Retirement age in pvt co
Reshma
(Querist) 28 March 2014
This query is : Resolved
Hi,
Can pvt companies fix retirement age as it likes? is there any guidelines or SC judgements in this regards. Are there any guidelines regarding extension of retirement age, transparent policies to be followed etc. Kindly advice
ajay sethi
(Expert) 28 March 2014
pvt companies can fix retirement age of its employees . after retirment generally corporates keep some employees as consultants if they need to retain their services
Rajendra K Goyal
(Expert) 28 March 2014
Private companies can fix age of retirement. Policies are framed so that best interest of company is served.
Reshma
(Querist) 28 March 2014
Thanks. But are there are general guidelines, judgements of the courts which throws light on this.
Guest
(Expert) 28 March 2014
Refer India Kanoon website
Guest
(Expert) 28 March 2014
Depends upon their companies requirements and administrative decisions. No hard and fast rules, law or guidelines.
Guest
(Expert) 28 March 2014
Depends upon their companies requirements and administrative decisions. No hard and fast rules, law or guidelines.
Reshma
(Querist) 29 March 2014
Can govt. tax different software companies at different rates. Shouldn't there be rationale?? What are your views on allowing companies to decide their own retirement age. Shouldn't govt. interfere?
Devajyoti Barman
(Expert) 29 March 2014
What is your specific query?
We do not discuss policy decision here.
Guest
(Expert) 30 March 2014
Government cannot be supposed to interfere in the affairs of each and every person, company, organisation, when there is already a long list of social obligations to be accomplished by the Government on priority basis.
Guest
(Expert) 30 March 2014
Most of the software companies are contract/assignments based and the management is at liberty to extend or to cancel the tenure.Even Central govt had started discontinuing pension schemes etc for ex Railways.So no use of fighting with private companies regarding Retirements unless there is a commitment from them regarding the same
Advocate. Arunagiri
(Expert) 30 March 2014
PF Act says about superannuation in private companies.
s.2 (L1) “superannuation”, in relation to an employee, who is the member of the Pension Scheme, means the attainment, by the said
employee, of the age of fifty-eight years.
Reshma
(Querist) 31 March 2014
Thanks, what do the other have to say to the point made by Mr. Arunagiri regarding the PF Act and the age of superannuation therein??
Guest
(Expert) 31 March 2014
Just because the PF being deducted it doesn't guarantee you the job till 58 years of age.
Guest
(Expert) 31 March 2014
The provisions of said section 2(L1)are clear, which apply only to those employees in lower levels, who are actually members of the Pension Scheme falling under the EPF Act, not for all levels of employees. Also, even for those employees, there is a difference between the terms "retirement" and "superannuation." While an employee is treated as superannuated at the fixed maximun age for retirement, while retirement of an employee can happen at any age even before the age of superannuation depending upon circumstances, voluntary retirement, as a penalty in some disciplinary case or invalidation on medical grounds, etc.
