Dear All,
In my organization, when an employee resigns, their last month's salary is blocked, and the full credit is processed on the 15th of the subsequent month after their separation. The PF contribution is deducted at the same time. Consequently, the employee's PF contribution for one month is deducted in the following month and then filed in the ECR. However, this leads to discrepancies in the resignation date compared to what is stated in the transfer/withdrawal form, resulting in the form being rejected.
I seek your advice on a solution to this issue. Moreover, I would like to know if it is permissible to enter the correct date of exit in the next cycle itself.
Thank you.
From India, Mumbai
In my organization, when an employee resigns, their last month's salary is blocked, and the full credit is processed on the 15th of the subsequent month after their separation. The PF contribution is deducted at the same time. Consequently, the employee's PF contribution for one month is deducted in the following month and then filed in the ECR. However, this leads to discrepancies in the resignation date compared to what is stated in the transfer/withdrawal form, resulting in the form being rejected.
I seek your advice on a solution to this issue. Moreover, I would like to know if it is permissible to enter the correct date of exit in the next cycle itself.
Thank you.
From India, Mumbai
Hi,
For example, if an employee resigned on 10/10/2013, we were supposed to remit his PF dues in October to be paid in November 2013. However, some companies remitted the dues after one or two months, meaning that the dues for November were paid in December 2013.
In this case, if you did not update his Date of Leaving (DOL) details in the Electronic Challan cum Return (ECR), you can attach the manual Form 10 details during his claims submission. Additionally, you should write a covering letter explaining that his last month's PF dues were remitted in a specific month.
That's it.
From India, Madras
For example, if an employee resigned on 10/10/2013, we were supposed to remit his PF dues in October to be paid in November 2013. However, some companies remitted the dues after one or two months, meaning that the dues for November were paid in December 2013.
In this case, if you did not update his Date of Leaving (DOL) details in the Electronic Challan cum Return (ECR), you can attach the manual Form 10 details during his claims submission. Additionally, you should write a covering letter explaining that his last month's PF dues were remitted in a specific month.
That's it.
From India, Madras
Your action of paying the last salary late is a violation of the Payment of Wages Act. The salary of an employee has to be paid by the 7th/10th of the next month. In case of any employee leaving the organization, the wages are to be paid within 2 working days from the last working day.
From India, Mumbai
From India, Mumbai
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