Supreme Court Judgment: Establishment is Not Obligated to Contribute PF in Excess of Statutory Limit
Recently, the Supreme Court pronounced a landmark judgment wherein the Court categorically ruled that the employer/establishment is under an obligation to pay provident fund to its employees in accordance with the provisions of the statutory scheme of 1952. The establishment(s)/employer(s) cannot be compelled to deduct provident fund contributions in excess of its statutory limit, i.e., Rs. 6,500.
Establishments/Employers are not obliged to contribute provident funds in excess of the statutory limit, i.e., Rs. 6,500, as prescribed under the PF Act-1952.
This judgment was given in the matter of Marathwada Gramin Bank Karamchari Sanghatana and another Versus Management of Marathwada Gramin Bank and Others, 2011 LLR 1130.
Thanks,
Kamal P
Recently, the Supreme Court pronounced a landmark judgment wherein the Court categorically ruled that the employer/establishment is under an obligation to pay provident fund to its employees in accordance with the provisions of the statutory scheme of 1952. The establishment(s)/employer(s) cannot be compelled to deduct provident fund contributions in excess of its statutory limit, i.e., Rs. 6,500.
Establishments/Employers are not obliged to contribute provident funds in excess of the statutory limit, i.e., Rs. 6,500, as prescribed under the PF Act-1952.
This judgment was given in the matter of Marathwada Gramin Bank Karamchari Sanghatana and another Versus Management of Marathwada Gramin Bank and Others, 2011 LLR 1130.
Thanks,
Kamal P