of trustees. He suggested that the collection targets issued by EOBI should be avoided and inspection of records should be done only once a year.

He also highlighted the issues being faced by pensioners, particularly widows, in getting pensions.

Labour Sub-Committee Chairman Abdul Kadir Bilwani apprised the meeting of different issues including delay in issuance of pension cards, pending applications of pensioners for payments, harassment by audit inspectors and unnecessary demand for financial records of companies.

“Industrialists are actual stakeholders of the country who generate employment, pay taxes and earn foreign exchange,” said former SITE Association president Jawed Bilwani.

Another former SITE Association president, Younus Bashir, spoke about EOBI audit and collection target and notorious activities of labour leaders in industrial areas and stressed the need to avoid time-consuming litigations.

He drew the attention of the EOBI chairman towards labour representatives’ conduct in the EOBI meetings.

Published in The Express Tribune, December 23^rd, 2021.

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