SlideShare une entreprise Scribd logo
1  sur  30
Télécharger pour lire hors ligne
SEMINAR ON
 EPF & MP ACT, 1952
– MEMBERS’ SERVICES


                      1
INTRODUCTION
The Employees’ Provident Funds & Miscellaneous
Provisions Act, 1952 enacted by Parliament came
into force w.e.f. 14.3.1952 and presently the
following three Schemes are in operation under the
Act:-
1. The Employees’ Provident Fund Scheme, 1952
2. Employees’ Pension Scheme, 1995 and
3. Employees’ Deposit Linked Insurance Scheme,
    1976.
                                                 2
FUNDING OF THE SCHEME
Schemes          Employer’s          Employees’*        Central Govt.    Total
Provident Fund            3.67%                12%                  0%           15.67%
Insurance Fund                0.5%                 0%               0%             0.5%
(EDLI)
Pension Fund              8.33%                    0%            1.16%            9.49%
Total                     12.5%                12%               1.16%           25.66%

* Rate of contribution is 10% in respect of following
establishments :-
less than 20 persons are employed.
sick unit declared by the BIFR.


                                                                                          3
(contd…)
Accumulated losses equal to or exceeding its
 entire network.
Any establishment in the (a) Jute, (b) Beedi,
 (c) Brick, (d) Coir and (e) Gaurgum industry or
 factories

Administrative Charges / Inspection Charges are
applicable @ 1.10% and 0.18% respectively.


                                               4
COVERAGE



           5
APPLICATION OF THE ACT
 All establishments / factories included in the list of
  notified industries and class of establishments as
  in Schedule I and employing 20 or more persons.
 Any other establishment employing 20 or more
  persons or class of establishments which the
  Central Government may notify.
 The Act will come into force in an establishment
  from the very date of set up or commencement of
  business except certain class of establishments as
  excluded under Section 16 of the Act

                                                       6
(contd…)
– Departments or branches of an establishment,
  situated in the same place or different places shall
  be treated as parts of the same establishment for
  coverage under the Act.
– The Act once applied will continue to apply to the
  establishment even if the number of employees
  fall less than 20 after coverage.
– The Act is applicable to cinema theatres
  employing 5 or more workers

                                                     7
VOLUNTARY COVERAGE
• With the consent of the employer and
  majority of employees, an establishment
  otherwise not coverable can be covered under
  Section 1(4) of the Act..




                                             8
MEMBERSHIP
- Persons / employees including regular, casual,
  piece rated, part time, temporary and contract
  employees.
- Coverage from the date of joining the
  establishment / factory.
- All employees getting the wages upto Rs.
  6500/- per month.
- In case of wages more than Rs. 6500/- p.m. on
  joint request by employee and employer
                                               9
COMPLIANCE



             10
ROLE OF COMPLIANCE
Coverage of all coverable establishments .

Extending membership to all eligible
 employees in covered establishments .

Ensuring proper implementation of Act
 & Scheme provisions

                                              11
REGISTRATION
• A registration number otherwise known as Code
  Number issued to every establishment / factory
  to which the Act is applied.
• Issued by RPFC under whose jurisdiction the
  establishment is located.
• In case of factory, code number is allotted by
  RPFC under whose jurisdiction factory is located.
• A contractor employing 20 persons and engaged
  in the work of different establishments may
  obtain a separate Code Number
                                                  12
(contd…)
• Normally Code Number is issued within 3 days
  on submission of requisite documents like
  proof of date of set up, Demand Draft towards
  PF dues for one month etc.
• All members be assigned with separate PF
  Account Number.
• The provisions of the Act applies to the
  establishment suo-moto, on fulfilling the
  conditions for the coverage

                                              13
COLLECTION / RECEIPT OF
           CONTRIBUTIONS
• Contributions in respect of each member as
  per specified rate received by the concerned
  RPFC.
• Maintenance of contribution card member-
  wise for each financial year.
• Deduction of employees’ share of PF from
  wages of the member before disbursement.


                                             14
(contd…)
• A member is required to contribute
  compulsorily upto Rs. 6500/- of his wages and
  he may voluntarily opt to contribute beyond
  the wage ceiling of Rs. 6500/- (i.e. upto his
  wages). During the course of membership, if
  the wages (Basic + Dearness Allowance
  including cash value of food concession and
  Retaining allowances) has crossed Rs. 6500/-
  the member and employer are required to pay
  PF contribution at least upto Rs. 6500/- only.
                                               15
(contd…)
• If an employee is willing he can also contribute to
  the fund in excess of the statutory limit of 10% or
  12% of his wages, as the case may be. The
  employer need not pay in excess of the statutory
  limit.
• The employers’ share of PF contribution should
  not be deducted from the wage of a member or
  recovered from the member.
• Principal employer is liable for default by their
  contractors.
                                                   16
ASSESSMENT OF DUES / RECOVERY
• In case of default, the dues can be assessed
  under Section 7A of the Act.
• Proceedings u/s. 7A is quasi-judicial process.
• In case of belated remittance damages u/s.
  14B and interest u/s. 7Q are leviable.




                                               17
CONSEQUENCES ON DEFAULT
• In case of non-payment of assessed dues the
  recovery actions as per provisions u/s. 8 of the
  Act read with 2nd / 3rd Schedule of I.T. Act,
  1961.
• Penal damages upto 25% per annum and
  interest at the rate of 12% payable on the
  defaulted amount.
• Attachment of bank accounts.
• Realisation of dues from Debtors.
                                                 18
(contd…)
• Attachment of movable and immovable
  properties.
• Arrest and detention.
• Action u/s. 406/409 of Indian Penal Code.
• Action u/s. 110 Criminal Procedure Code.
• Prosecution u/s. 14 of the EPF Act.



                                          19
DUTIES OF THE EMPLOYERS
• Enrol all categories of employees including the employees
  engaged by or through contractors and also piece rated,
  hourly rated employees.

• Remit the contributions and administrative charges before the
  15th of the following month.

• File the initial returns of Form 9, Form 3(P.S.), form 5A.

• File the monthly returns in Form 12A, Form 5, Form 10 and
  Challans for remitting the dues.

                                                               20
(contd…)
• Maintain the contribution card in respect of each employee
  in Form 3A and submit the annual returns in Form 3A and
  6A after reconciliation with Challans and form 12A.

• The employer has to ensure that statutory dues in respect
  of contractors employees are remitted and returns filed.

• Employer should attest the form No.2 and the claims
  forms submitted by the member/ legal heirs/ nominees.

• Make available all relevant records for inspection of visiting
  officials with due authorisation.


                                                               21
SERVICES TO MEMBERS



                      22
(i) Benefits under EPF Scheme
• Payment of accumulation plus interest on
  retirement, resignation, death.
• Partial withdrawals permitted for specific
  purposes:
 o Financing life insurance policies
 o acquiring house or site
 o Addition and substantial alterations of the dwelling house
 o marriage of self and dependents
 o education of children
 o treatment of illness etc.
 o Purchase of equipment by physically handicapped
   employees.
 o Financial assistance on dismissal, discharge, closure / lock
   out.

                                                              23
OTHERS
(ii) Redressal of grievances at field office and Head
      Office levels.
(iii) Disposal of grievances in Bhavishya Nidhi
      Adalats.
(iv) Know Status of your Claim from EPFO Website.
(v) Lodging the grievances on the Website under
      CPGRAM.
(vi) Status of claims settlement from Information
      Kiosks.

                                                   24
DIFFICULTIES IN IMPLEMENTATION OF
      PROVISIONS OF THE ACT
• No voluntary compliance by employers.
• Lack of awareness among establishments
  regarding compliance and submission of returns.
• Lack of awareness among the employees
  regarding social security benefits.
• Wage ceiling at Rs. 6500/-.
• Existence of Schedule Head.
• Non-issue of statement of member’s account due
  to non-submission of returns by the employer.

                                                25
(contd…)
(vii) Outsourcing and employees engaged on
       contract.
(viii) Engaging the contract / part time employee in
       the Government Departments.
(ix) Not fully computerization in EPFO.
(x) Numerous returns submitted by the
       employers.
(xi) Delay in settlement of claims / grievances due
       to heavy workload.

                                                  26
(contd…)
(xii) Delay in issue of PF statements due to non-
        submission of returns.
(xiii) Illiteracy among members for maintaining
     their Date of Birth records.
(xiv) Employers reluctant to submit the claim
     forms in time.



                                                27
IMPORTANT SECTIONS OF THE ACT
• SECTION 1 – APPLICABILITY OF THE ACT
• SECTION 6 – RATE OF CONTRIBUTIONS
• SECTION 7A – DECIDING APPLICABILITY AND
  ASSESSMENT OF DUES
• SECTION 7Q – IMPOSING OF INTEREST
• SECTION 8 – RECOVERY OF DUES FROM
  EMPLOYERS AND CONTRACTORS


                                        28
(contd…)
• SECTION 11 – PRIORITY OF PAYMENT OF EPF
  CONTRIBUTIONS OVER OTHER DEBTS
• SECTION 14 – PENALTIES FOR DEFAULTERS
• SECTION 14B – LEVYING OF DAMAGES ON
  BELATED PAYMENTS
• SECTION 16 – EXCLUSION FROM THE ACT
• SECTION 17 – EXEMPTION


                                            29
THANK YOU.



             30

Contenu connexe

Tendances

Employees Provident Fund And MIscellaneous Provisions Act , 1952
Employees Provident Fund And MIscellaneous Provisions Act , 1952Employees Provident Fund And MIscellaneous Provisions Act , 1952
Employees Provident Fund And MIscellaneous Provisions Act , 1952Mohd Zaid
 
Payment of wages act 1936
Payment of wages act 1936Payment of wages act 1936
Payment of wages act 1936Sachin Kharecha
 
The payment of bonus act 1965
The payment of bonus act 1965The payment of bonus act 1965
The payment of bonus act 1965M.s. Karishma
 
Payment of gratuity act, 1972 ppt
Payment of gratuity act, 1972 pptPayment of gratuity act, 1972 ppt
Payment of gratuity act, 1972 pptACS Shalu Saraf
 
The Occupational Safety, Health and Working Conditions Code, 2020 - Part III
The Occupational Safety, Health and Working Conditions Code, 2020 - Part IIIThe Occupational Safety, Health and Working Conditions Code, 2020 - Part III
The Occupational Safety, Health and Working Conditions Code, 2020 - Part IIIDVSResearchFoundatio
 
The employee provident Act 1952
The employee provident Act 1952The employee provident Act 1952
The employee provident Act 1952ARUNAYESUDAS
 
The payment of gratuity act
The payment of gratuity actThe payment of gratuity act
The payment of gratuity actARUNAYESUDAS
 
HRM - The employment exchanges Act 1959
HRM - The employment exchanges Act 1959HRM - The employment exchanges Act 1959
HRM - The employment exchanges Act 1959Ranjeet Singh
 
PPT on Provident fund New Amendments 2020 : THE EMPLOYEES' PROVIDENT FUNDS AN...
PPT on Provident fund New Amendments 2020 : THE EMPLOYEES' PROVIDENT FUNDS AN...PPT on Provident fund New Amendments 2020 : THE EMPLOYEES' PROVIDENT FUNDS AN...
PPT on Provident fund New Amendments 2020 : THE EMPLOYEES' PROVIDENT FUNDS AN...PradiptaKumarRout
 
The Payment Of Gratuity Act, 1972
The Payment Of Gratuity Act, 1972The Payment Of Gratuity Act, 1972
The Payment Of Gratuity Act, 1972satyam mishra
 
contract labour regulation abolition act 1970
contract labour regulation abolition act 1970contract labour regulation abolition act 1970
contract labour regulation abolition act 1970Raj Bisen
 
minimum wages act 1948
minimum wages act 1948minimum wages act 1948
minimum wages act 1948shhilpa
 
PPT on "Provident Fund & MP Act 1952" of India.
PPT on "Provident Fund & MP Act 1952" of India.PPT on "Provident Fund & MP Act 1952" of India.
PPT on "Provident Fund & MP Act 1952" of India.Anshu Shekhar Singh
 
Industrial Employment (Standing Orders) A
Industrial Employment (Standing Orders) AIndustrial Employment (Standing Orders) A
Industrial Employment (Standing Orders) Arajeevgupta
 

Tendances (20)

Employees Provident Fund And MIscellaneous Provisions Act , 1952
Employees Provident Fund And MIscellaneous Provisions Act , 1952Employees Provident Fund And MIscellaneous Provisions Act , 1952
Employees Provident Fund And MIscellaneous Provisions Act , 1952
 
Payment of wages act 1936
Payment of wages act 1936Payment of wages act 1936
Payment of wages act 1936
 
The payment of bonus act 1965
The payment of bonus act 1965The payment of bonus act 1965
The payment of bonus act 1965
 
Payment of gratuity act, 1972 ppt
Payment of gratuity act, 1972 pptPayment of gratuity act, 1972 ppt
Payment of gratuity act, 1972 ppt
 
The Occupational Safety, Health and Working Conditions Code, 2020 - Part III
The Occupational Safety, Health and Working Conditions Code, 2020 - Part IIIThe Occupational Safety, Health and Working Conditions Code, 2020 - Part III
The Occupational Safety, Health and Working Conditions Code, 2020 - Part III
 
The employee provident Act 1952
The employee provident Act 1952The employee provident Act 1952
The employee provident Act 1952
 
Payment of bonus act
Payment of bonus actPayment of bonus act
Payment of bonus act
 
Epf act 1952
Epf act 1952Epf act 1952
Epf act 1952
 
The payment of gratuity act
The payment of gratuity actThe payment of gratuity act
The payment of gratuity act
 
HRM - The employment exchanges Act 1959
HRM - The employment exchanges Act 1959HRM - The employment exchanges Act 1959
HRM - The employment exchanges Act 1959
 
PPT on Provident fund New Amendments 2020 : THE EMPLOYEES' PROVIDENT FUNDS AN...
PPT on Provident fund New Amendments 2020 : THE EMPLOYEES' PROVIDENT FUNDS AN...PPT on Provident fund New Amendments 2020 : THE EMPLOYEES' PROVIDENT FUNDS AN...
PPT on Provident fund New Amendments 2020 : THE EMPLOYEES' PROVIDENT FUNDS AN...
 
The apprentices act 1961
The apprentices act 1961The apprentices act 1961
The apprentices act 1961
 
The Payment Of Gratuity Act, 1972
The Payment Of Gratuity Act, 1972The Payment Of Gratuity Act, 1972
The Payment Of Gratuity Act, 1972
 
contract labour regulation abolition act 1970
contract labour regulation abolition act 1970contract labour regulation abolition act 1970
contract labour regulation abolition act 1970
 
Industrial Disputes Act 1947
Industrial Disputes Act 1947Industrial Disputes Act 1947
Industrial Disputes Act 1947
 
minimum wages act 1948
minimum wages act 1948minimum wages act 1948
minimum wages act 1948
 
Payment of wages act
Payment of wages actPayment of wages act
Payment of wages act
 
ESI Act,1948
ESI Act,1948 ESI Act,1948
ESI Act,1948
 
PPT on "Provident Fund & MP Act 1952" of India.
PPT on "Provident Fund & MP Act 1952" of India.PPT on "Provident Fund & MP Act 1952" of India.
PPT on "Provident Fund & MP Act 1952" of India.
 
Industrial Employment (Standing Orders) A
Industrial Employment (Standing Orders) AIndustrial Employment (Standing Orders) A
Industrial Employment (Standing Orders) A
 

En vedette

Provident fund ppt
Provident fund pptProvident fund ppt
Provident fund pptDixita S
 
Ppt on epf act 1952
Ppt on epf act 1952Ppt on epf act 1952
Ppt on epf act 1952renkey
 
PPT on "Employee's State Insurance Act 1948" of India.
PPT on "Employee's State Insurance Act 1948" of India.PPT on "Employee's State Insurance Act 1948" of India.
PPT on "Employee's State Insurance Act 1948" of India.Anshu Shekhar Singh
 
Employees’ provident funds and Miscellaneous Provisions Act, 1952
Employees’ provident funds and Miscellaneous Provisions Act, 1952Employees’ provident funds and Miscellaneous Provisions Act, 1952
Employees’ provident funds and Miscellaneous Provisions Act, 1952kushnabh chhabra
 
(हिंदी) EMPLOYEE PROVIDENT FUND ACT, 1952
(हिंदी) EMPLOYEE PROVIDENT FUND ACT, 1952(हिंदी) EMPLOYEE PROVIDENT FUND ACT, 1952
(हिंदी) EMPLOYEE PROVIDENT FUND ACT, 1952suraj kumar
 
Employees Provident Fund
Employees Provident FundEmployees Provident Fund
Employees Provident Fundkottoor
 
Aam aadami bima Yojana
Aam aadami bima YojanaAam aadami bima Yojana
Aam aadami bima YojanaDurgesh Tiwari
 
Social security l16
Social security l16Social security l16
Social security l16prannoy2392
 
EPF Conference Barcelona 2011
EPF Conference Barcelona 2011EPF Conference Barcelona 2011
EPF Conference Barcelona 2011apel
 
Epf installation tutorial_user_manual
Epf installation tutorial_user_manualEpf installation tutorial_user_manual
Epf installation tutorial_user_manualsunskippy
 
Important Provisions of the Epf and Mf act
Important Provisions of the Epf and Mf actImportant Provisions of the Epf and Mf act
Important Provisions of the Epf and Mf actChiranjeev Sanyal
 
THE PROVIDENT FUND & MISCELLANEOUS PROVISIONS ACT
THE PROVIDENT FUND & MISCELLANEOUS PROVISIONS ACTTHE PROVIDENT FUND & MISCELLANEOUS PROVISIONS ACT
THE PROVIDENT FUND & MISCELLANEOUS PROVISIONS ACTMayank Mittal
 
Dhr 110 week 12 & 13 employees provident fund act 1991
Dhr 110 week 12 & 13   employees provident fund act 1991Dhr 110 week 12 & 13   employees provident fund act 1991
Dhr 110 week 12 & 13 employees provident fund act 1991daddycatty
 
EPF and EPS in India
EPF and EPS in IndiaEPF and EPS in India
EPF and EPS in IndiaAshi Anjum
 

En vedette (20)

Provident fund ppt
Provident fund pptProvident fund ppt
Provident fund ppt
 
Ppt on epf act 1952
Ppt on epf act 1952Ppt on epf act 1952
Ppt on epf act 1952
 
Employee Provident Fund Act
Employee Provident Fund ActEmployee Provident Fund Act
Employee Provident Fund Act
 
Understand your EPF
Understand your EPFUnderstand your EPF
Understand your EPF
 
PPT on "Employee's State Insurance Act 1948" of India.
PPT on "Employee's State Insurance Act 1948" of India.PPT on "Employee's State Insurance Act 1948" of India.
PPT on "Employee's State Insurance Act 1948" of India.
 
Employees’ provident funds and Miscellaneous Provisions Act, 1952
Employees’ provident funds and Miscellaneous Provisions Act, 1952Employees’ provident funds and Miscellaneous Provisions Act, 1952
Employees’ provident funds and Miscellaneous Provisions Act, 1952
 
(हिंदी) EMPLOYEE PROVIDENT FUND ACT, 1952
(हिंदी) EMPLOYEE PROVIDENT FUND ACT, 1952(हिंदी) EMPLOYEE PROVIDENT FUND ACT, 1952
(हिंदी) EMPLOYEE PROVIDENT FUND ACT, 1952
 
Epf act 1952
Epf act 1952Epf act 1952
Epf act 1952
 
Employees Provident Fund
Employees Provident FundEmployees Provident Fund
Employees Provident Fund
 
E.S.I. Act 1948
E.S.I. Act 1948E.S.I. Act 1948
E.S.I. Act 1948
 
Aam aadami bima Yojana
Aam aadami bima YojanaAam aadami bima Yojana
Aam aadami bima Yojana
 
Social security l16
Social security l16Social security l16
Social security l16
 
EPF Conference Barcelona 2011
EPF Conference Barcelona 2011EPF Conference Barcelona 2011
EPF Conference Barcelona 2011
 
Epf
EpfEpf
Epf
 
Epf installation tutorial_user_manual
Epf installation tutorial_user_manualEpf installation tutorial_user_manual
Epf installation tutorial_user_manual
 
Important Provisions of the Epf and Mf act
Important Provisions of the Epf and Mf actImportant Provisions of the Epf and Mf act
Important Provisions of the Epf and Mf act
 
THE PROVIDENT FUND & MISCELLANEOUS PROVISIONS ACT
THE PROVIDENT FUND & MISCELLANEOUS PROVISIONS ACTTHE PROVIDENT FUND & MISCELLANEOUS PROVISIONS ACT
THE PROVIDENT FUND & MISCELLANEOUS PROVISIONS ACT
 
Dhr 110 week 12 & 13 employees provident fund act 1991
Dhr 110 week 12 & 13   employees provident fund act 1991Dhr 110 week 12 & 13   employees provident fund act 1991
Dhr 110 week 12 & 13 employees provident fund act 1991
 
EPF and EPS in India
EPF and EPS in IndiaEPF and EPS in India
EPF and EPS in India
 
Presentation on epfo
Presentation on epfoPresentation on epfo
Presentation on epfo
 

Similaire à EPF & MPF act 1952

All About EPF Act with Latest Updations
All About EPF Act with Latest UpdationsAll About EPF Act with Latest Updations
All About EPF Act with Latest UpdationsShalini Thakur
 
A presentation on epf act 1952
A presentation on epf act 1952A presentation on epf act 1952
A presentation on epf act 1952Shalini Thakur
 
The payment of wages act 1936
The payment of wages act 1936The payment of wages act 1936
The payment of wages act 1936Management
 
Employee provident fund & miscellaneous act 1952 abhishek nagre
Employee provident fund & miscellaneous  act 1952   abhishek nagreEmployee provident fund & miscellaneous  act 1952   abhishek nagre
Employee provident fund & miscellaneous act 1952 abhishek nagreAbhishek Nagre
 
Payment of bonus act, 1965
Payment of bonus act, 1965Payment of bonus act, 1965
Payment of bonus act, 1965Navya Jayakumar
 
Contract Labour (Regulation & Abolition) Act, 1970 ld
Contract Labour (Regulation & Abolition) Act,  1970 ldContract Labour (Regulation & Abolition) Act,  1970 ld
Contract Labour (Regulation & Abolition) Act, 1970 ldkunal patil
 
labour law notespdf
labour law notespdflabour law notespdf
labour law notespdfTanu873113
 
Start ups and MSMEs: Registration and Advantages features of Atmanirbhar package
Start ups and MSMEs: Registration and Advantages features of Atmanirbhar packageStart ups and MSMEs: Registration and Advantages features of Atmanirbhar package
Start ups and MSMEs: Registration and Advantages features of Atmanirbhar packageNovojuris
 
Compliance Forms Under Important Labour Laws.pdf
Compliance Forms Under Important Labour Laws.pdfCompliance Forms Under Important Labour Laws.pdf
Compliance Forms Under Important Labour Laws.pdfPrem Kumar Soni
 
Payment of wages act, 1936
Payment of wages act, 1936Payment of wages act, 1936
Payment of wages act, 1936Rajiv Kumar
 
Payment of Bonus Act,1965 by Jamal
Payment of Bonus Act,1965 by JamalPayment of Bonus Act,1965 by Jamal
Payment of Bonus Act,1965 by JamalJamaluddeen
 
Compliance list (bonus act)
Compliance list (bonus act)Compliance list (bonus act)
Compliance list (bonus act)ACS Shalu Saraf
 

Similaire à EPF & MPF act 1952 (20)

All About EPF Act with Latest Updations
All About EPF Act with Latest UpdationsAll About EPF Act with Latest Updations
All About EPF Act with Latest Updations
 
A presentation on epf act 1952
A presentation on epf act 1952A presentation on epf act 1952
A presentation on epf act 1952
 
The payment of wages act 1936
The payment of wages act 1936The payment of wages act 1936
The payment of wages act 1936
 
Employee provident fund & miscellaneous act 1952 abhishek nagre
Employee provident fund & miscellaneous  act 1952   abhishek nagreEmployee provident fund & miscellaneous  act 1952   abhishek nagre
Employee provident fund & miscellaneous act 1952 abhishek nagre
 
6554103 Pf Act
6554103 Pf Act6554103 Pf Act
6554103 Pf Act
 
Payment of bonus act, 1965
Payment of bonus act, 1965Payment of bonus act, 1965
Payment of bonus act, 1965
 
EMPLOYEES STATE INSURANCE
EMPLOYEES STATE INSURANCEEMPLOYEES STATE INSURANCE
EMPLOYEES STATE INSURANCE
 
Contract Labour (Regulation & Abolition) Act, 1970 ld
Contract Labour (Regulation & Abolition) Act,  1970 ldContract Labour (Regulation & Abolition) Act,  1970 ld
Contract Labour (Regulation & Abolition) Act, 1970 ld
 
labour law notespdf
labour law notespdflabour law notespdf
labour law notespdf
 
Start ups and MSMEs: Registration and Advantages features of Atmanirbhar package
Start ups and MSMEs: Registration and Advantages features of Atmanirbhar packageStart ups and MSMEs: Registration and Advantages features of Atmanirbhar package
Start ups and MSMEs: Registration and Advantages features of Atmanirbhar package
 
Compliance Forms Under Important Labour Laws.pdf
Compliance Forms Under Important Labour Laws.pdfCompliance Forms Under Important Labour Laws.pdf
Compliance Forms Under Important Labour Laws.pdf
 
Payment of wages act, 1936
Payment of wages act, 1936Payment of wages act, 1936
Payment of wages act, 1936
 
Payment of Bonus Act,1965 by Jamal
Payment of Bonus Act,1965 by JamalPayment of Bonus Act,1965 by Jamal
Payment of Bonus Act,1965 by Jamal
 
PAYMENT OF GRATUITY ACT- 1972
PAYMENT OF GRATUITY ACT- 1972 PAYMENT OF GRATUITY ACT- 1972
PAYMENT OF GRATUITY ACT- 1972
 
362 1 (1)
362 1 (1)362 1 (1)
362 1 (1)
 
1 32
1 321 32
1 32
 
1 32
1 321 32
1 32
 
Compliance list (bonus act)
Compliance list (bonus act)Compliance list (bonus act)
Compliance list (bonus act)
 
Corporate tax and ESOP
Corporate tax and ESOPCorporate tax and ESOP
Corporate tax and ESOP
 
Employees provident fund act 1952
Employees provident fund act 1952Employees provident fund act 1952
Employees provident fund act 1952
 

Dernier

Personal Brand Exploration Presentation Eric Bonilla
Personal Brand Exploration Presentation Eric BonillaPersonal Brand Exploration Presentation Eric Bonilla
Personal Brand Exploration Presentation Eric BonillaEricBonilla13
 
Borderless Access - Global Panel book-unlock 2024
Borderless Access - Global Panel book-unlock 2024Borderless Access - Global Panel book-unlock 2024
Borderless Access - Global Panel book-unlock 2024Borderless Access
 
To Create Your Own Wig Online To Create Your Own Wig Online
To Create Your Own Wig Online  To Create Your Own Wig OnlineTo Create Your Own Wig Online  To Create Your Own Wig Online
To Create Your Own Wig Online To Create Your Own Wig Onlinelng ths
 
Ethical stalking by Mark Williams. UpliftLive 2024
Ethical stalking by Mark Williams. UpliftLive 2024Ethical stalking by Mark Williams. UpliftLive 2024
Ethical stalking by Mark Williams. UpliftLive 2024Winbusinessin
 
Entrepreneurship & organisations: influences and organizations
Entrepreneurship & organisations: influences and organizationsEntrepreneurship & organisations: influences and organizations
Entrepreneurship & organisations: influences and organizationsP&CO
 
AMAZON SELLER VIRTUAL ASSISTANT PRODUCT RESEARCH .pdf
AMAZON SELLER VIRTUAL ASSISTANT PRODUCT RESEARCH .pdfAMAZON SELLER VIRTUAL ASSISTANT PRODUCT RESEARCH .pdf
AMAZON SELLER VIRTUAL ASSISTANT PRODUCT RESEARCH .pdfJohnCarloValencia4
 
Borderless Access - Global B2B Panel book-unlock 2024
Borderless Access - Global B2B Panel book-unlock 2024Borderless Access - Global B2B Panel book-unlock 2024
Borderless Access - Global B2B Panel book-unlock 2024Borderless Access
 
Upgrade Your Banking Experience with Advanced Core Banking Applications
Upgrade Your Banking Experience with Advanced Core Banking ApplicationsUpgrade Your Banking Experience with Advanced Core Banking Applications
Upgrade Your Banking Experience with Advanced Core Banking ApplicationsIntellect Design Arena Ltd
 
Intellectual Property Licensing Examples
Intellectual Property Licensing ExamplesIntellectual Property Licensing Examples
Intellectual Property Licensing Examplesamberjiles31
 
Cracking the ‘Business Process Outsourcing’ Code Main.pptx
Cracking the ‘Business Process Outsourcing’ Code Main.pptxCracking the ‘Business Process Outsourcing’ Code Main.pptx
Cracking the ‘Business Process Outsourcing’ Code Main.pptxWorkforce Group
 
Plano de marketing- inglês em formato ppt
Plano de marketing- inglês  em formato pptPlano de marketing- inglês  em formato ppt
Plano de marketing- inglês em formato pptElizangelaSoaresdaCo
 
UNLEASHING THE POWER OF PROGRAMMATIC ADVERTISING
UNLEASHING THE POWER OF PROGRAMMATIC ADVERTISINGUNLEASHING THE POWER OF PROGRAMMATIC ADVERTISING
UNLEASHING THE POWER OF PROGRAMMATIC ADVERTISINGlokeshwarmaha
 
PDT 88 - 4 million seed - Seed - Protecto.pdf
PDT 88 - 4 million seed - Seed - Protecto.pdfPDT 88 - 4 million seed - Seed - Protecto.pdf
PDT 88 - 4 million seed - Seed - Protecto.pdfHajeJanKamps
 
Anyhr.io | Presentation HR&Recruiting agency
Anyhr.io | Presentation HR&Recruiting agencyAnyhr.io | Presentation HR&Recruiting agency
Anyhr.io | Presentation HR&Recruiting agencyHanna Klim
 
Data skills for Agile Teams- Killing story points
Data skills for Agile Teams- Killing story pointsData skills for Agile Teams- Killing story points
Data skills for Agile Teams- Killing story pointsyasinnathani
 
HELENE HECKROTTE'S PROFESSIONAL PORTFOLIO.pptx
HELENE HECKROTTE'S PROFESSIONAL PORTFOLIO.pptxHELENE HECKROTTE'S PROFESSIONAL PORTFOLIO.pptx
HELENE HECKROTTE'S PROFESSIONAL PORTFOLIO.pptxHelene Heckrotte
 
A flour, rice and Suji company in Jhang.
A flour, rice and Suji company in Jhang.A flour, rice and Suji company in Jhang.
A flour, rice and Suji company in Jhang.mcshagufta46
 
Chapter_Five_The_Rural_Development_Policies_and_Strategy_of_Ethiopia.pptx
Chapter_Five_The_Rural_Development_Policies_and_Strategy_of_Ethiopia.pptxChapter_Five_The_Rural_Development_Policies_and_Strategy_of_Ethiopia.pptx
Chapter_Five_The_Rural_Development_Policies_and_Strategy_of_Ethiopia.pptxesiyasmengesha
 
IIBA® Melbourne - Navigating Business Analysis - Excellence for Career Growth...
IIBA® Melbourne - Navigating Business Analysis - Excellence for Career Growth...IIBA® Melbourne - Navigating Business Analysis - Excellence for Career Growth...
IIBA® Melbourne - Navigating Business Analysis - Excellence for Career Growth...AustraliaChapterIIBA
 
Graham and Doddsville - Issue 1 - Winter 2006 (1).pdf
Graham and Doddsville - Issue 1 - Winter 2006 (1).pdfGraham and Doddsville - Issue 1 - Winter 2006 (1).pdf
Graham and Doddsville - Issue 1 - Winter 2006 (1).pdfAnhNguyen97152
 

Dernier (20)

Personal Brand Exploration Presentation Eric Bonilla
Personal Brand Exploration Presentation Eric BonillaPersonal Brand Exploration Presentation Eric Bonilla
Personal Brand Exploration Presentation Eric Bonilla
 
Borderless Access - Global Panel book-unlock 2024
Borderless Access - Global Panel book-unlock 2024Borderless Access - Global Panel book-unlock 2024
Borderless Access - Global Panel book-unlock 2024
 
To Create Your Own Wig Online To Create Your Own Wig Online
To Create Your Own Wig Online  To Create Your Own Wig OnlineTo Create Your Own Wig Online  To Create Your Own Wig Online
To Create Your Own Wig Online To Create Your Own Wig Online
 
Ethical stalking by Mark Williams. UpliftLive 2024
Ethical stalking by Mark Williams. UpliftLive 2024Ethical stalking by Mark Williams. UpliftLive 2024
Ethical stalking by Mark Williams. UpliftLive 2024
 
Entrepreneurship & organisations: influences and organizations
Entrepreneurship & organisations: influences and organizationsEntrepreneurship & organisations: influences and organizations
Entrepreneurship & organisations: influences and organizations
 
AMAZON SELLER VIRTUAL ASSISTANT PRODUCT RESEARCH .pdf
AMAZON SELLER VIRTUAL ASSISTANT PRODUCT RESEARCH .pdfAMAZON SELLER VIRTUAL ASSISTANT PRODUCT RESEARCH .pdf
AMAZON SELLER VIRTUAL ASSISTANT PRODUCT RESEARCH .pdf
 
Borderless Access - Global B2B Panel book-unlock 2024
Borderless Access - Global B2B Panel book-unlock 2024Borderless Access - Global B2B Panel book-unlock 2024
Borderless Access - Global B2B Panel book-unlock 2024
 
Upgrade Your Banking Experience with Advanced Core Banking Applications
Upgrade Your Banking Experience with Advanced Core Banking ApplicationsUpgrade Your Banking Experience with Advanced Core Banking Applications
Upgrade Your Banking Experience with Advanced Core Banking Applications
 
Intellectual Property Licensing Examples
Intellectual Property Licensing ExamplesIntellectual Property Licensing Examples
Intellectual Property Licensing Examples
 
Cracking the ‘Business Process Outsourcing’ Code Main.pptx
Cracking the ‘Business Process Outsourcing’ Code Main.pptxCracking the ‘Business Process Outsourcing’ Code Main.pptx
Cracking the ‘Business Process Outsourcing’ Code Main.pptx
 
Plano de marketing- inglês em formato ppt
Plano de marketing- inglês  em formato pptPlano de marketing- inglês  em formato ppt
Plano de marketing- inglês em formato ppt
 
UNLEASHING THE POWER OF PROGRAMMATIC ADVERTISING
UNLEASHING THE POWER OF PROGRAMMATIC ADVERTISINGUNLEASHING THE POWER OF PROGRAMMATIC ADVERTISING
UNLEASHING THE POWER OF PROGRAMMATIC ADVERTISING
 
PDT 88 - 4 million seed - Seed - Protecto.pdf
PDT 88 - 4 million seed - Seed - Protecto.pdfPDT 88 - 4 million seed - Seed - Protecto.pdf
PDT 88 - 4 million seed - Seed - Protecto.pdf
 
Anyhr.io | Presentation HR&Recruiting agency
Anyhr.io | Presentation HR&Recruiting agencyAnyhr.io | Presentation HR&Recruiting agency
Anyhr.io | Presentation HR&Recruiting agency
 
Data skills for Agile Teams- Killing story points
Data skills for Agile Teams- Killing story pointsData skills for Agile Teams- Killing story points
Data skills for Agile Teams- Killing story points
 
HELENE HECKROTTE'S PROFESSIONAL PORTFOLIO.pptx
HELENE HECKROTTE'S PROFESSIONAL PORTFOLIO.pptxHELENE HECKROTTE'S PROFESSIONAL PORTFOLIO.pptx
HELENE HECKROTTE'S PROFESSIONAL PORTFOLIO.pptx
 
A flour, rice and Suji company in Jhang.
A flour, rice and Suji company in Jhang.A flour, rice and Suji company in Jhang.
A flour, rice and Suji company in Jhang.
 
Chapter_Five_The_Rural_Development_Policies_and_Strategy_of_Ethiopia.pptx
Chapter_Five_The_Rural_Development_Policies_and_Strategy_of_Ethiopia.pptxChapter_Five_The_Rural_Development_Policies_and_Strategy_of_Ethiopia.pptx
Chapter_Five_The_Rural_Development_Policies_and_Strategy_of_Ethiopia.pptx
 
IIBA® Melbourne - Navigating Business Analysis - Excellence for Career Growth...
IIBA® Melbourne - Navigating Business Analysis - Excellence for Career Growth...IIBA® Melbourne - Navigating Business Analysis - Excellence for Career Growth...
IIBA® Melbourne - Navigating Business Analysis - Excellence for Career Growth...
 
Graham and Doddsville - Issue 1 - Winter 2006 (1).pdf
Graham and Doddsville - Issue 1 - Winter 2006 (1).pdfGraham and Doddsville - Issue 1 - Winter 2006 (1).pdf
Graham and Doddsville - Issue 1 - Winter 2006 (1).pdf
 

EPF & MPF act 1952

  • 1. SEMINAR ON EPF & MP ACT, 1952 – MEMBERS’ SERVICES 1
  • 2. INTRODUCTION The Employees’ Provident Funds & Miscellaneous Provisions Act, 1952 enacted by Parliament came into force w.e.f. 14.3.1952 and presently the following three Schemes are in operation under the Act:- 1. The Employees’ Provident Fund Scheme, 1952 2. Employees’ Pension Scheme, 1995 and 3. Employees’ Deposit Linked Insurance Scheme, 1976. 2
  • 3. FUNDING OF THE SCHEME Schemes Employer’s Employees’* Central Govt. Total Provident Fund 3.67% 12% 0% 15.67% Insurance Fund 0.5% 0% 0% 0.5% (EDLI) Pension Fund 8.33% 0% 1.16% 9.49% Total 12.5% 12% 1.16% 25.66% * Rate of contribution is 10% in respect of following establishments :- less than 20 persons are employed. sick unit declared by the BIFR. 3
  • 4. (contd…) Accumulated losses equal to or exceeding its entire network. Any establishment in the (a) Jute, (b) Beedi, (c) Brick, (d) Coir and (e) Gaurgum industry or factories Administrative Charges / Inspection Charges are applicable @ 1.10% and 0.18% respectively. 4
  • 6. APPLICATION OF THE ACT  All establishments / factories included in the list of notified industries and class of establishments as in Schedule I and employing 20 or more persons.  Any other establishment employing 20 or more persons or class of establishments which the Central Government may notify.  The Act will come into force in an establishment from the very date of set up or commencement of business except certain class of establishments as excluded under Section 16 of the Act 6
  • 7. (contd…) – Departments or branches of an establishment, situated in the same place or different places shall be treated as parts of the same establishment for coverage under the Act. – The Act once applied will continue to apply to the establishment even if the number of employees fall less than 20 after coverage. – The Act is applicable to cinema theatres employing 5 or more workers 7
  • 8. VOLUNTARY COVERAGE • With the consent of the employer and majority of employees, an establishment otherwise not coverable can be covered under Section 1(4) of the Act.. 8
  • 9. MEMBERSHIP - Persons / employees including regular, casual, piece rated, part time, temporary and contract employees. - Coverage from the date of joining the establishment / factory. - All employees getting the wages upto Rs. 6500/- per month. - In case of wages more than Rs. 6500/- p.m. on joint request by employee and employer 9
  • 11. ROLE OF COMPLIANCE Coverage of all coverable establishments . Extending membership to all eligible employees in covered establishments . Ensuring proper implementation of Act & Scheme provisions 11
  • 12. REGISTRATION • A registration number otherwise known as Code Number issued to every establishment / factory to which the Act is applied. • Issued by RPFC under whose jurisdiction the establishment is located. • In case of factory, code number is allotted by RPFC under whose jurisdiction factory is located. • A contractor employing 20 persons and engaged in the work of different establishments may obtain a separate Code Number 12
  • 13. (contd…) • Normally Code Number is issued within 3 days on submission of requisite documents like proof of date of set up, Demand Draft towards PF dues for one month etc. • All members be assigned with separate PF Account Number. • The provisions of the Act applies to the establishment suo-moto, on fulfilling the conditions for the coverage 13
  • 14. COLLECTION / RECEIPT OF CONTRIBUTIONS • Contributions in respect of each member as per specified rate received by the concerned RPFC. • Maintenance of contribution card member- wise for each financial year. • Deduction of employees’ share of PF from wages of the member before disbursement. 14
  • 15. (contd…) • A member is required to contribute compulsorily upto Rs. 6500/- of his wages and he may voluntarily opt to contribute beyond the wage ceiling of Rs. 6500/- (i.e. upto his wages). During the course of membership, if the wages (Basic + Dearness Allowance including cash value of food concession and Retaining allowances) has crossed Rs. 6500/- the member and employer are required to pay PF contribution at least upto Rs. 6500/- only. 15
  • 16. (contd…) • If an employee is willing he can also contribute to the fund in excess of the statutory limit of 10% or 12% of his wages, as the case may be. The employer need not pay in excess of the statutory limit. • The employers’ share of PF contribution should not be deducted from the wage of a member or recovered from the member. • Principal employer is liable for default by their contractors. 16
  • 17. ASSESSMENT OF DUES / RECOVERY • In case of default, the dues can be assessed under Section 7A of the Act. • Proceedings u/s. 7A is quasi-judicial process. • In case of belated remittance damages u/s. 14B and interest u/s. 7Q are leviable. 17
  • 18. CONSEQUENCES ON DEFAULT • In case of non-payment of assessed dues the recovery actions as per provisions u/s. 8 of the Act read with 2nd / 3rd Schedule of I.T. Act, 1961. • Penal damages upto 25% per annum and interest at the rate of 12% payable on the defaulted amount. • Attachment of bank accounts. • Realisation of dues from Debtors. 18
  • 19. (contd…) • Attachment of movable and immovable properties. • Arrest and detention. • Action u/s. 406/409 of Indian Penal Code. • Action u/s. 110 Criminal Procedure Code. • Prosecution u/s. 14 of the EPF Act. 19
  • 20. DUTIES OF THE EMPLOYERS • Enrol all categories of employees including the employees engaged by or through contractors and also piece rated, hourly rated employees. • Remit the contributions and administrative charges before the 15th of the following month. • File the initial returns of Form 9, Form 3(P.S.), form 5A. • File the monthly returns in Form 12A, Form 5, Form 10 and Challans for remitting the dues. 20
  • 21. (contd…) • Maintain the contribution card in respect of each employee in Form 3A and submit the annual returns in Form 3A and 6A after reconciliation with Challans and form 12A. • The employer has to ensure that statutory dues in respect of contractors employees are remitted and returns filed. • Employer should attest the form No.2 and the claims forms submitted by the member/ legal heirs/ nominees. • Make available all relevant records for inspection of visiting officials with due authorisation. 21
  • 23. (i) Benefits under EPF Scheme • Payment of accumulation plus interest on retirement, resignation, death. • Partial withdrawals permitted for specific purposes: o Financing life insurance policies o acquiring house or site o Addition and substantial alterations of the dwelling house o marriage of self and dependents o education of children o treatment of illness etc. o Purchase of equipment by physically handicapped employees. o Financial assistance on dismissal, discharge, closure / lock out. 23
  • 24. OTHERS (ii) Redressal of grievances at field office and Head Office levels. (iii) Disposal of grievances in Bhavishya Nidhi Adalats. (iv) Know Status of your Claim from EPFO Website. (v) Lodging the grievances on the Website under CPGRAM. (vi) Status of claims settlement from Information Kiosks. 24
  • 25. DIFFICULTIES IN IMPLEMENTATION OF PROVISIONS OF THE ACT • No voluntary compliance by employers. • Lack of awareness among establishments regarding compliance and submission of returns. • Lack of awareness among the employees regarding social security benefits. • Wage ceiling at Rs. 6500/-. • Existence of Schedule Head. • Non-issue of statement of member’s account due to non-submission of returns by the employer. 25
  • 26. (contd…) (vii) Outsourcing and employees engaged on contract. (viii) Engaging the contract / part time employee in the Government Departments. (ix) Not fully computerization in EPFO. (x) Numerous returns submitted by the employers. (xi) Delay in settlement of claims / grievances due to heavy workload. 26
  • 27. (contd…) (xii) Delay in issue of PF statements due to non- submission of returns. (xiii) Illiteracy among members for maintaining their Date of Birth records. (xiv) Employers reluctant to submit the claim forms in time. 27
  • 28. IMPORTANT SECTIONS OF THE ACT • SECTION 1 – APPLICABILITY OF THE ACT • SECTION 6 – RATE OF CONTRIBUTIONS • SECTION 7A – DECIDING APPLICABILITY AND ASSESSMENT OF DUES • SECTION 7Q – IMPOSING OF INTEREST • SECTION 8 – RECOVERY OF DUES FROM EMPLOYERS AND CONTRACTORS 28
  • 29. (contd…) • SECTION 11 – PRIORITY OF PAYMENT OF EPF CONTRIBUTIONS OVER OTHER DEBTS • SECTION 14 – PENALTIES FOR DEFAULTERS • SECTION 14B – LEVYING OF DAMAGES ON BELATED PAYMENTS • SECTION 16 – EXCLUSION FROM THE ACT • SECTION 17 – EXEMPTION 29