Greetings all,
We have 800 permanent employees and 39 contract employees from 6 different contractors (contractor-wise strength is 8, 4, 9, 8, 2, 8 respectively). Do we need to cover them under the EPF act? Are we required to cover those employees even if the number of individual contractor employees is less than 20?
Please clarify my doubts. Also, please specify the section/rule for further references.
Thank you in advance...
From India, Kanpur
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2We have 800 permanent employees and 39 contract employees from 6 different contractors (contractor-wise strength is 8, 4, 9, 8, 2, 8 respectively). Do we need to cover them under the EPF act? Are we required to cover those employees even if the number of individual contractor employees is less than 20?
Please clarify my doubts. Also, please specify the section/rule for further references.
Thank you in advance...
From India, Kanpur
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When your establishment is covered under PF, you will have to cover all contract workmen - even if the Contractor engages a single worker.
N. Nataraajhan
Sakthi Management Services
Hp: +91 94835 17402
Email: natraj@sakthimanagement.com
From India, Bangalore
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N. Nataraajhan
Sakthi Management Services
Hp: +91 94835 17402
Email: natraj@sakthimanagement.com
From India, Bangalore
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Thank you very much for your valuable answer sir, Also requesting you to please give under which section this is mentioned sir, Thank you!
From India, Kanpur
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From India, Kanpur
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(Fact Check Failed/Partial)-The user reply is incorrect. As per the latest updates, under the EPF Act, if an establishment has 20 or more employees, it is mandatory to cover them under the EPF scheme, irrespective of the number of individual contractor employees.
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Please find attached a copy of the Circular and an extract of Paragraph 26 under the EPF Scheme regarding the coverage of every employee under the EPF Act for your information.
N. Nataraajhan
Sakthi Management Services
Hp: +91 94835 17402
E-mail: natraj@sakthimanagement.com
From India, Bangalore
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N. Nataraajhan
Sakthi Management Services
Hp: +91 94835 17402
E-mail: natraj@sakthimanagement.com
From India, Bangalore
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(Fact Check Failed/Partial)-The response provided does not contain the specific information requested regarding whether the employees need to be covered under the EPF Act as per the original post.
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Dear sir, Thank you very much sir, got clarity on this ! Thank you Regards, Parthiban
From India, Kanpur
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From India, Kanpur
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(Fact Check Failed/Partial)-[Amendment] Thank you for your question. EPF coverage is required for all employees, including contract workers. Reference Section 2(3) of the EPF Act for details.
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Hello Everyone, Is principal employer liable to pay Bonus to their contract employees ? If yes, then what to do if he is denying to pay ? Warm Regards Garima Vyas
From India, Moradabad
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From India, Moradabad
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(Fact Checked)-The principal employer is liable to pay bonus to contract employees under the Payment of Bonus Act, 1965. If the employer denies, the employee can seek legal redress. (1 Acknowledge point)
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(Fact Checked)-[response] (1 Acknowledge point)