We have a few employees whose salary is above Rs. 6,500/- & employee as well as employer are contributing @ 12% on the full salary.
Almost all employees whose salary is above Rs. 6,500/- have made a representation to freeze the PF contribution on the salary as per March 2013 salary & they do not wish to contribute more than the current level, in view of the severe inflationary pressure.
For example, current salary is Rs. 10,000/- pm & the contribution is Rs. 1,200/-
Revised salary is Rs., 12,000/- pm but the salary for contribution is Rs. 10,000/-
Since the salary is anyway above the statutory limit, is this permitted & what is the procedure for obtaining consent from the staff as well as EPFO. Forms JD-I & JD-II do not have facility for any such declaration.
Almost all employees whose salary is above Rs. 6,500/- have made a representation to freeze the PF contribution on the salary as per March 2013 salary & they do not wish to contribute more than the current level, in view of the severe inflationary pressure.
For example, current salary is Rs. 10,000/- pm & the contribution is Rs. 1,200/-
Revised salary is Rs., 12,000/- pm but the salary for contribution is Rs. 10,000/-
Since the salary is anyway above the statutory limit, is this permitted & what is the procedure for obtaining consent from the staff as well as EPFO. Forms JD-I & JD-II do not have facility for any such declaration.