Firms with 10 or more employees may come under EPF Act

July 23, 2014 04:53 pm | Updated November 16, 2021 05:33 pm IST - New Delhi

The government is considering a proposal to reduce threshold limit for coverage of firms under the EPF Act to 10 persons.

At present, all those firms employing 20 or more workers are covered by the retirement fund body Employees’ Provident Fund Organisation (EPFO) for providing a social security net.

“A proposal to reduce the threshold limit from 20 persons to 10 persons for coverage under the Employees’ Provident Funds & Miscellaneous Provisions Act, 1952 is included in the comprehensive amendments to the Act, which is under consideration of the government,” Minister of State for Labour Vishnu Deo Sai said in written reply to Rajya Sabha.

“The timeframe for implementing this proposal has not been fixed. The number of employees to be benefited from this proposal has not been worked out,” the minster informed the House.

Meanwhile, in another reply to the House, he said that EPFO has no plan to bring unorganised workers under the provident fund scheme.

EPFO runs social security schemes including Employees’ Provident Fund Scheme 1952, Employees’ Pension Scheme 1995 and Employees Deposit Linked Insurance Scheme 1976 for the organised sector workers at present.

0 / 0
Sign in to unlock member-only benefits!
  • Access 10 free stories every month
  • Save stories to read later
  • Access to comment on every story
  • Sign-up/manage your newsletter subscriptions with a single click
  • Get notified by email for early access to discounts & offers on our products
Sign in

Comments

Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.

We have migrated to a new commenting platform. If you are already a registered user of The Hindu and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.