Dear All, Good Evening. For PF calulation we consider only Basic? or Basic+DA we can consider? Please let me know. Regards Srikanth
From India, Hyderabad
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8From India, Hyderabad
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Hi All,
I have hired 4 unskilled manpower with a cash in hand of Rs. 8000/- pm. As per government rules, they are eligible for PF and ESI, and 4 offs in a month. I am not sure about whether they are eligible for Government holidays and leave policy like other staff members, which includes EL, CL, and SL. Also, someone told me that hence we pay them overtime, in that case, they are not eligible for the above-mentioned leave policy but only 4 offs in a month. Please let me know what is right.
Thanks,
Avleen
From India, Ludhiana
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I have hired 4 unskilled manpower with a cash in hand of Rs. 8000/- pm. As per government rules, they are eligible for PF and ESI, and 4 offs in a month. I am not sure about whether they are eligible for Government holidays and leave policy like other staff members, which includes EL, CL, and SL. Also, someone told me that hence we pay them overtime, in that case, they are not eligible for the above-mentioned leave policy but only 4 offs in a month. Please let me know what is right.
Thanks,
Avleen
From India, Ludhiana
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Hi Mr. Shrikant,
PF deduction is only on Basic with the upper cap not exceeding more than Rs 6500. Any employee drawing wages exceeding this amount will be considered an excluded employee, provided that he is not already a member of PF. If he is already a member of PF, then his PF deduction will be based on Rs 6500 only.
From Netherlands, Group
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PF deduction is only on Basic with the upper cap not exceeding more than Rs 6500. Any employee drawing wages exceeding this amount will be considered an excluded employee, provided that he is not already a member of PF. If he is already a member of PF, then his PF deduction will be based on Rs 6500 only.
From Netherlands, Group
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Mr.Shrikant, The PF deduction shall be made on Basic+DA as Contribution with equal contribution by the Employer. The maximum ceiling limit on both Basic+DA is Rs.6500/-.
From India, Hyderabad
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From India, Hyderabad
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Dear Srikanth,
Kindly go through Section 29(1) of the EPF Act 1952 (Chapter V).
29. Contributions
(1) The contributions payable by the employer under the Scheme shall be at the rate of ten per cent of the basic wages, dearness allowance (including the cash value of any food concession), and retaining allowance (if any) payable to each employee to whom the Scheme applies. Provided that the above rate of contribution shall be twelve per cent in respect of any establishment or class of establishments which the Central Government may specify in the Official Gazette from time to time under the first proviso to subsection (1) of Section 6 of the Act.
Abbas.P.S
From India, Bangalore
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Kindly go through Section 29(1) of the EPF Act 1952 (Chapter V).
29. Contributions
(1) The contributions payable by the employer under the Scheme shall be at the rate of ten per cent of the basic wages, dearness allowance (including the cash value of any food concession), and retaining allowance (if any) payable to each employee to whom the Scheme applies. Provided that the above rate of contribution shall be twelve per cent in respect of any establishment or class of establishments which the Central Government may specify in the Official Gazette from time to time under the first proviso to subsection (1) of Section 6 of the Act.
Abbas.P.S
From India, Bangalore
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Dear all,
In our organization, everyone's basic salary + DA is more than Rs 6500. The PF deducted from the employee's side as well as contributed by the employer is Rs 780 throughout the company.
Is this correct, or should the employer contribution be 12% of Basic + DA?
From India, Madras
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In our organization, everyone's basic salary + DA is more than Rs 6500. The PF deducted from the employee's side as well as contributed by the employer is Rs 780 throughout the company.
Is this correct, or should the employer contribution be 12% of Basic + DA?
From India, Madras
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780 is the correct. The maximum contribution of Employer side is on Rs.6500/- only. If salary is more than 6500/- it is option for pf.
From India, Kurnool
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From India, Kurnool
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The unskilled employees are also eligible for all benefits like other employees. Overtime is not an excuse. I do not think that by any law an employee is eligible for 4 leaves in a month.
Varghese Mathew
9961266966
From India, Thiruvananthapuram
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Varghese Mathew
9961266966
From India, Thiruvananthapuram
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Mr ABBAS The sections in EPF Act is numbered only up to 23.What you referred is para 29(1) of Employees Provident Fund Scheme 1952. Varghese Mathew
From India, Thiruvananthapuram
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From India, Thiruvananthapuram
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