Hi! Well, HR professionals, can some of you clarify these vague practices?
Issue with Provident Fund Contributions
An organization is not paying the Provident Fund from the employer's contribution every month but only paying the employees' contribution over the years. The organization skipped paying the contributions every month and only pays during the half-year or annual closing periods for every 2 years or so. If any resigned employees are there in between these 2 years, only those employees' both contributions are paid and settled with the PF departments, thus depriving the privilege of earning the Central Government's interest rate on PF accounts.
Actions Against Non-compliance
What actions can be taken on organizations practicing such vague practices?
From India, Hyderabad
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Issue with Provident Fund Contributions
An organization is not paying the Provident Fund from the employer's contribution every month but only paying the employees' contribution over the years. The organization skipped paying the contributions every month and only pays during the half-year or annual closing periods for every 2 years or so. If any resigned employees are there in between these 2 years, only those employees' both contributions are paid and settled with the PF departments, thus depriving the privilege of earning the Central Government's interest rate on PF accounts.
Actions Against Non-compliance
What actions can be taken on organizations practicing such vague practices?
From India, Hyderabad
Acknowledge(0)Amend(0)
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PF Calculation Sheet To The Subscribers At the Time Of Provident Fund Withdrawal.pdf
PF-Know Employees Provident Fund-CHART-L-4. doc