Dear sir,
I am working in a company in the HR department. Our company operates under the contract labor law. Recently, some new workers have joined our company. This is their first time joining. The new worker does not want to have the PF contribution (12%) deducted from their basic salary. Currently, their basic salary is above 6500 Rs.
Please advise me on this matter.
Ravindra Sharma
From India, Delhi
I am working in a company in the HR department. Our company operates under the contract labor law. Recently, some new workers have joined our company. This is their first time joining. The new worker does not want to have the PF contribution (12%) deducted from their basic salary. Currently, their basic salary is above 6500 Rs.
Please advise me on this matter.
Ravindra Sharma
From India, Delhi
As per the PF Act, a person who has never been a member of PF and is drawing wages/salary of more than ₹6,500 per month can be excluded from making contributions towards PF. In such cases, Form No. 11 under the PF Act should be obtained from such an employee.
Rajendra Bhavsar
Manager (P&A)
Afcons Infrastructure Ltd., CMRL Project,
Chennai
8754543347
From India, Mumbai
38Rajendra Bhavsar
Manager (P&A)
Afcons Infrastructure Ltd., CMRL Project,
Chennai
8754543347
From India, Mumbai
Hi Ravindra, as mentioned by Mr Rajendra, there’s some flexibility for the workers who are not willing to contribute for PF and you can also opt for the same.
From India, Lucknow
From India, Lucknow
Pl. obtain Form No. 11 with his declaration for opting out of PF and maintain the same with you only. It should be produced on demand to pf authorities.
From India, Mumbai
From India, Mumbai
One silly question : If an employee, who is excluded from PF contribution, expects company’s contribution to PF, to be added to his Salary, (since this is a saving for the company), is it justified ? He knows that he can not claim it lawfully, but if he wants to argue…
From India, Mumbai
From India, Mumbai
Thanks for help Rajendra sir, What attach form 11 is right/correct? Whai is worker declaration in any form or a simply application? Thanks and regards,
From India, Delhi
From India, Delhi
Firstly, Form 11 has been abolished by the PF authority. Secondly, if their basic salary is more than 6.5k, then you do not need to deduct their PF. This change will not only fulfill their wish but also allow the company to save 13.61% from their contribution.
Kamal Datta
From India, Kolkata
Kamal Datta
From India, Kolkata
Kamal sir,
Thank you for the new information.
Sir,
Do you have any official documents or circulars from EPFO that show Form 11 has been abolished by the PF authority? If you have it, please share.
Best regards,
Please reply
From India, Delhi
Thank you for the new information.
Sir,
Do you have any official documents or circulars from EPFO that show Form 11 has been abolished by the PF authority? If you have it, please share.
Best regards,
Please reply
From India, Delhi
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Documents required for PF Registration.do c
PF required data.xls