Hi Team,
A company had hired people in multiple locations and processed salaries after the Indian State Minimum wages and PT & LWF were deducted as per the state, unfortunately, the business suffered a big loss and was downsized, and they were unable to pay the PT & LWF in that location/region as there was no office or the offices got closed.
What is the solution in such a case? Can the company transfer the PT & LWF to the ex-employee's bank account and close the books or is there any other way to solve this? If a company hired employees in multiple locations and processed salaries after deducting the applicable Indian state minimum wages, professional tax (PT), and labour welfare fund (LWF) as per the respective state regulations, it encountered difficulties when the business suffered significant losses and downsized. As a result, the company could not pay the PT and LWF for that particular location or region due to the closure of its offices.
Can the company transfer the unpaid PT and LWF to the ex-employee's bank accounts and close the financial records? As the other options that the team has shared are taking too much time, Wanted to check whether this can be done. If yes, what is the proof that we need to maintain so in the future?
From India, Mumbai
A company had hired people in multiple locations and processed salaries after the Indian State Minimum wages and PT & LWF were deducted as per the state, unfortunately, the business suffered a big loss and was downsized, and they were unable to pay the PT & LWF in that location/region as there was no office or the offices got closed.
What is the solution in such a case? Can the company transfer the PT & LWF to the ex-employee's bank account and close the books or is there any other way to solve this? If a company hired employees in multiple locations and processed salaries after deducting the applicable Indian state minimum wages, professional tax (PT), and labour welfare fund (LWF) as per the respective state regulations, it encountered difficulties when the business suffered significant losses and downsized. As a result, the company could not pay the PT and LWF for that particular location or region due to the closure of its offices.
Can the company transfer the unpaid PT and LWF to the ex-employee's bank accounts and close the financial records? As the other options that the team has shared are taking too much time, Wanted to check whether this can be done. If yes, what is the proof that we need to maintain so in the future?
From India, Mumbai
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PF Online Transfer.pdf
Company Profile.ppt