Navigating Labor Issues: How Do I Handle PT Returns, PF Formalities, and More?

DivyaMadhu
Hi,

Recently, they have asked me to take care of labor issues in our office, such as PT returns, PF formalities, ESI, renewal of contracts, and renewal of licenses. Can anybody help me with how to proceed?

Could you explain the difference between a pension plan and PF? Additionally, what is a service certificate?

Thank you.
washimulhaq1
Dear Divya,

Regards,

PF monthly return - Form 5/10 and 12A for employees qualifying/left and monthly remittance of contribution. 12% of employee and 12% of employer. There are five accounts for PF:

1. Account-1 - 15.67% of wages for Provident Fund.
2. Account-02 - 1.10% of wages as administrative charges.
3. Account-10 - 8.33% of wages for the pension fund.
4. Account-21 - 0.5% of wages as ELIP.
5. Account-22 - 0.01% of wages as ELIP.

Wasim
rajshwar
Hi all,

PF Return yearly once; suppose this year's return is from March '08 to February '09.

PT Return yearly once; this will be for the financial year from April '08 to March '09.

At the time of return, we should mention registration numbers. These numbers are for PF and PT concerning departments.

Regards,
Raj
ram_pulipaka1967
Dear Friend,

Relating to your query about:

1. P.F.Return: The employer has to submit FORM 3A & 6A - Annual Return for the Accounting year starting from March to February of your employees on or before the 31st of May every year to the respective EPFO office in your area. This is to receive contributory slips for employees to know their balance in their account.

About the Pension Scheme brought under Section 6A of the act: The employer's part of the contribution, i.e., 8.33%, needs to be diverted to the pension fund under account no. 10 in the common challan along with Form 12A - monthly return. The eligibility to receive pension is for employees who have contributed to the scheme for more than 10 years of service, subject to a maximum of Rs. 541/-. In cases where an employee expires in service due to natural causes, accidents, occupational diseases, or Permanent Total Disablement, they can contribute at least one month's contribution to receive a minimum pension of Rs. 450/-, which can be proportionately distributed to dependents in the event of death, or Rs. 500/- per month under Permanent Total Disablement.

Scheme certificate: A certificate issued by the department to transfer the employee's amount in the Pension Fund to their current account. It includes the employee's details of service rendered in the previous organization. When an employee switches to a new organization, they can withdraw the employee part, i.e., 15.67%, by submitting Form 19. They should also submit Form 10C to opt for the scheme certificate to transfer past service and amount to their current account by submitting Form 13 (R) along with the scheme certificate issued by the department.

ESI Returns: The employer must submit Half-yearly Returns in Form 5 & 5A along with a quadruplicate copy of challans for the periods April to September and October to March. The due date for the submission of Half-yearly returns for April to September is November 12th and for October to March is May 12th. Without submission of employee returns by the employer, employees will not receive any benefits from ESIC.

Profession Tax: Profession Tax is governed by State law. If your organization is in Chennai, kindly approach the Municipal Authorities for registration and remittance of Tax procedure. In Tamil Nadu, tax is collected semi-annually by the Municipal Corporation based on the half-yearly income of employees as per the slab rates of the Tamil Nadu Profession, Trade, Callings, and Employment Act.

Renewal of Licenses: If your organization is a manufacturing organization, you need to register/renew licenses under the Factories Act, Indian Boilers Act, licenses under Explosives Act, Competency certificate for lifting tackles, Pressure vessels, chain block pulleys, etc., consents under the Pollution Control Act, and Contract Labour Regulation and Abolition Act rules.

Renewal of Contracts: Job works allotted to different contractors under the provisions of the Contract Labour Regulation & Abolition Act - 1972 Rules. When entering into contracts for various jobs, ensure you contract with an approved contractor labor agency that has fulfilled all statutory liabilities and maintains registers and records under various labor enactments.

This is for your information.

Regards,

P.V. RAMA RAO.
soms.hkd
Can anybody tell me what is the procedure for calculating the PF returns and what are the forms for that?

Regards,
Somak
ramesz
Dear all,

I need clarification regarding applying for a Factory license and Plan Approval. For example, Company X already has its license and building approval and is currently operating the factory. At that time, in Company X, there are 5 directors (all brothers). After a few years, the 5 directors demerge their property, dividing it 1:4 into two separate factories. The second factory, called Y, is now operating on the same premises as Company X. How do I apply for the Factory license and Plan approval under the new name, Y?

Could someone please assist me with the necessary steps in this process?

My mobile number is 98431 10477.

Thank you.
sonambeti
Hi, Dear,

I want to know how many forms will be attached for the annual return of Provident Fund and details about each form. Could you also please specify which form needs to be used and its contents?

Regards,
Ajeet Singh
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