Dear All,
PF CONTRIBUTIONS NOT ATTRACTED ON ALLOWANCES EVEN WHEN PART OF MINIMUM WAGES : P&H - HIGH COURT
In a writ petition No.15443/2009 between APFC vs. G4 Security, the Punjab & Haryana High Court has held on 1st February, 2011 that the minimum wages can be bifurcated into allowances and the Provident Funds contributions will not be attracted on allowances. The judgment will be published in the next issue of the Labour Law Reporter.
For in formation to all, if any one obtained the above notification please supply.
Regards,
PBS KUMAR
From India, Kakinada
590PF CONTRIBUTIONS NOT ATTRACTED ON ALLOWANCES EVEN WHEN PART OF MINIMUM WAGES : P&H - HIGH COURT
In a writ petition No.15443/2009 between APFC vs. G4 Security, the Punjab & Haryana High Court has held on 1st February, 2011 that the minimum wages can be bifurcated into allowances and the Provident Funds contributions will not be attracted on allowances. The judgment will be published in the next issue of the Labour Law Reporter.
For in formation to all, if any one obtained the above notification please supply.
Regards,
PBS KUMAR
From India, Kakinada
Dear Sir, Plz provide the detailed judgment so that we may able to understand the bifurcation of the minimum wages. regards karamjit singh chandigarh 09318010510
From India, Chandigarh
From India, Chandigarh
Hi Mr PBS Kumar,
Need to validate with the judgement copy. Can you please share to us once you receive this. And please explain the financial implication on employer/employee on Govt perspective.
nayagam
From India, Madras
Need to validate with the judgement copy. Can you please share to us once you receive this. And please explain the financial implication on employer/employee on Govt perspective.
nayagam
From India, Madras
Enclosed is the latest judgement of Supreme Court in regard to EPF contributions on allowances.
FYIP...
SUPREME COURT ON EPF CONTRIBUTIONS ON ALLOWANCES
It may be recollected that in a Review Petition by Surya Roshni Limited vs. Employees’ Provident Fund and Another, 2012 LLR 42, Division Bench of Madhya Pradesh High Court has held that Section 2(b) and 6 of the Employees’ Provident Funds & Miscellaneous Provisions Act define basic wages and HRA, overtime allowance, bonus, commission or any other similar allowance are not covered in the definition of basic wages but when special allowance, dearness allowance, conveyance allowance and other allowances are paid universally to all the employees, they would be treated as part and parcel of basic wages.
A special leave petition to appeal, as filed, came up for hearing on 13.7.2012, in which the following order was passed :
ITEM NO.MM-128 COURT NO.12 SECTION XV
S U P R E M E C O U R T O F I N D I A
RECORD OF PROCEEDINGS
I.A. NOS.4-5 in
Petition(s) for Special Leave to Appeal (Civil) No(s).8781-8782/2012
(From the judgment and order dated 24-3-2011 in WPC No.1891/2011 and dated 22-11-2011 in RP No.117/2011 of the High Court of M.P. at Gwalior)
SURYA ROSHNI LTD. Petitioner(s)
versus
EMP. PROVIDENT FUND & ANR. Respondent(s)
From India, Gurgaon
FYIP...
SUPREME COURT ON EPF CONTRIBUTIONS ON ALLOWANCES
It may be recollected that in a Review Petition by Surya Roshni Limited vs. Employees’ Provident Fund and Another, 2012 LLR 42, Division Bench of Madhya Pradesh High Court has held that Section 2(b) and 6 of the Employees’ Provident Funds & Miscellaneous Provisions Act define basic wages and HRA, overtime allowance, bonus, commission or any other similar allowance are not covered in the definition of basic wages but when special allowance, dearness allowance, conveyance allowance and other allowances are paid universally to all the employees, they would be treated as part and parcel of basic wages.
A special leave petition to appeal, as filed, came up for hearing on 13.7.2012, in which the following order was passed :
ITEM NO.MM-128 COURT NO.12 SECTION XV
S U P R E M E C O U R T O F I N D I A
RECORD OF PROCEEDINGS
I.A. NOS.4-5 in
Petition(s) for Special Leave to Appeal (Civil) No(s).8781-8782/2012
(From the judgment and order dated 24-3-2011 in WPC No.1891/2011 and dated 22-11-2011 in RP No.117/2011 of the High Court of M.P. at Gwalior)
SURYA ROSHNI LTD. Petitioner(s)
versus
EMP. PROVIDENT FUND & ANR. Respondent(s)
From India, Gurgaon
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1 Guidlines On PF to be charged on all other allowances 05032019.pdf