Dear Seniors,
One employee has joined our company and
His basic plus DA is exceed the 15000 however
He is also Not perviously Member of EPF yet. But He is demanding to be Member of EPF restricting contribution on 15000/- also our management doesn't want Him to be member of EPF... my query is...since His basic is exceed the ceiling Limit can we reject his demand and let him not to be the member of EPF.
Or as per EPF Norms we are Bound to provide him EPF benefit inspite having his basic plus DA exceed 15K if employee demand?
Please Clarify
Regds
Aman Sharma
From India, Jaipur
1One employee has joined our company and
His basic plus DA is exceed the 15000 however
He is also Not perviously Member of EPF yet. But He is demanding to be Member of EPF restricting contribution on 15000/- also our management doesn't want Him to be member of EPF... my query is...since His basic is exceed the ceiling Limit can we reject his demand and let him not to be the member of EPF.
Or as per EPF Norms we are Bound to provide him EPF benefit inspite having his basic plus DA exceed 15K if employee demand?
Please Clarify
Regds
Aman Sharma
From India, Jaipur
An employee whose salary is more than Rs 15000/= will be an excluded employee as per Section 2 (f) of the EPF & MP Act 1952 and he need not be covered under EPF. Form 11 (Revised) may be obtained from the employee.
N Nataraajhan, Sakthi Infogy Solutions Pvt Ltd (natraj@sakthimanagement.com)
From India, Bangalore
N Nataraajhan, Sakthi Infogy Solutions Pvt Ltd (natraj@sakthimanagement.com)
From India, Bangalore
Dear Aman Sharma,
Please note :
1. If new joinee is having basic + DA more than Rs. 15000/- p.m. and if he/she does not previous PF membership, under the
circumstances he/she is not entitled for PF benefit. Employer also not bound to give this benefit.
2. With a mutual understanding Employer can enroll him/her as a member by restructuring his/her salary. Both the share of EPF can be
worked out in his/her CTC. under this situation his/her INHAND salary would be lesser.
3. Further EPF threshold limit is likely to be increased to 21000/-25000. In that case employers liability is going to be increased whenever
it applies. So it is better to enroll him/her today and restructure the CTC.
Pramod Thakar
From India, Pune
Please note :
1. If new joinee is having basic + DA more than Rs. 15000/- p.m. and if he/she does not previous PF membership, under the
circumstances he/she is not entitled for PF benefit. Employer also not bound to give this benefit.
2. With a mutual understanding Employer can enroll him/her as a member by restructuring his/her salary. Both the share of EPF can be
worked out in his/her CTC. under this situation his/her INHAND salary would be lesser.
3. Further EPF threshold limit is likely to be increased to 21000/-25000. In that case employers liability is going to be increased whenever
it applies. So it is better to enroll him/her today and restructure the CTC.
Pramod Thakar
From India, Pune
Please ask him to fill up Form 11 under PF act.
If he declares in the form that he was not member of PF earlier & his basic and DA together is more than Rs. 15000 per month, then you have the right as per the act & as per provisions of the scheme not to consider the employee as PF member.
Every new employee must fill in Form 11.
Shrikant Prabhudesai
From India, Mumbai
If he declares in the form that he was not member of PF earlier & his basic and DA together is more than Rs. 15000 per month, then you have the right as per the act & as per provisions of the scheme not to consider the employee as PF member.
Every new employee must fill in Form 11.
Shrikant Prabhudesai
From India, Mumbai
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Introduction Of One Employee One EPF Account Facility.pdf