This is first ppt presentation in labor law, if any correction pl send it to me.

1. The Employee’s Provident Fund And Miscellaneous Provisions Act, 1952 (Act No. 19 of 1952)

2. The Employee’s Provident Fund And Miscellaneous Provisions Act, 1952 The schemes of Provident Funds are meant to induce employees to save a portion from their present earnings for a rainy day. The object of the Act is to provide for institution of Provident Fund, Pension Fund and Deposit Linked Insurance Fund for employees in Factories and other establishments.

3. Employee Definition: "Employee" as defined in Section 2(f) of the Act means any person who is employee for wages in any kind of work manual or otherwise, in or in connection with the work of an establishment and who gets wages directly or indirectly from the employer and includes any person employed by or through a contractor in or in connection with the work of the establishment. Employer Definition: in relation to an establishment which is a factory the owner or occupier of the factory including the agent of such owner or occupier the legal representative of a deceased owner or occupier and where a person has been named as a manager of the factory under clause (f) of sub-section (1) of section 7 of the Factories Act 1948 the person. in relation to any other establishment the person who or the authority which has the ultimate control over the affairs of the establishment and where the said affairs are entrusted to a manager managing director or managing agent such manager managing director or managing agent.

4. Con…. (i) the cash value of any food concession; (ii) any dearness allowance (that is to say all cash payments by whatever name called paid to an employee on account of a rise in the cost of living) house-rent allowance overtime allowance bonus commission or any other similar allowance payable to the employee in respect of his employment or of work done in such employment; (iii) any presents made by the employer;

5. Membership: All the employees (including casual, part time, Daily wage contract etc.) other than an excluded employee are required to be enrolled as members of the fund the day, the Act comes into force in such establishment. Basic Wages: "Basic Wages" means all emoluments which are earned by employee while on duty or on leave or holiday with wages in either case in accordance with the terms of the contract of employment and witch are paid or payable in cash, but does not include

6. Eligibility: Any employee is eligible for membership from the day he joins the covered establishment. If the employee’s emoluments exceed Rs. 6,500/- per month, he has the option to join the Scheme(s) with the consent of employer. Declare previous employment details, if any, in Form No. 11 to the employer. On becoming a member of the Schemes file details in Form No. 2 ( family particulars/ nominations) through the employer. Rate of contribution payable by a member shall be @ 12% of his emoluments. A member can contribute statutorily over and above the prescribed rate. Any change in the family status, such as, marriage of the member. additions / deletion in the family. Legal adoption of the children. Change of nominee, is to be filed in Form No. 2 through the employer. A member is entitled to various benefits & facilities such as withdrawals, advances, pensions, death insurance etc.

7. Applicability: The Employees' Provident Fund and Miscellaneous Provisions Act 1952 applies to the whole India except Jammu & Kashmir. This Act is applicable to all factories and establishments were 20 or more employees are/were employed in the company. The employee has to get his salary below 6500 Rs/- Suddenly illness. Any Establishment engaged in manufacturing of (a) Jute , (b) Beedi , (c) Brick , (d) Coir (other than spinning sector), (e) Guar Gum Industries/Factories. Around 186 Classes of Industries covered under EPF & MP Act, 1952

8. Main Provisions of the Act The EPF and MP Act make provisions for 3 types of schemes. These schemes have been summarized as under EPF and MP Act Provident fund Pension Scheme Deposit Linked Insurance

10. Con…

11. Administrative Charges: a) Employees' Provident Fund Scheme:1.10% of total wages on which Provident Fund is recovered subject to a minimum of Rs. 5/- shall be payable by the employer every month . Prior to 1.8.1998, w.e.f. 1.8.1998 .65% of total wages b) Employees' Deposit Linked Insurance Scheme:0.01% of the total on which the Employees' Deposit Linked Insurance contributions recovered subject to a minimum of Rs. 2/- per month . c) Employees' Pension Scheme Scheme:No administrative charges are payable by the employer .The entire cost of administration is met by Central Government .

12. DO'S FOR A MEMBER: While joining an establishment, furnish details of previous employment if any, with previous Provident Fund a/c number and scheme certificate. In case of existing Provident Fund/ Pension a/c, apply for transfer of previous a/c number to the present a/c number. Ensure that employee furnishes form with details of previous Provident Fund a/c no. to Employees' Provident Fund Organisation. Execute form-2, in details of self, nominee for Provident Fund and pension and details of family and see that it is forwarded to Employees' Provident Fund Organisation by the employer. Ensure that particulars furnished are correct in all respects.

13. Con… Ensure that enrolment to Employees' Provident Fund/ Employees' Pension Scheme is done immediately on joining the establishment. Provident Fund is deducted at statutory rate from the total wages i.e. basic, D.A. and retaining allowance if any. If desirous of enhancing rate of contribution, inform the desire with the higher rate opted for to Employees' Provident Fund Organisation through employer and allow employer to deduct at enhanced rate from the wages. If the wages drawn is more than Rs. 6500/-, intimate your desire to contribute on the whole amount to Employees' Provident Fund Organisation through employer. Employer can also contribute on the whole amount drawn as wages under intimation to Employees' Provident Fund Organisation. Check up periodically with the employer that contribution and other charges are paid to Employees' Provident Fund Organisation and ensure its correctness by verifying the form-3A (contribution card) maintained by the employer.

14. DON'TS FOR A MEMBER: Don't give false clarification and incorrect particulars to Employer and Employees Provident Fund Organisation. Don't fall victim to middlemen/ agents. Employees' Provident Fund Organization does not have any agent. Don't allow Employer to deduct his own share of contribution or administrative charges payable by him from the wages. Don't be a party to misclassified allowances, with a view to avoid payment of Provident Fund

15. WITHDRAWALS:

16. Con…

17. 68 BB : REPAYMENT OF LOAN

18. 68 J : ADVANCE FROM FUND FOR ILLNESS

19. 68 K : ADVANCE FROM THE FUND FOR MARRIAGE

20. 68L : ADVANCE IN ABNORMAL CONDITIONS

21. 68 M : ADVANCE TO MEMBER AFFECTED BY CUT IN THE SUPPLY OF ELECTRICITY

22. 68 N : GRANT OF ADVANCE TO MEMBERS WHO ARE PHYSICALLY HANDICAPPED

23. EPF, EPS, EDLIS rates in India EPF, EPS and EDLIS are calculated on Basic salary, dearness allowances, cash value of food concession and retaining allowances if any. Most of the organizations are following Basic+ DA Method. Below table tells you the rates of contribution of EPF, EPS, EDLI, Admin charges in India.

24. Calculation of Employees provident fund Let us calculate the contribution of an employee who is getting a basic salary of Rs 3500/- Calculation of EPF for employees getting a basic salary over and above the ceiling limit 6500/- In such cases companies uses different method for calculation as per their pay roll policy.

25. Consider an employee getting a basic salary of 7500/- We can calculate it in different ways. The only thing you should take care is, EPS is calculated only up to 6500/- that means the maximum amount is fixed to Rs 541.00. The three methods mentioned below . Method-1 If the company consider total basic salary above the limit fixed 6500.00 for PF calculation.

26. Con… You may be thinking that, what about 3.67%? Here you don’t need to care about it. Employer is decided to contribute on total basic salary which is 12 % on 7500.00 equal to 900.00 EPS Share is fixed to 541.00, Balance (900-541) 359.00 goes to EPF account. Out of Rs 900.00 EPS share is RS 541/- which is fixed for a basic salary greater than 6500/-. The balance amount is 900-541 = 359.00 which will go to EPF account.

27. Method2 Some companies follows the below method in which employee share is calculated on 7500/- and employer share is calculated on up limit Rs 6500/-

28. Method3 Some are calculating both employer and employee shares on 6500/- in spite of higher basic salary than 6500.00

29. Remittance of contribution It is the duty of employer to remit the contribution deducted to the government before 15th of the following month. An employer is remitting EPF, EPS, EDLI, and Admin charges late shall be liable to pay damages as penalty ranging from 17% to 37% depending up on delay. Employer not to reduce wages: Employer cannot reduce wages of an employee by reason of his liability of contributing to the schemes under this Act. Penalties

30. Instructions for a member Instructions for a member while sending application to Employees' Provident Fund Organization. Use the appropriate form for claiming Provident Fund Pension, withdrawal benefit/scheme certificate, Employees' Deposit Linked Insurance benefit, etc. as given below :- Form-19 : To claim final settlement of Provident Fund by a member. Form-20 : To claim Provident Fund by nominee/legal heir on death of the member. Form-10-D : To claim pension. (In duplicate: If within state, In triplicate: If outside state.) Form-10-C : To claim withdrawal benefit/scheme certificate under Employees' Pension Scheme '95. Form-5IF : To claim assurance benefit under Employees' Deposit Linked Insurance '76 by nominee/legal heir of a member. Form-31 : To claim temporary withdrawal/advance under Employees' Provident Fund scheme'52. Form-13 : To effect transfer of Provident Fund/Pension from one A/C to another.

31. Con… Ensure that all columns of the application are filled completely. Application should be signed by the member/claimant. It should be attested by the former employer. In case attestation by the former employer is not possible, it should be got attested by any other authorized official specified with application form. Death cases: Nominee/legal heir should apply in Form-20 /Form-10-D /Form-5IF. Death certificate of the member. Pension cases: Joint photograph of member/spouse or the claimant should accompany the application. Date of birth certificates of children Option for return of capital/commutation should be specified clearly.

32. FOR MORE DETAILS: Visit - www.epfochennai.tn.nic.in PF OFFICE – Royapettah, Ambattur. THANK YOU