Dear All,
I\'m working in an IT company (Software Development). We hire freshers for trainee position for the duration of six month. Under this probabion period, we provide them stipend. On the basis of their performance in these six month, we select some trainee and give them confirmation of job. Most of the time we give confirmation to around 40-50% of the trainee. Trainee who do not get confirmed, we relive them from the services of the company.
Do we need to register all the trainee in PF or only those whose services are confirmed in company?
Are they eligible for PF under probation period?
Note: We do not provide them salary in these six month. We only give them stipend.
Please help me out.
Thanks & Regards
Sachin Vishwakarma
From India, Gandhinagar
I\'m working in an IT company (Software Development). We hire freshers for trainee position for the duration of six month. Under this probabion period, we provide them stipend. On the basis of their performance in these six month, we select some trainee and give them confirmation of job. Most of the time we give confirmation to around 40-50% of the trainee. Trainee who do not get confirmed, we relive them from the services of the company.
Do we need to register all the trainee in PF or only those whose services are confirmed in company?
Are they eligible for PF under probation period?
Note: We do not provide them salary in these six month. We only give them stipend.
Please help me out.
Thanks & Regards
Sachin Vishwakarma
From India, Gandhinagar
Hi Sachin, In that case the trainees those who are confirmed they are only eligible for the PF that too after the confirmation. Regards, Divya V.
From India, Chennai
1From India, Chennai
In terms of P.F Act, an apprentice appointed under Apprentices Act 1961 or a trainee appointed under Standing Orders are not eligible for P.F contributions. Thus I agree with Divya with a minor difference that those who are subsequently confirmed, may be entitled to P.F contribution from the date of joining (or even for the training period).
B.Saikumar
HR & Labour Law Advisor
Mumbai
09930532927
From India, Mumbai
B.Saikumar
HR & Labour Law Advisor
Mumbai
09930532927
From India, Mumbai
Thanks a lot Mr. Sai Kumar and Ms. Divya,
One last query. We are total 29 people in the company. Out of which 17 permanent employee and 12 trainees. We comes under the provisions of Employee Provident Fund act or not?
Regards
Sachin Vishwakarma
From India, Gandhinagar
One last query. We are total 29 people in the company. Out of which 17 permanent employee and 12 trainees. We comes under the provisions of Employee Provident Fund act or not?
Regards
Sachin Vishwakarma
From India, Gandhinagar
Dear sachin
the question of applicability of P.F depends a lot on how you treat these trainees and other facts , though apparently trainees are excluded from the purview of P.F.Therefore it is difficlut to come to any finding on the basis of the short facts, furnished by you.
B.Saikumar
HR & Labour Law Advisor
MumBai
09930532927
From India, Mumbai
the question of applicability of P.F depends a lot on how you treat these trainees and other facts , though apparently trainees are excluded from the purview of P.F.Therefore it is difficlut to come to any finding on the basis of the short facts, furnished by you.
B.Saikumar
HR & Labour Law Advisor
MumBai
09930532927
From India, Mumbai
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HC All - Trainees not covered for PF -2010.pdf
Registration for esi and pf.doc