When Does PF Applicability Start for My Manpower Agency with Over 20 Employees?

I started my proprietary firm (manpower agency) in April 2008 with 15 employees. During the first few months (i.e., April to June 2008), we undertook building renovation with another 6 to 7 people (3 painters, a plumber, an electrician, and helpers) employed for the renovation for 2 to 3 months on an as-needed basis.

In April 2012, my permanent staff exceeded 20 employees. I would like to know the PF applicability date, whether it is April 2008 or June 2008.

As your employment strength reached 20 in the month of April 2012, the new policy is applicable from April 2012. For Provident Fund (PF), it doesn't matter whether the employment is permanent or temporary. Even temporary employees are considered part of the company.

Applicability of the PF Act

The day when your employees' strength increased to 20, the PF Act became applicable to you. It does not matter if a few employees were temporary, permanent, or daily wage workers. For the applicability of the Act, all categories of employees have to be taken into consideration.