Staff at submit workplaces don’t appear properly versed in the laws, stated Suresh Parthasarathy. founder, Myassetsconsolidation.com; 30 days time not sufficient in the course of the pandemic to make the investment, he stated
Despite guidelines permitting workers above the age of 55 years, who’ve opted for voluntary retirement or given obligatory retirement, to take a position their settlement funds in the Post Office Senior Citizen Savings Scheme, frontline staff are allegedly rejecting such deposits.
An particular person above 60 years of age can make investments in a submit workplace senior citizen financial savings scheme (SCSS). However, there’s an exemption clause which permits workers above 55 years of age and under 60 years of age to take a position their settlement quantity in this scheme, topic to the situation that the investment be made inside one month of receipt of such an quantity.
“The government guidelines clearly state that such employees can invest in SCSS, but the frontline staff at post offices are not accepting the investments, as it appears they are not well versed with the regulation,” Suresh Parthasarathy. founder, Myassetsconsolidation.com, identified. He has been guiding retirees to take a position in SCSS.
“The prospects of getting a job for employees above 55 are bleak, and they have to depend on monthly interest incomes to manage their family cash flow. Products like bank fixed deposits and postal deposits are the major interest earners for them,” he added.
Currently SCSS presents a greater rate of interest of 7.4% each year, when in comparison with charges between 5.3-5.5% provided by banks. Also, Post Office deposits include a sovereign assure.
Employees are additionally discovering it troublesome to satisfy the requirement that the settlement funds have to be invested inside a month of receipt, amid the COVID-19 pandemic.
Mr. Parthasarathy stated with COVID-19 lockdowns solely now being eased, the 30-day time-frame given to take a position the settlement quantity just isn’t adequate and the Union Finance Ministry wants to take a look at extending the timeframe, to assist this class of workers to take a position in SCSC.
“It is high time the postal department takes the initiative to popularise the scheme and it must have sufficient displays at post offices to educate the general public,” he added.
When contacted a senior official from the Postal division stated the Finance Ministry has to take a name relating to extension of time-frame from 30 days. He additionally identified that if the sphere staff are rejecting the investment, the involved particular person could make a illustration to a better official.