The company that I'm working for has a new employee who joined 3 months ago. Her salary is above Rs. 15,000. Does she have the option of choosing not to opt for EPF and ESIC deductions? If so, what measures need to be taken as an HR to effect this?
From India, Pune
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Provident Fund Exemption
An employee whose salary is above Rs. 15,000 per month can be exempted from the Provident Fund, provided she does not have an active PF account. This means if she had a PF account in her previous company and it is not closed, she is eligible to receive PF in your company as well. You must have Form No. 11 filled out and signed by that employee. If in Form 11 she declares that she does not have an active PF account, then she can be excluded from PF.
ESIC Exclusion
If her salary is above Rs. 21,000 per month, she can be excluded from ESIC.
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An employee whose salary is above Rs. 15,000 per month can be exempted from the Provident Fund, provided she does not have an active PF account. This means if she had a PF account in her previous company and it is not closed, she is eligible to receive PF in your company as well. You must have Form No. 11 filled out and signed by that employee. If in Form 11 she declares that she does not have an active PF account, then she can be excluded from PF.
ESIC Exclusion
If her salary is above Rs. 21,000 per month, she can be excluded from ESIC.
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Challans for EPF ESIC.zip
Epf circular on full salary 230317 Pension on full salary as per SC order 23.3.2017.pdf