Is an Employer Required to Contribute to a Trainee's Provident Fund Under the EPF Act?

Khaleel Saudagar
Dear Sirs,

Whether an employer is liable to contribute provident fund for a trainee working under him. Whether a trainee comes under the ambit of EPF Act. Please clarify.

Regards,

Khaleel Saudagar
Apex Management
Dear Mr. Khaleel,

Please note that the provisions are applicable to the trainees as well unless being an apprentice engaged under the Apprentices Act, 1961 (52 of 1961) or under the standing orders of the establishment (section 2(e)(ii).
Khaleel Saudagar
Dear Mr. PK Sharma, thanks for your quick response. I invite your kind attention to the Apex Court Judgment dated 30-01-2006 in case No. Appeal (Civil) 978 of 2000, in which the Apex Court stated that the trainees are 'Apprentices' engaged under the 'Standing Orders' of the establishment and hence they do not come within the ambit of the EPF Act. It was further stated that the trainees are paid a stipend during the period of their training and they have no right to employment nor any obligation to accept any employment if offered by the employer. Kindly offer your opinion on this.

Regards, Khaleel Saudagar
Labour Law Index
Please see the discussion already made at https://www.citehr.com/578778-covera...er-pf-esi.html.

Thank you.
Apex Management
Dear Mr. Khaleel,

That is what I have quoted in my opinion. EPF is not applicable to such trainees being an apprentice engaged under the Apprentices Act, 1961, or under the standing orders of the establishment.
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