Dear All, Please find attached Circular from EPFO regarding Non Receipt of Account Slips by Members especially Contractor Employees, for your reference and records. Regards,
From India, Madras
From India, Madras
Dear Seniors/Colleagues,
I am having some quarries and asking for your valuable suggestion. Some employees are working in our project site in our off rolls. We are paying minimum wages to them, but, we are not covered them under EPF Act & not making EPF remittance against them. In that cases, can we remit the Labour Welfare Fund contribution against such off roll employees or not?. Our Sr.Manager (Accounts) is objecting that, when we have not covered them under EPF act, we will not pay Labour Welfare Fund also to avoid unnecessary compliances from statutory departments.
Please let me know that, there will be a connectivity between Labour Office & EPF office? If, we will pay the Labour Welfare Fund, there will be any objection from either Labour Office or EPF Office regarding EPF coverage?. Please suggest me what to do at the earliest. We should not transfer them under any contractor also.
Thanks & Regards,
MSN Raju
From India
I am having some quarries and asking for your valuable suggestion. Some employees are working in our project site in our off rolls. We are paying minimum wages to them, but, we are not covered them under EPF Act & not making EPF remittance against them. In that cases, can we remit the Labour Welfare Fund contribution against such off roll employees or not?. Our Sr.Manager (Accounts) is objecting that, when we have not covered them under EPF act, we will not pay Labour Welfare Fund also to avoid unnecessary compliances from statutory departments.
Please let me know that, there will be a connectivity between Labour Office & EPF office? If, we will pay the Labour Welfare Fund, there will be any objection from either Labour Office or EPF Office regarding EPF coverage?. Please suggest me what to do at the earliest. We should not transfer them under any contractor also.
Thanks & Regards,
MSN Raju
From India
Dear Raju,
You have to bring some clarity as to what does off rolls mean. Employers have a tendency to take individuals on voucher or to take them as consultants or trainees etc. There may be various reasons to do so like to avoid complying with labour laws, to give a higher take home to the employees etc.
Kindly note that any one who is engaged as an employee has to get the benefit of all labour laws like P.F., ESI, Labour Welfare Fund, Bonus, Gratuity, Maternity Benefits etc. If a labour officer comes and inspects your office, the inspection will be done from a holistic point of view wherein he may ask for data regarding compliances for P.F. as well as for Labour Welfare Fund. However, if a P.F. Inspector comes for inspection, he may not ask for the LWF details as the P.F. department is not the appropriate authority for LWF related matters.
As a HR person,you have to strongly suggest for the compliance of labour laws. There are some managers in organisations who recommend not to maintain the complainces under labour laws. This they do to show some savings to their bosses and to please them. You have to educate every one that in the event this comes to the notice of the labour law officials, then you have to make the payments with retrospective effects alongwith penalty.
Regards,
Kuldeep Singh
From India, Vijayawada
You have to bring some clarity as to what does off rolls mean. Employers have a tendency to take individuals on voucher or to take them as consultants or trainees etc. There may be various reasons to do so like to avoid complying with labour laws, to give a higher take home to the employees etc.
Kindly note that any one who is engaged as an employee has to get the benefit of all labour laws like P.F., ESI, Labour Welfare Fund, Bonus, Gratuity, Maternity Benefits etc. If a labour officer comes and inspects your office, the inspection will be done from a holistic point of view wherein he may ask for data regarding compliances for P.F. as well as for Labour Welfare Fund. However, if a P.F. Inspector comes for inspection, he may not ask for the LWF details as the P.F. department is not the appropriate authority for LWF related matters.
As a HR person,you have to strongly suggest for the compliance of labour laws. There are some managers in organisations who recommend not to maintain the complainces under labour laws. This they do to show some savings to their bosses and to please them. You have to educate every one that in the event this comes to the notice of the labour law officials, then you have to make the payments with retrospective effects alongwith penalty.
Regards,
Kuldeep Singh
From India, Vijayawada
Yes I completely agree with Mr.Kuldeep Singh's message. It is very very important to follow and put it into practice, where you are also being called as an employee in the same Organisation.
Regards,
Hemalatha
From India, Mumbai
Regards,
Hemalatha
From India, Mumbai
Further to Mr. Kuldeep Singh's message which is loud & clear, it is not the question of clearing dues with retrospective effect and penalties etc., we will be asked to provide lot of documents (back papers) especially by EPFO Authorites, like Balance Sheet, Attendance, etc etc. The job will be very tideous to convince PF authorites to bring down the penalties and the dues we need to pay backdated.
Hence we as HRs should always keep our head high and say to Management - YES; we have to comply the Laws & Rules of the Country (even if they are MNCs).
Sundararaman
From India, Madras
Hence we as HRs should always keep our head high and say to Management - YES; we have to comply the Laws & Rules of the Country (even if they are MNCs).
Sundararaman
From India, Madras
Further to my above views, one question - how many of us are ready to do that or we will save our skin by opting for non-compliances?
From India, Madras
From India, Madras
HRs are there to provide the updated documents as required by the Inspectors or Authorities, I don't think it should be a burden for us to do so. Definitely i shall be proud enough to interact with them, provided the Organisations should follow the law and are prompt in their dues.:)
Regards
From India, Mumbai
Regards
From India, Mumbai
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