HI,
The PF deduction is mandatory for a person whose salary is equal to or more than 6500. The amt. deducted is fixed to 12% out from Basic Salary deducted both from the employee and the employer share.
But the deduction made out of employer is divided into 2 parts in which:
8.33% of the amt. will be going to the Pension fund-1995
3.67 towards the PF.
Those companies which do not imply the rule will be in trouble while there is any inspection conducted by the concerned authorities.