Our organization is covered under the EPF Act. Some of our employees are retiring from service after reaching 58 years of age, and they have taken their full and final dues as well as the PF withdrawal form duly attested by us on the same day. Some of them are interested in working with us after retirement.
Query on Rehiring Retired Employees
My query is: Can we rehire them after retirement if their salary is above ₹6,500 per month and their PF dues have not yet been cleared by the PF department? I need your kind advice.
Regards,
Amit
From India, Ludhiana
Query on Rehiring Retired Employees
My query is: Can we rehire them after retirement if their salary is above ₹6,500 per month and their PF dues have not yet been cleared by the PF department? I need your kind advice.
Regards,
Amit
From India, Ludhiana
EPF Coverage for Retired Employees
Since they have already withdrawn the PF (or applied for withdrawal benefits), you can exclude them from EPF even if their PF qualifying salary is less than Rs 6500. Please note that this applies only to those who have been under the EPF Schemes and not for any person joining your company after retiring from the government department. In such cases, they may be receiving pensions from the government but not from EPF, and therefore, they should be covered under the EPF if their salaries are less than Rs 6500.
Regarding them, the employer's contribution of 12% should not be divided into 8.33% and 3.67%, but the entire 12% should be paid to the employee's provident fund account only.
Regards,
Madhu.T.K
From India, Kannur
Since they have already withdrawn the PF (or applied for withdrawal benefits), you can exclude them from EPF even if their PF qualifying salary is less than Rs 6500. Please note that this applies only to those who have been under the EPF Schemes and not for any person joining your company after retiring from the government department. In such cases, they may be receiving pensions from the government but not from EPF, and therefore, they should be covered under the EPF if their salaries are less than Rs 6500.
Regarding them, the employer's contribution of 12% should not be divided into 8.33% and 3.67%, but the entire 12% should be paid to the employee's provident fund account only.
Regards,
Madhu.T.K
From India, Kannur
CiteHR is an AI-augmented HR knowledge and collaboration platform, enabling HR professionals to solve real-world challenges, validate decisions, and stay ahead through collective intelligence and machine-enhanced guidance. Join Our Platform.