Pf deduction
Raziya Jakate
(Querist) 29 March 2014
This query is : Resolved
Greetings to all seniors!
PF deduction I have seen so far is 12% from both employer and employee. I have come across a CTC structure where PF deducted for all employees is same. The amount that is being deducted is not even 12%. Its a fixed amount for all employees right from a an entry level employee till the highest designated employee. Does it comply with the PF regulations. Kindly explain.
Sudhir Kumar, Advocate
(Expert) 29 March 2014
submit complaint to RPFC, in writing (no e-mail) and request him to initiate actin u/s 7A of EPF&MP Act 1952 and requesting for you to be present in the proceedings.
Kumar Doab
(Expert) 29 March 2014
Mr. Sudhir Kumar is right.
The employee should not hesitate to visit nearest PF office and rather should inculcate the habit of discussing the issues with authorities.
Probably all employees are drawing above wage ceiling/PF wages and company is providing PF on PF wages/wage ceiling to all employees.This could be the reason for getting the impression of fixed contribution.
R.V.RAO
(Expert) 30 March 2014
entry level to highest designated cannot draw same wages/salary in any orgn.
first ask the orgn.itself the reason of uniform p.f deduction.bring to their notice penal actions under p.f act.
if still you are not satisfied and the orgn.is not ready to comply p.f law, better to report to RPFC.
KEEP an evidence in hand as to what all you are trying to complain against.
from 1 st april 2014, wage limit for pf deduction is going up.
Rajendra K Goyal
(Expert) 30 March 2014
Agree with the advise of Sudhir Kumar ji and Kumar Doabji.
Guest
(Expert) 30 March 2014
Academic query. State your own specific problem.
RPFO is already there to take care of the compliance of the law by the companies. As an HR executive, you should be aware of the provisions of the law that periodical returns usually go to the RPFO from each employer with necessary data to check about compliances, besides the accounting of the actual amount deducted from each employee. So, don't think the RPFO is simply sleeping over such issues.
However, if you have some specific instance where the company is not complying with the requirement of minimum prescribed rates, you can well approach the RPFO with specific complaint.
Otherwise, as an HR executive, you are essentially required to go through the EPF Act and Rules for your knowledge.
T. Kalaiselvan, Advocate
(Expert) 30 March 2014
I agree with the opinions of expert Mr. Dingra on this issue. As an HR executive, you should be very well conversed on what is going on, so you are knowing the actual picture, go ahead about doing a right thing as per the circumstance.
Advocate. Arunagiri
(Expert) 30 March 2014
There is no fixed amount (PF deductions), only the percentage is specified in the act.
R.V.RAO
(Expert) 31 March 2014
though there is no fixed amount of p.f deduction stipulated in the P.F Act,the P.F Act stipulates the wage limit for which P.F needs to be deducted.
The wage limit for P.F deduction purpose is is also under upper revision from Rs 6500 to Rs 15000 wages p.m
V R SHROFF
(Expert) 31 March 2014
EMPLOYEE CONTRIBUTION IS AT WILL OF Employee between 12% up to 30%,
So it differ.
Employer's const is fixed at 1/8th of basic +da
Kumar Doab
(Expert) 31 March 2014
You have got the answer to your query and it is in the query itself that you have posted in another thread initiated by you at:
http://www.lawyersclubindia.com/experts/Pf-deduction-463311.asp#.Uzke8keBmXU
Sudhir Kumar, Advocate
(Expert) 31 March 2014
a new thread
http://www.lawyersclubindia.com/experts/PF-Deduction-463311.asp#.UzmLtKI1hn4
facts are jumbled
