Pf act applicability
VISHAL RANA,AMFI,CA,CS Final,B
(Querist) 10 April 2013
This query is : Resolved
Our Company engaged in execution of Infrastructure Contracts.
Due to heavy work load company has outsourced his Contracts to individual contractors for execution.
my query is that
1. whether labour appointed by contractors
for execution of outsourced work alloted
to Contractors covered under Provident
fund act.
2. who is liable to obtain PF No,Contractor
or Outsourced Company.
3. who is liable to deduct PF.
Thanks & Regards
ajay sethi
(Expert) 10 April 2013
company can afford legal fees . contact a local lawyer
Sudhir Kumar, Advocate
(Expert) 10 April 2013
1. whether labour appointed by contractors
for execution of outsourced work alloted
to Contractors covered under Provident
fund act.
Ans : Yes even if the contractor is employing less than 20, if the aggregate of direct and outsourced employees is above 20.
2. who is liable to obtain PF No,Contractor
or Outsourced Company.
Ans : Contractor. if contractor defaults the Principal employer is equally responsible and can be made to deposit the employee share as well as employer share even if the contractor has usurped both the shares.
3. who is liable to deduct PF.
Ans : Contractor. if contractor defaults the Principal employer is equally responsible and can be made to deposit the employee share as well as employer share even if the contractor has usurped both the shares.
Raj Kumar Makkad
(Expert) 11 April 2013
I do agree with the advice of Sudhir though the opinion of Sethi is worth mentioning for the author.
