EPF
Employee Provident Fund
Employee Provident Fund
The Employees' Provident Fund (EPF) Organization, a statutory body under the Ministry of Labour and Employment, Government of India administers social security schemes framed under the Employees' Provident Funds & Miscellaneous Provisions Act, 1952 Provident Fund, Pension and Insurance to industrial employees.
Who has to get registered under the Employees Provident Fund Act?
Any business/establishment with 20 or more employees working in any specified industries should register with EPFO. The establishments can get voluntary registration if the employee strength is less than 20.
Should all the employees get covered under the Act?
Employees drawing basic salary upto Rs. 15000/- have to compulsory contribute to the Provident fund and employees drawing above Rs. 15001/- have an option to become member of the Provident Fund.
Once an employee becomes the member, he has to compulsorily continue to contribute to EPF, even if his basic pay crosses Rs.15001/- subsequently.
What happens if the employee strength reduces to less than 20 employees?
Once the registration is done, it will continue, irrespective of the fact that the number of employees working therein has subsequently fallen below 20.