EPF & ESI

Manish Singh (Querist) 06 September 2008 This query is : Resolved
Dear Members,
Please throw some light on this Qery.

A COMPANY has been deducting PF/ESI voluntarily from the consolidated payment made to one of the Trainees for more than 1.5 years with proper registration and all that. Now they have offered the trainee a firm appointment on regular terms. Her revised emoluments were based on Company's Grades and other perquisites. Though the total revised salary is higher , yet the Basic salary is lower than the stipend previously given to her, resulting in less deduction of PF.
Is this allowed under the PF act? What are the implications and other rules on this behalf.

Please do the needful.

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