Provident Fund on MFW

Aston Albuquerque (Querist) 18 July 2010 This query is : Resolved
Provident Fund deduction: Should it be on amount not less than minimum fair wages in force?

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Raj Kumar Makkad (Expert) 18 July 2010
Provident Fund and Miscellaneous Provisions Act, 1952 has nothing to do with the amount of salary/wages made as per fair/minimum wages or not. The provisions comes into force wherein 20 or more persons work in an organization/establishment. So in your case, establishment cannot exonerate its liability just because it is paying lesser amount than minimum wages.

soumitra basu (Expert) 01 August 2010
Provident Fund only on actual basic pay and dearness allowance disbursed to the employee.

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