Fixed term contract - Can we exempt FTC employees from PF and gratuity by a mutually signed agreement?

ehs keshava
Can we exempt FTC employees from PF and gratuity by a mutually signed agreement. Hope we can also give directions that your EL shall not be encased.
Experts please reply.
umakanthan53
Sorry, you cannot do that because as a general rule " Contracting-out " is strictly prohibited under Labor Jurisprudence.
Besides, the Industrial Employment(Standing Orders) Central(Amendment) Rules,2018 specifically lay down the following rules to be complied with in respect of Fixed Term Contract Employment:
* Working hours, wages, gratuity etc., of the FTC Employee shall be equal to that of a permanent employee of the establishment.
* All statutorily mandatory benefits available to the permanent employees of the establishment shall be available to the FTC Employee proportionally according to the length of FTC Employment rendered by him.
sarisri7@gmail.com
You may evade from Gratuity / Regularization issues of FTC/E, but cant play with Social Security Acts. Its mandatory under those Statutes.
panchsen
HI,
YOu cannot single out an FTC employees from the social security meausres like PF , gratuity etc which are statutorily guaranteed to employees . Your signing an agreemnet with FTC emloyees denying PF, gratuity etc is a blatant violation of law .
The advent of the Industrial Employment(Standing Orders) Central(Amendment) Rules,2018 has brought about a clear proviso to the effect that
working hours ,wage , gratuity etc of FTC employees should be in keeping with regular employees and further all statutory benefits should be in proportion to length of service rendered by FTC employees
P.Senthikumar
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