Dual Employment and PF: Can You Have Two Provident Fund Accounts at Once?

Impact of PF Applicability in Dual Employment

What would be the impact of the applicability of PF in the case of dual employment if both employers are registered under the PF Act, and whether the employee would be enrolled separately with both employers?

If yes, is it possible to have two memberships in PF at the same time?

If no, how should the provisions be complied with?

Regards,
PKJain

Good morning, friends. To the best of my understanding, there is no law prohibiting more than one employment in India. Second employment may be prohibited by a clause in the job contract of the first employer. If not, then it is fine to be in multiple employments. The Company Act itself permits one individual (Director) to be an MD in two companies and also allows remuneration from both companies. The salary of an MD is subject to deduction of PF as per the PF Act.

Question on Dual Roles

Can an MD in a certain company also be a CEO in another company and receive a salary from both companies? This question arose when Mr. X, employed in company A, was asked by his employer to perform some work in company B, which belongs to his relative. Mr. X was allowed to receive a salary from both companies.

Views solicited.

Regards,
PKJain

What would be the position in case the employee concerned is not a workman? The provisions of these Acts would not apply to him.

PKJ

Today, it is very common for a person to take up jobs in two companies simultaneously. The only thing he has to do is give a declaration stating he is getting PF from the first company. If the second company's policy is okay with it, they can make a contribution for PF. However, if there is an issue with their policy, they will try to compensate with something else. PF laws don't have any problem with that. It is perfectly legal to work in multiple organizations at one time. You can get PF from two different companies at one time, as PF laws don't have any clause to the contrary.

Regards,
Anita

Hi Pkjain, I would like to tell you that what Suhas has said is also correct, but it is meant for people working in government jobs. No government employee can have two PF accounts, as they can't take up two jobs at the same time. Hope your question is answered.

Regards, Anita

Hi, sorry to reopen this old post. My query relates to the same concern. Is there any way to remove or return PF contributions made by the second organization (9-month period)? Is there any legal way to address this situation as it was purely unintentional to work for two organizations simultaneously, but I now want to correct the mistake that has already been made. Please guide me!