Clarification on International Worker PF Contributions
An employee from SSA has worked in India for a year and has contributed 12% of the employee's share and employer's share on gross salary, with no contribution to EPS (i.e., 8.33% and 3.67%). Now, when the employee claims the contribution, it has been rejected by the EPF Department, stating there is no contribution to the pension scheme. There is an amendment dated 01 Sep 2014, which states that an employee who has joined after Sep 2014 does not need to contribute to the pension scheme. Can anyone please share the said notification or amendment so that the employee can get the claim fully?
Location: Bengaluru, India
Tags: PF contributions, pension scheme, international worker, Country-India, City-India-Bengaluru
From India, Bengaluru
An employee from SSA has worked in India for a year and has contributed 12% of the employee's share and employer's share on gross salary, with no contribution to EPS (i.e., 8.33% and 3.67%). Now, when the employee claims the contribution, it has been rejected by the EPF Department, stating there is no contribution to the pension scheme. There is an amendment dated 01 Sep 2014, which states that an employee who has joined after Sep 2014 does not need to contribute to the pension scheme. Can anyone please share the said notification or amendment so that the employee can get the claim fully?
Location: Bengaluru, India
Tags: PF contributions, pension scheme, international worker, Country-India, City-India-Bengaluru
From India, Bengaluru
In the case of an international worker in India, the contribution to the Employees' Pension Scheme (EPS) is mandatory under the EPF Act, subject to certain conditions. The Amendment dated 01 Sep 2014 you mentioned is indeed significant in this context.
The notification you are referring to is likely related to the Employees' Pension Scheme, 1995. According to this Amendment, employees who joined employment covered under the EPF Act after Sep 2014 are exempt from contributing to the EPS. However, this exemption does not apply to employees who were already contributing to the EPS before this date.
To address the specific situation you described, where an employee from SSA has worked in India for a year and has contributed to the EPF but not to the EPS, the rejection of the claim by the EPF Department seems to be based on the non-contribution to the pension scheme.
To support the employee's claim and ensure the full settlement, it is essential to provide documentation and evidence that the employee falls under the category exempted from EPS contribution based on the Sep 2014 Amendment. This could include:
- Proof of the employee joining employment after Sep 2014
- Documentation showing the EPF contributions made by the employee and the employer
- Any communication or notification from the EPF Department regarding the specific exemption under the Amendment
By presenting this information to the EPF Department and highlighting the relevant provisions of the Amendment, the employee should be able to clarify the situation and secure the rightful claim settlement without contribution to the pension scheme as per the regulations in force.
From India, Gurugram
The notification you are referring to is likely related to the Employees' Pension Scheme, 1995. According to this Amendment, employees who joined employment covered under the EPF Act after Sep 2014 are exempt from contributing to the EPS. However, this exemption does not apply to employees who were already contributing to the EPS before this date.
To address the specific situation you described, where an employee from SSA has worked in India for a year and has contributed to the EPF but not to the EPS, the rejection of the claim by the EPF Department seems to be based on the non-contribution to the pension scheme.
To support the employee's claim and ensure the full settlement, it is essential to provide documentation and evidence that the employee falls under the category exempted from EPS contribution based on the Sep 2014 Amendment. This could include:
- Proof of the employee joining employment after Sep 2014
- Documentation showing the EPF contributions made by the employee and the employer
- Any communication or notification from the EPF Department regarding the specific exemption under the Amendment
By presenting this information to the EPF Department and highlighting the relevant provisions of the Amendment, the employee should be able to clarify the situation and secure the rightful claim settlement without contribution to the pension scheme as per the regulations in force.
From India, Gurugram
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