DEAR YOUNG TALENTS,
ACCORDING TO LATEST PRESURE (FOR THE PAST 2 YEARS) FROM RCPF, CHENNAI - AS PER EPF&M ACT, 1952, UNDER SEC.2(B) BASIC WAGES MEANS ALL COMPONENTS EXCLUDING HRA, OT, INCENTIVE OR BONUS.
THOSE DAYS WE USED TO CALCULATE EPF FOR ONLY BASIC + DA (LIKE IN GRATUITY ACT).
OTHER COMPONENTS - U MAY CALL IT A DA, CONVEYANCE ALLOWANCE, EDUCATION ALLOWANCE, SPECIAL ALLOWANCE, MANAGEMENT ALLOWANCE, BOOKS & PERIODICALS, ETC. ETC. ETC. - TO COME UNDER THE PURVIEW OF BASIC WAGES UPTO RS.6,500/- (THE MAXIMUM LIMIT UPTO WHAT WE HAVE TO CONTRIBUTE EPF TO EMPLOYEES). BEYOND THAT U NEED NOT PAY EPF, IF THE EMPLOYER AND EMPLOYEE AGREES THEY CAN PAY EPF FOR MORE BASIC WAGES.
SOME FEW YEARS BACK EPF AUTHORITIES AT CHENNAI WERE INSISTING US FOR 60% BASIC ON GROSS SALARY - BUT U KNOW, THAT THERE IS NO MENTION IN EPF ACT ABOUT THIS.
HENCE U ARE ALL HEREBY REQUESTED TO GO THROUGH THE BARE ACT OF EPF&M ACT, 1952 - SEC. 2(b) AND DECIDE.
NO 40% OR 60% ACCORDING TO THE AREA - I THINK THAT LOCALITY EO'S (ENFORCEMENT OFFICER) IS MISLEADING THE PARTICULAR HR PERSON.
CCA (CITY COMPENSATORY ALLOWANCE) IS DECIDED BASED ON THE PLACE WHERE WE LIVE - METRO OR NON-METRO OR HILL PLACE (OOTY - HINUDSTAN PHOTO FILMS MFG.CO.LTD. PAYS HRA (HILL COMPENSATORY ALLOWANCE) - A GOVERNMENT OF INDIA ENTERPRISE.
ANY OTHER VIEWS - PLEASE PROVIDE HERE IN THIS FORUM OR CONTACT ME.
WITH REGARDS,
K. GOPALAKRISHNAN
SRIPERUMBUDUR
MOBILE : 99400 45194