The question was "is it possible to Bifurcate the Minimum wages to pay the PF Contribution"
Minimum Wages comprises of Basic+DA/VDA.Consequently, PF Contribution is payable on Basic+DA/VDA
Minimum Wages is notified by the appropriate Government.The vital question here is "Does Employer has right to alter Minimum Wages &split up in to other allowances to Subterfuge EPF Contribution.
Further, what is the objective of enactment of Minimum wages Act? to ensure bare Minimum Wages+EPF+BONUS+Gratuity
Bonus Act was amended recently by inserting"Bonus payable on Rs7,000/- or Applicable Minimum Wages, which ever is higher.
We all have social responsibility also apart from educating forum members.keeping that in view, i still hold that, we can not suggest splitting of Minimum wages for the purpose of Reducing EPF Contribution which is the only Retirement Fund for Private Security Employees