PF - Applicability Of Total Strength Of Company Or Just Regional Offices? - CiteHR
Kknair
Hr, Ir, Law, Disc. Matters
Rohan4444
2nd Year Pgdm(hr) N Mll &sw
Pradnu
Hr And Admin Executive In It Company
+1 Other

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Dear All,
Good Afternoon!!
Our company has offices in Pune & Delhi. In Pune's office there are 6 employees and in Delhi's office there are 4 employees.PF is applicable for those establishment where number of employees are more than 20. My question is in case of my company Delhi+Pune employee together has to be 20 for PF applicability or Delhi office must have 20 employee and Pune's office must have 20 employees for applicability of PF.
Kindly reply and help in clarifying my doubt as I am fresher and I am the only HR who looks after two offices.You reply will be most helpful and valuable to me.
Thanks in advance.

Dear Pradnu, PF is applicable if any establishment has employed 20 or more employees irrespective of their job location. Rgds, Anil Mishra Manager - HR & Administration Rishiroop Group of Companies
Dear Pradnu, Though the pf act is applicable for having more than 20& more employees, irrespective of location, your employee may opt for the voluntary pf registration if required.
Dear Sir & Madam, Thank you for the reply. I have one doubt that while considering 20 employees do i need to consider Delhi employee plus Pune employee together 20 or individually 20..... Thank you.
while considering 20 employees ,you have consider together so in your case both the employees of Delhi and Pune
Dear Pradnu: There is no simple answer to your problem, while the safe option is to club the two, as has been suggested, yet there are certain guiding principles regarding the assessment as to whether two units seperated by thousands of kilometers could be counted as one or not. The core principle is that the factual position has to be considered on the basis of following factors:

1. Is it that the same set of officials are controlling and guidiong both the units.? If so, clubbing is to be done.

2. Is one unit the Head Office/Marketing Office and the other branch office controlled by the Head Office? If so, clubbing is to be done.

3. Is the activity in both the units the same, or one contributes to the other or how they are interrelated as far production activity is concerned? If they are related, clubbing is to be done

4. Is the books of account, profit-loss statement,capital common? If so, clubbing is to be done

5. Is the staff transferable from one unit to another? The fact that you are looking after HR in both the units is a vital fact for clubbing.

There could be more factors too to show the interrelationship of the units and it needs a thorough analysis. KK

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