P.f. employer contribution recovered by employee

This query is : Resolved

SATISH BHAMARE (Querist)
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07 October 2014 Dear All,

All we aware that EPF limit is enhanced from 6500/- to 15000/- now is observed that many employers are paying their contribution as per old ratio diff is they are recovering from employees salary for i.e. if Basic salary is Rs. 15000/- then previous Employer PF contribution is Rs. 780/- on Rs. 6500/- now revised contribution is Rs. 1800/- but co. only contributing Rs. 780/- from their own pocket & diff. of Rs. 1020/- (1800-780) is recovering from Employees salary...

Please let me know if any provision in law can prevent employer to do the same.

Thanks & regards,

SATISH BHAMARE
satish_bhamare@yahoo.co.in

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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07 October 2014 As per provisions of EPF Act they can not do so. Take it up PF commissioner of your region the issue will be solved in favor of employees.

Rupesh Jain

Rupesh Jain (Expert)
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07 October 2014 as per provision all 12% on rs. 15000/- will be payable by the employer.

SATISH BHAMARE

SATISH BHAMARE (Querist)
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07 October 2014 Thanks Mr. Seetharaman & Mr. Rupesh Jain for your reply , please provide me said provision which is showing this is punishable offence at least victim can show this to HR team, so able to check their stand before taking any extreme step against the company...

Thanks & regards,

SATISH BHAMARE

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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08 October 2014 As per EPF Act section 14 (1) Whoever Avoiding any payment to be made by himself under this Act, the Scheme, the Pension Scheme or the Insurance Scheme or of enabling any other person to avoid such payment, knowingly makes or causes to be made any false statement or false representation. punishable with imprisonment for a term which may extend to one year, or with fine of five thousand rupees, or with both.

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