THE EMPLOYEES PROVIENT FUND ACT 1952.
The employee’s provident funds and assorted provisions act is reenact to provide a kind of social security to the industrial workers the security however differs from the security provided to them under the compensation workman act or the employees state insurance act. The employee’s provident funds and miscellaneous provision act mainly provides retirement or old age benefits such as provident fund. Like superannuation pension invalidation pension, family pension and deposit linked insurance.
The employees provident fund and assorted provision act is intended to provide wider terminal benefits to the industrial workers for example the act provides for payment of terminal on reaching the age of superannuation, voluntary retirement and retirement due to in capacity to work.
Eligibility: – any person who is employed for work of a creation or employed through contractor in or in connection with the work of an establishment
Applicability: – establishment which is factory engaged in any industry specified in schedule I and in which 20 or more persons are employed. Any other establishment employing 20 or more persons which central government may by notification specify in the behalf. Any establishment employing even less than twenty persons can be covered voluntarily under section 1(4) of the act.
Payment of contribution: -the employer shall be pay the contribution payable of the EPF EDLI and employees’ pension fund in respect of the member of the employees’ pension fund employed by him directly by or through a contractor it shall be the responsibility of the principal employer to pay the contribution payable to the EPF EDLI and employees’ pension fund by himself in respect of the employees by through the contractor.
Penal provision: – default by the employer in paying contribution or inspection administration charges attract imprisonment up to 3 years and fines up to rs. 1000000 [section 14] for any retrospective application all dues have to be paid by the employer with damages up to 100% appears.