3. One of the Statutory deduction done by the employer at the
time of salary payment
Governed :The Employee’s Provident Fund Act 1952 .
Better future to employees on their retirement & his/her
dependants in case of his death during employment.
Applicable to all states of India except Jammu and Kashmir.
4. Every Industry employing 10 or more persons.
Every Industry employing 10 or more persons which the
Central Govt. may notify.
Any other establishment notified by the Central Government
even if employing less than 10 persons.
5. Every employee- Directly or Contractor
Permanent / probationary employees- from the date of joining the
service.
Minimum 10%: Establishments which has less than 10 persons and
sick industries.
Other industries maximum 12% of the basic pay.
Voluntary Contribution- up to 100%- Transferred to PF a/c.
Eligibility & Entitlement
6. 12% contribution by the employee’s Basic Pay
is directly transferred to his Provident Fund
A/c.
12% = 8.33% credited to Employee Pension
Fund + 3.67% transferred to PF A/c of the
employee.
7. Interest
Credited to the members PF A/c on monthly running balance.
Interest Rate: Fixed by the Central Government : 8.5%
Nomination
Nominate other person / persons to receive the Fund amount
in the event of his death.
8. Purchase of site for construction of house / construction of House
/purchase of flat / Additions / alterations / improvements to the
house .
Repayment of loan.
Hospitalization for more than a month / major surgical operation /
suffering from TB, Leprosy, Paralysis, Cancer, Heart ailment etc.,
Marriage- self / son / daughter / sister / brother
Education-son / daughter
Abnormal conditions- natural calamities
Physically handicapped member.
10. Introduction
To give Long term protection / financial security to employee upon
retirement and his family in case of his pre-mature death, family pension
scheme has come into force by diverting 8.33% contribution made by
employer towards PF scheme
Application
Scheme is compulsory for all the existing members who become
members of the Employees Provident Fund Scheme
Eligible
Monthly pension to employees on retirement
Widows on death of the member
Children of the member below 25 years age
Monthly pension to members upon permanent total disablement during
service.
12. Lump sum payment made by an employer as the retrial
reward for his past service when his employment is
terminated.
It extends to the whole of India.
Applicable to:
Every factory, mine, oil field, plantation, port and railway
company;
Every shop or establishment in which 10 or more persons
are employed, or were employed, on any day of the
preceding twelve months.
13. Gratuity shall be payable to an employee
Who has rendered continuous service for not less than 05
years
Termination of his employment
Retirement
Resignation
Death or disablement due to accident or disease.
Note:-
The completion of continuous service of five years shall not be
necessary where the termination of the employment of any
employee is due to death or disablement.
14.
15. Employee – If completed one year of service - Nomination for to receive
the amount of gratuity.
In his nomination, an employee may distribute the amount of gratuity
payable to him amongst more than one nominee.
If at the time of making nomination he has already family, he can not
make nomination in favor of a person who is not a member of his family.
If he does so it shall be void.
Fresh nomination in favour of one or more members of his family is
required where he has not family at the time of making nomination.
If a nominee predeceases the employee, the interest of the nominee shall
revert to the employee who can make a fresh nomination.
Every nomination, fresh nomination or alteration of nomination, as the
case may be, shall be sent by the employee to his employer, who shall
keep the same in his safe custody.