Employees Provident Funds Act, 1952
Employees Provident Funds Act, 1952
Introduction
As per preface to the Act, the EPF Act is enacted to provide for the institution of provident funds, pension fund and deposit lined insurance fund for employees in factories and other establishments.
The Employees’ Provident Funds and Miscellaneous Provisions Act is a social security legislation to provide for provident fund, family pension and insurance to employees. Employee has to pay contribution towards the fund. The employee gets a lump sum amount when he retires, which will be useful to him after retirement. The Act covers three schemes i.e. PF
(Provident Fund scheme),
FPF (Family Pension Fund scheme) and
EDLI (Employees Deposit Linked Insurance scheme).
The EPF Act contains basic provisions in respect of applicability, eligibility, damages, appeals, recovery etc. The three schemes formed by Central Government under the Act make provisions in respect of those schemes.
Applicability
Factory / industry which have 20 or more persons are employed
Central Government employees
This Act applies to whole of India except the state of Jammu & Kashmir.
Act not applicable to Certain Establishment
As per section 16(1)
Any establishment registered under Cooperative Societies Act or State law relating to cooperative societies, employing less than 50 persons and working without paid of power
To any establishment belonging to or under Control of Central Government or a State Government and whose employees are entitled to benefit of contributory provident fund or old age pension.
To any establishment set up under any Central or State Act and whose employees are entitled to benefit of contributory provident fund or old age pension.
Administration of the fund
[section 5(1A)].
Both employer and employee have to pay contribution at prescribed rates.
These amounts are credited to a fund.
The fund vests in and is administered by Central Board. Employees Covered Under the scheme
As per section
Introduction
As per preface to the Act, the EPF Act is enacted to provide for the institution of provident funds, pension fund and deposit lined insurance fund for employees in factories and other establishments.
The Employees’ Provident Funds and Miscellaneous Provisions Act is a social security legislation to provide for provident fund, family pension and insurance to employees. Employee has to pay contribution towards the fund. The employee gets a lump sum amount when he retires, which will be useful to him after retirement. The Act covers three schemes i.e. PF
(Provident Fund scheme),
FPF (Family Pension Fund scheme) and
EDLI (Employees Deposit Linked Insurance scheme).
The EPF Act contains basic provisions in respect of applicability, eligibility, damages, appeals, recovery etc. The three schemes formed by Central Government under the Act make provisions in respect of those schemes.
Applicability
Factory / industry which have 20 or more persons are employed
Central Government employees
This Act applies to whole of India except the state of Jammu & Kashmir.
Act not applicable to Certain Establishment
As per section 16(1)
Any establishment registered under Cooperative Societies Act or State law relating to cooperative societies, employing less than 50 persons and working without paid of power
To any establishment belonging to or under Control of Central Government or a State Government and whose employees are entitled to benefit of contributory provident fund or old age pension.
To any establishment set up under any Central or State Act and whose employees are entitled to benefit of contributory provident fund or old age pension.
Administration of the fund
[section 5(1A)].
Both employer and employee have to pay contribution at prescribed rates.
These amounts are credited to a fund.
The fund vests in and is administered by Central Board. Employees Covered Under the scheme
As per section