shazparveen@gmail.com
1

Hi.
Our is an ITES comapny with less than 20 employees and the basic salary of all the employees exceeds Rs.6500/-.
I would like to know, whether our company will be covered under the PF Act if the number of employees reaches 20 or more with basic salary of all employees exceeding Rs.6500/-

From India, Bangalore
Madhu.T.K
4246

When your number of employees becomes 20 your establishment will be covered by EPF because for coverage the total number of employees is counted and not the salary. Certainly even when the establishment is covered only those employees whose salary do not exceed Rs 6500 will be covered and contributions in respect of that employees only need to be remitted.
For coverage of PF all employees whether directly employed or through contractor(s) and casual labourers will be counted. Therefore, if on any day the total employees engaged is 20 or more, the PF coverage will take place from that day onwards. For that it will be the attendance report at the security gate which will be verified by the Enforcement Officer.
Regards,
Madhu.T.K

From India, Kannur
shazparveen@gmail.com
1

Thank you Madhu.
But as per my information there was a provisions in PF Act where employees with basic salary exceeding Rs.6500, can request the employer for non deduction of PF. Is this provision still in force?
If yes, what are responsibility of employer and whether the employer needs to register under PF Act when all the employees makes a declaration for non deduction of PF.

From India, Bangalore
Madhu.T.K
4246

I beleive I have explained the matter. To repeat, if your establishment employs 20 or more employees your establishment will be covered and as such your establishment should be registered. If no employee draws salary (Basic + DA) below Rs 6500, nobody will become member of EPF. In such case no contribution becomes payable but a nil return will have to be sent every month to the concerned PF Office.
Regards,
Madhu.T.K

From India, Kannur
s.sunilrajput
6

If total 20 employees are working in any manufacturing industries and 15 employee are getting salary less than Rs.6500/- and 5 employees are getting salary more than Rs.6500 then p.f. will be applicable or not.
From India, Faridabad
S D Patil
30

For coverage under P:F Act 1952 purpose employees above 6500/- or below 6500 both will be considered. For calculation of PF contribution up to 6500/- will be considered. SDP
From India, Kolhapur
manjula ponnuchamy
HI
IF your employee is drawing basc more than 6500, their is option that they can be included in pf for mimimum ceiling 6500/-. if the employee drwaing more than mimium pf celing and if employee is interested for for the be pf memebter he can opt for the the pf for mimium celing 6500-/ or else he give form 11 and declare that he is not interested to opt for pf.
Regards
Manju

From India, Madras
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