Head - Outsourcing
Dy.manager - Hr & Admin
Passionate Hr Professional
Please find the enclosed circular issued by the EPFO for removing the grace period of 5 days for remitting EPF contributions.
The same is effective February '16.
With Thanks and Best Regards
9th January 2016 From India, Bangalore
It is sad and bad that the EPFO is suddenly withdrawing the long established practice of allowing five days of grace period without any valid reasons. The practice is in vogue for over 50 years and EPFO is not losing any amount by allowing the grace period being used occasionally by some employers. Even now due to frequent Bank strike, network problems in the Banks, many employers are unable to remit the dues in time. EPFO should be strongly represented by all Employers Forums / Association that the existing practice should not be withdrawn.
Moreover as pointed out by EPFO, most of the work is being done by the employers electronically and therefore there is no valid reason to collect huge Administrative charges from employers.and EPFO should also be requested not to collect any Administrative charges.
N Nataraajhan HP : + 91 94835 17402
Sakthi Management Services
10th January 2016 From India, Bangalore