I have a query regarding deduction of PF contribution of daily wage working less than 20 days, e.g. If a company is covered under Provident Fund Act, and engages 3-4 person for 5-10 days on daily wage, is it mandatory to deduct PF contribution of these persons
From India, Jalandhar
2From India, Jalandhar
Dear 9466843187
Your query is not clear. Please give some more information regarding the nature of work of your organisation as well as the engaged workers, what is the total strength of your organisation, the persons engaged are under contractor or direct, is it temporary or of permanent nature. etc.
If a person engaged on regular basis and for normal work then you must deduct the PF even for 1 day work. But if the work is of temporary and emergency nature then you need not to deduct the PF, for which you must prove that the work was on temporary and emergency purpose and not the part of continuous activity as and when the question asked by the PF Inspector.
From India, Kumbakonam
Your query is not clear. Please give some more information regarding the nature of work of your organisation as well as the engaged workers, what is the total strength of your organisation, the persons engaged are under contractor or direct, is it temporary or of permanent nature. etc.
If a person engaged on regular basis and for normal work then you must deduct the PF even for 1 day work. But if the work is of temporary and emergency nature then you need not to deduct the PF, for which you must prove that the work was on temporary and emergency purpose and not the part of continuous activity as and when the question asked by the PF Inspector.
From India, Kumbakonam
Yes, Boss is right.
I would further like to clarify that under sec. 2(f) of the FPAct the definition of the employee has been defined which does not contained any provision of casual workers.
There are only two tests for it 1. The person must be employed on wages 2. he must be employed in connection with the work of the establishment.
Rest Mr. Boss has already advised.
Pkjain
From India, Delhi
I would further like to clarify that under sec. 2(f) of the FPAct the definition of the employee has been defined which does not contained any provision of casual workers.
There are only two tests for it 1. The person must be employed on wages 2. he must be employed in connection with the work of the establishment.
Rest Mr. Boss has already advised.
Pkjain
From India, Delhi
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PF query.doc
SALARY with out PF Deduction.xls