Epf deduction
Bhuvaneswari P
(Querist) 18 January 2013
This query is : Resolved
Sirs,
One of our employee whose monthly salary for this FY 2012-13 is 7250/- drew only 4950/- in Dec 12 due to Loss of pay.
Shud he be registered as EPF member juz becos he drew below the slab for this particular month ?? if so,
A person whose salary is being fixed at Rs. 25k p.m joins the orgn only by 25th of the month, shud he also be enrolled ??? (Rs.833 * 5days = 4165/- which is below slab)
If your answer is going to be “no need”, it wud be helpful if I can get a reference from the ACT to safegaurd the employer.
Cos, once enrolled it becomes mandatory for the employer to deduct evey month till he leaves the orgn…rite ?
thanks,
Raj Kumar Makkad
(Expert) 18 January 2013
Getting lesser salary/wages below the statutory limit of Rs. 6500/- for a particular month ipso facto is not a point to cover such employee under the scheme similarly like a person joins on 25th of a month with monthly salary of Rs. 25,000/-. The Act imposes liability over employer to compulsorily enlarge the benefit of EPF & MP Act, 1952 and schemes made there-under to all such employees whose monthly salary/wages is below Rs. 6500/- at the time of joining.
