Employer Coverage Establishments employing 20 or more persons and engaged in any of the 180 indust ries / Classes of Businesses

s specified. Co-operative Societies, employing 50 or more persons & wor ing without the aid o f power. Establishments not coverable statutorily can come under the coverage of the Act statutorily. An establishment continues to be covered under the Act, irrespective of the fall in the employment strength. Since the Act applies on its own force to the establishments, the employers are required to file the particulars in the specified format for registration and al lotment of business number. Financial Obligations: Contributions: Statutory rate of contribution is 12% of emoluments (basic wages, dearness allow ance, cash value of food concession and retaining allowances if any,) in the cas e of 175 establishments. Rate of contribution shall be 10% in the case of the following: Bric , beedi, jute, guar gum factories, coir industry other than spinning secto r. Establishments declared as sic underta ings by BIFR. A matching contribution is to be collected from the emoluments of the employees. Out of 12% (or 10% as the case may be) of the employers share of contribution, 8. 33% is to be remitted towards pension fund. Employer is also required to pay a contribution of 0.5% of the emoluments toward s EDLIS1976. Administrative Charges: An employer is required to pay administrative charges at 1.10% of emoluments tow ards provident fund charges and 0.01% towards EDLI Scheme 1976. No separate administrative charges for pension scheme Inspection Charges: In respect of exempted establishment under P.F. Scheme employer is liable to pay only inspection charges at the rate of 0.18% of emoluments. In the case of establishment exempted from EDLI Scheme, the employer is require d to pay only inspection charges at the rate of 0.005% of emoluments. Interest Liability: For belated remittances of contributions, administrative / inspection charges in terest at the rate of 12% on such remittances for the period of delay is to be r emitted. Damages: For all the belated remittances of contribution and administration/inspection ch arges damages are also payable as penalty ranging from 17% to 37% p.a. depending upon delay. Duties of Employer Enrol all categories of employees including the employees engaged by or through contractors and also piece rated, hourly rated employees. Remit the contributions and administrative charges before the 15th of the follow ing month. File the initial returns of Form 9, Form 3(P.S.), form 5A. File the monthly returns in Form 12A, Form 5, Form 10 and Challans for remitting the dues. Maintain the contribution card in respect of each employee in Form 3A and submit the annual returns in Form 3A and 6A after reconciliation with Challans and for m 12A. The employer has to ensure that statutory dues in respect of contractors employe es are remitted and returns filed. Employer should attest the form No.2 and the claims forms submitted by the mem ber/ legal heirs/ nominees.

 Ma e available all relevant records for inspection of visiting officials with du e authorisation. Exemptions under the Schemes Provident Fund An individual member getting Provident Fund benefits on par with or better than statutory provisions can apply for exemption in Form 1 under para 27. Employers can apply for exemption in respect of a class of employees getting sim ilar or better benefits than the statutory P.F. Scheme under P. 27A subject to the conditons governing grant of exemption. The employer can see exemption from P.F. Scheme for the entire establishment i f the majority of the employees also consent for exemption, subject to certain conditions governing grant of exemption and certain formalities. Pension Scheme Employer can avail exemption for the establishment as a whole, with the consent of majority of employees, if an alternative pension scheme is formulated by the establishment with benefits either on par with or superior to the EPS 95 and subj ect to certification of the viability and long sustenance of the scheme by an independent qualified actuary and satisfying the other conditions prescribed gov erning the grant of exemptions. There is no provision for exemption of individuals or for class of employees. EDLI Scheme The establishment can get exemption from the EDLI Scheme, if the employees there in are entitled for a benefit in the nature of insurance whether lin ed to their P.F. deposit or not and without paying any contributions.

For Employees For New Entrants: Enrolment: An employee is eligible for membership from the day he joins the cove red establishment. If the employees emoluments exceed Rs. 6,500/- per month, he has the option to jo in the Scheme(s) with the consent of employer. Declare previous employment details, if any, in Form No. 11 to the employer. On becoming a member of the Schemes file details in Form No. 2 ( family particul ars/ nominations) through the employer. Rate of contribution payable by a member shall be @ 12% of his emoluments. A member can contribute statutarily over and above the prescribed rate. For Existing Members: Enrolment: Any change in the family status, such as, o marriage of the member. o additions / deletion in the family. o Legal adoption of the children. o Change of nominee, is to be filed in Form No. 2 through the employer. In the event the member is holding a Scheme Certificate (under EPS, 95), he shou ld surrender the same to the concerned EPFO office, through his employer. A member is entitled to various benefits & facilities such as withdrawals, advan ces, pensions, death insurance etc. APPLICABILITY OF EMPLOYEES PROVIDENT FUND AND MISCELLANEOUS PROVISIONS ACT 195 2 The Employees Provident Fund and Miscellaneous Provisions Act 1952 applies to t he whole India except Jammu & Kashmir. Employees Provident Fund and Miscellaneous Provisions Act 1952 is applicable to :

 Every establishment which is engaged in any one or more of the industries specif ied in Schedule I of the Act or any activity notified by Central Government in t he Official Gazette. (List of Industries/Establishments) Employing 20 or more persons . Cinema Theatres employing 5 or more persons.

The Act does not apply to: The co-operative societies employing less than 50 persons and wor ing without th e aid of power. 16(1)(a) The establishment to which this Act applies shall continue to be governed by thi s Act , even if the number of employees falls below 20 at a later date. [ 1(5)]. 16(1)(b) Establishments under the control of state/central Govt.& employees who are getting benefits in the nature of 16(1) (b) contributory P.F. or old age pen sion as per rules framed by the Govt. 16(1)(c) Establishment set up under any central, provincial or state act and the employees who are getting benefits in the nature of contributory P.F. or old ag e pension as per rules. Voluntary Coverage If any of the establishment is not satisfying the above two conditions for cover age and if the employer and majority of the employees are willing , the Act may be applicable to such establishment ( voluntary coverage under section 1(4) ) Classes of Industries covered under EPF & MP Act, 1952 Date of Extension Industries/Class of Establishment (1 to 6) 1st Nov, 1952 1 Cement 2 Cigarettes 3 Electrical, Mechanical or General Engineering Products 4 Iron and Steel 5 Paper 6 Textiles (made wholly or in Part of Cotton or wool or ju te or sil whether natural or artificial) 6A Jute (7-19) 31st July,1956 7 Edible Oils and Fats 8 Sugar 9 Rubber and rubber products 10 Electricity including generation, transmission and distr ibution thereof. 11 Tea (except in the state of Assam where the Govt. of Ass am have instituted a Separate Provident Fund Scheme for the industry including p lantations) 12 Printing (other than printing industry relating to newsp aper establishments as defined in the Wor ing Journalists (conditions of Service and Misc. Provisions Act1955)) including the process of composing types for pri nting, printing by letter press, lithography, photogravure or similar process or boo binding 13 Stone-ware pipes 14 Sanitary Wares 15 Electrical porcelain Insulators of high and low tension 16 Refractories 17 Tiles 18 Matches 19 Glass Note: Till the 31st March 1962 the Scheme was not applic able to the following:

(i) Match factories having annual Production of five la hs/g ross boxes of matches or less. (ii) Such glass factories other than sheet glass shell factor ies as have an installed capacity of 600 tones per month or less. (20-23) 30th Sept., 1956 20 Heavy and Fine chemicals including: (i) Fertilizer (ii) Turpentine (iii) Resin (iv) Medical and pharmaceuticals preparations (v) Toilet Preparations (vi) Soaps (vii) In s (viii) Intermediates dyes colour lacs and toners (ix) Fatty Acids (x) Oxygen acetylene and Carbon Di-Oxide gases. (The Act was actually enforced in the industry with effe ct from 31.7.57) 21 Indigo 22 Lac including Shellac 23 Non-edible vegetables and animal oils and fats 31st Dec., 1956 24 Newspaper establishments. 31st Jan.,1957 25 Mineral Oil Refining (26 to 30A) 30th April,1957 26 Tea plantations (Other than the tea plan tations in the State of Assam 27 Coffee Plantations 28 Rubber plantations 29 Cardamom plantations 30 Pepper plantations 30A Mixed plantations (31-37) 30th Nov.,1957 31 Iron Ore Mines 32 Manganese Mines 33 Limestone Mines 34 Gold Mines 35 Industrial and Power Alcohol 36 Asbestos Cement Sheets Limestone Mines 37 Coffee curing establishments 30th April,1958 38 Biscuit ma ing industry (including composite uni ts ma ing biscuit and Products such as bread, confectionery and mil and mil po wder) 30th April,1959 39 Road Motor Transport establishments (40 & 41) 31st May,1960 40 Mica Industry 41 Mica Mines (42 and 43) 30th June,1960 42 Plywood 43 Automobile repairing and servicing 30th Nov. 1960 44 Cane farms owned by sugar factories (45-47) 31st Dec.1960 45 Rice Milling 46 Dal Milling 47 Flour Milling 31st May,1961 48 Starch (49-53) 30th June,1961 49 Hotels 50 Restaurants 51 Establishments engaged in the Storage or transport or d istribution of petroleum or Natural gas or products of either petroleum or natu ral gas. 52 Petroleum or natural gas Explorations, prospecting drill ing or production. 53 Petroleum or natural gas refining (54-58) 31st July,1961 54 Cinemas (including Preview theaters) 55 Film Production 56 Film Studios

57 Distribution concerns dealing with exposed films 58 Film Processing Laboratories 31st August,1961 59 Leather and Leather products Industries/ Classes of Establishments (60 and 61) 30th Nov.,1961 60 Stoneware Jars 61 Croc ery 31st December, 1961 62 Every cane farm owned by the owner or oc cupier of a sugar factory or cultivated by such owner or occupier or any person on his behalf. 30th April,1962 63 Every Trading and commercial establishments enga ged in the Purchase, sale or storage of any good including establishment of expo rter, importer advertiser, commission agents and bro ers and commodity and stoc exchanges, but not including ban s or warehouses established under any Central or State Act. 30th June,1962 64 Fruit and vegetable preservation 30th Sept.,1962 65 Cashew nuts (66 to 70) 31st Oct.,1962 66 Establishments engaged in the processing or treatment of wood including manufacture of hardboard chipboard, jute or text ile wooden accessories, cor products, wooden furnitures, wooden sports goods, c ane or bamboo products, wooden battery separators. 67 Saw mills 68 Wood seasoning ilns 69 Wood preservation plants 70 Wood wor shop 31st Dec.,1962 71 Bauxite Mines 31st March,1963 72 Confectionery (73 to77) 30th April 1963 73 Laundry and Laundry services 74 Buttons 75 Brushes 76 Plastic and plastic products 77 Stationery products 31st May,1963 78 Theaters where dramatic performance or other for ms of entertainments are held and where payment is required to be made for admis sion as audience or spectators. (79 and 80) 31st May,1963 79 Societies, clubs or associations which p rovide board or lodging or both facility for amusement or any other service to any of their member or to any of their guest on payments. 80 Companies, societies, associations, clubs or troupes whi ch give any exhibition or acrobatic or other performance or both, in any arena c ircular or otherwise or perform or permit any other form of entertainment in any place, other than a theater, and require payments for admission into such exhib ition or entertainment as spectators or audience. (81 and 82) 31st August,1963 81 Canteens 82 Aerated water, soft drin s or carbonated water w.e.f. 31 st Oct. 31st Oct.,1963 83 Distilling and rectifying of spirits (not fallin g under industrial and power alcohol) and blending of spirits (84 and 85) 31st Jan.,1964 84 Paint and Varnish 85 Bone crushing (86 and 87) 30th June,1964 86 Pic ers 87 China Clay Mines (88 to 93) 31st Oct.,1964 88 Attorneys as defined in the Advocates Ac t, 1961 (25 of 1961) 89 Chartered or registered Accountants as defined in the Ch artered Accountants Act, 1949. (38 of 1949) 90 Cost and Wor s Accountants within the meaning of the cos t and Wor s Accountants Act, 1959 (23 of 1959) 91 Engineers and Engineering Contractors not being exclusiv ely engaged in building and construction industry. 92 Architects

93 Medical practitioners and Medical specialists 31st Dec., 1964 94 Mil and mil products 31st Jan., 1965 95 Travel agencies engaged in: (i) Boo ing of international air and sea passengers and othe r travel arrangements and (ii) Boo ing of internal air and mail passengers and other tr avel (iii) Forwarding and clearing of cargo from and to overseas an d within India 96 Forwarding agencies engaged in the collecting, pac ing, forwarding or delivery of any goods including cargo; loading brea bul service and foreign freight service. 97 Non-ferrous metals and alloys in the form of ingots 31st March,1965 98 Bread 30th June,1965 99 Steaming, redrying, handling, sorting, grading o r pac ing of tobacco leaf. 31st July,1965 100 Agarbatee (including dhoop and dhoopbatee) 31st August,1965 101 Magnesite Mines 30th Sept.,1965 102 Coir (excluding the spinning sector) 31st Dec.,1965 103 Stone quarries producing roof and floor slabs, d imension stones, monumental stones and mosaic chips stones and mosaic chips. 31st Jan.,1966 104 Ban s other than the nationalized ban s establis hed under any Central or State Act; 30th June,1966 105 Tobacco industry that is to say any industry eng aged in the manufacture of Cigars, Zarda, Snuff, Quivam and Gura u from Tobacco. 31st July,1966 106 Paper Products 30th Sept.,1966 107 Licensed salt 30th April,1967 108 Linoleum (108 and 109) 109 Indoleum 31st July,1967 110 Explosives 31st August,1967 111 Jute bailing or pressing 31st October,1967 112 Firewor s and percussion cap wor 30th Nov.,1967 113 Tent ma ing (114 to 120) 31st August,1968 114 Barites Mines 115 Dolomite Mines 116 Fireclay Mines 117 Gypsum Mines 118 Kyanite Mines 119 Siliminite Mines 120 Steatite Mines 31st Dec.,1968 121 Cinchona Plantations 30th April,1969 122 Ferro Manganese (123 and 124) 30th June,1969 123 Ice or ice-cream. 124 Diamond Mines 31st Jan.,1970 125 General insurance business 31st March ,1971 126 Establishments rendering expert service such as supplying of personnel, advice on domestic or departmental enquiries, sp ecial service in rectifying pilferage thefts and pay roll irregularities to fac tories and establishments on certain terms and conditions as may be agreed upon between the establishments and establishments rendering expert service. 30th Nov.,1971 127 Factories engaged in winding of thread and yarn reeling 31st March,1972 128 Railway boo ing Agencies run by Contractors or o ther private 30th Sept.,1972 129 Cotton ginning, bailing and pressing 31st March,1973 130 Every mess, not being a military mess 31st May,1973 131 Katha ma ing 31st August 1973 132 Establishments nown as hospitals run by any individual association or institution. (95 to 97)

30th April, 1974 30th Sept., 1974

133 134

Beer manufacturing Sorting, cleaning and testing of cotton

waste. (135 and 136) 30th Nov.,1974 135 Societies, Clubs and associations which render service to their members, without charging any fees over and above the su bscription fee or membership fee. 136 Garments ma ing factories (137 to 140) 31st Dec.,1974 137 Agricultural farms, 138 Fruit orchards 139 Botanical gardens 140 Zoological gardens. 30th June 1975 141 Soapstone mines and establishments engaged in th e grinding of soapstone (142 to 154) 31st July, 1976 142 Apatite Mines 143 Asbestos Mines 144 Calcite Mines 145 Ball-clay Mines 146 Corundum Mines 147 Emerald Mines 148 Feldspar Mines 149 Silica (sand mines) 150 Quartz Mines 151 Ochre Mines 152 Chromite Mines 153 Graphite Mines 154 Flourite Mines (155 to 157) 28th Jan.,1977 155 Establishments which are factories engag ed in the manufacture of glue and gelatine. 156 Stone quarries producing stone chips, stone sets, stone boulders and ballasts. 157 Establishments engaged in Fish processing and non-vegeta ble food preservation industry including bacom factories and por processing pla nts. 31st May,1977 158 Establishments engaged in manufacture of beedi. 31st Dec.,1978 159 Financing establishments other than ban s not be ing the Unit Trust of India, the Agriculture Refinance Corporation, Industrial D evelopment Ban of India, the Industrial Finance Corporation of India, the State Finance Corporation 6th Jan.,1979 160 Lignite Mines 31st July,1979 161 Ferro Chrome (162 to 164) 31st May,1980 162 Diamond cutting 163 Quarsite Mines 164 Inland water transport establishments (165 and 166) 31st Oct.,1980 165 Building and construction 166 Manufacture of Myrobalan extract Powder, Myrobalan extra ct solid and vegetable tanning blended extract 30th Nov.,1980 167 Bric 23rd Nov.,1981 168 Establishments engaged in Stevedoring loading an d unloading of ships. (169 and 170 ) 7th Dec.,1981 169 Establishments engaged in poultr y farming 170 Establishments engaged in cattle feed industry. 6th March,1982 171 (i) Any University (ii) Any college, whether or not affiliated to a University. (iii) Any School, whether or not recognised or aided by the Ce ntral or State Government. (iv) Any scientific institution; (v) Any institution in which research in respect of any matt er is carried on (vi) Any other institution in which the activity of imparting

nowledge or training is systematically carried on 1st Jan.,1984 172 Industries based on asbestos as principa l raw material on voluntary basis. 1st Oct. 1984 173 Cinema theatres employing five o r more wor ers as specified in section 24 of Cine Wor ers & Cinema Theatre Wor e rs(Regulation of Employment) Act, 1981 16th Sept,1989 174 Industries manufacturing Iron ore pellets 25th Mar.,1992 175 Guar Gum factories (176 and 177) 1st April,1992 176 Marble mines 177 Diamond saw mills (178 to 180) 1st April, 2001 : 178 An establishment engaged in rend ering Courier services 179 An establishment of aircraft or airlines other than the aircraft or airlines owned or controlled by the Central or State Government. 180 An establishment engaged in rendering cleaning and sweep ing services 10th November,2005 181 Any Estt. engaged in construction, maint enance, operation and commercial activities of Railways; other than Indian Railw ays and other railway establishments owned and controlled by Central or State Go vernment 27th July, 2006 182 Any establishment engaged in manufacture, mar et ing, servicing and usage of a computer [as defined in clause (i) of Sub-section (1) of Section 2 of the Information Technology Act (21 of 2000)] / or deriving a ny form of output therefrom and related processing services. (183 to 186) 08th December 2007 183 Companies offering Life Insuranc e, Annuities etc. other than Life Insuarance Corporation of India. 184 Private Airports and Joint venture Airports. 185 Electronic Media companies in Private Sector. 186 Lodging Houses, Service apartments and condominiums.

CONTRIBUTION OF EMPLOYERS Rates of Contribution: a) The Employees Provident Fund Scheme In respect of establishments employing 20 or more persons and engaged in industr y notified under Section 6 of Act ( other than the Establishments. declared as sic ) 12% of the basic pay DA , Cash value of food concession and retaining al lowance , if any, subject to a maximum of Rs.6500/- per month. Voluntary higher contributions are also acceptable at the joint request of the member and the emp loyer . However, the rate of contribution is 10% in respect of the following cat egories of establishments: Any establishment covered prior to 22.9.97 in which less than 20 persons are emp loyed.

Any Establishment which has at the end of any financial year accumulated losses equal to or exceeding its entire net worth.

Any Establishment engaged in manufacturing of (a) Jute , (b) Beedi , (c) Bric , (d) Coir (other than spinning sector), (e) Guar Gum Industries/Factories. b) The Employees Pension Scheme From and out of employer s share of Provident Fund contributions 8.33% of the t

Any sic industrial company as defined in Clause(0) of Sub-Section(1) of Section 3 of the sic industrial companies ( special provisions ) Act 1985 and which ha s been declared as such by the Board for Industrial and Financial Reconstruction .

otal wages limited to Rs. 6500/- per month is segregated and credited to the Emp loyees Pension Fund in A/C No. 10 ( w.e.f. 1-06-2001 ). The Central Government also would contribute at the rate of 1.1 / 6% of total w ages. c) Employees Deposit Lin ed Insurance Scheme: No amount is recovered from employee s wages . Employer should pay 0.5% of total wages subject to a ceiling of Rs. 6500/- per month ( w.e.f. 1-06-2001 ). SUBMISSION OF RETURNS FORM NO. 2 DESCRIPTION PURPOSE

Nomination form.

(Common form for PF & Pension schemes.) This is given by PF Members and utilised for releasing PF dues to the nominees. It also contains the details of the family members. 11 The Employees Provident Funds Scheme, 1952 [para 34]. Declaration by a person ta ing up employment in an establishment in which the Employees Provide nt Funds & Family Pension Fund Scheme is in force. Pension F9 The Employees Pension Scheme 1995[para 24] . Declaration by a person ta ing up employment in an establishment in which the Employees Pension Scheme is in force. SUBMISSION OF RETURNS FORM NO. DESCRIPTION 2 Nomination form.

PURPOSE

(Common form for PF & Pension schemes.) This is given by PF Members and utilised for releasing PF dues to the nominees. It also contains the details of the family members. 11 The Employees Provident Funds Scheme, 1952 [para 34]. Declaration by a person ta ing up employment in an establishment in which the Employees Provide nt Funds & Family Pension Fund Scheme is in force. Pension F9 The Employees Pension Scheme 1995[para 24] . Declaration by a person ta ing up employment in an establishment in which the Employees Pension Scheme is in force. Members Eligibility to Membership: a) Employees Provident Fund Scheme: Every employee (including part-time wor ers and those employed by or through con tractors) shall be entitled to become a member of the Scheme from the date of jo ining the factory or the other establishment. (Para 26) Every excluded employee shall be entitled to become a member from the date he ce ased to be such employee. Every member of an exempted Provident Fund on joining establishment to which the Scheme applies. Any employee who is not otherwise eligible to become member of the Scheme, on re quest by him and his employer. Every newspaper employee other than an excluded employee shall be entitled to be come member of the Fund after completion of 3 months continuous service or if h

e has actually wor ed for 60 days during 3 months or less (There is no wage ceil ing in the case of newspaper employee). (Para 80) Every Cine Wor er other than an excluded employee shall be entitled to become a member of the Fund if he has wor ed in not less than three feature films with on e or more producers provided his pay at the time of joining the Fund does not ex ceed Rs. 1600/-P.M or Rs.15,000/- per year. (Para 81) Note: w.e.f 1-11-90 , an employee is eligible for membership from the very firs t date of joining a covered establishment. a) Employees Pension Scheme: Every employee who became member of the Employees Provident Fund Scheme on or a fter 16-11-95. (Employee who is above the age of 58 on the date of joining the E mployees Provident Fund Scheme shall not be enrolled). Every employee who is a member of Employees Provident Fund Scheme 1952 and who has not opted for erstwhile Employees family pension scheme, may also become a member if he opts for Employees Pension Scheme. Every employee who was a member of Employees Provident Fund Scheme and has left service between 1-4-93 and 15-11-95 can also join the Employees Pension Scheme by submission of option. Note: The Employees Pension Scheme membership will cease from the date the memb er attains 58 years of age . However, he will continue to be a member of Employe es Provident Fund till he leaves the service and withdraws the Provident Fund a ccumulations. c) Employees Deposit Lin ed Insurance Scheme: Every employee who become member of the Employees Provident fund Scheme/exempte d Provident Fund Scheme. Administrative Charges a) Employees Provident Fund Scheme: 1.10% of total wages on which Provident Fund is recovered subject to a minimum o f Rs. 5/- shall be payable by the employer every month . Prior to 1.8.98, w.e.f. 1.8.98 .65% of total wages b) Employees Pension Scheme Scheme: No administrative charges are payable by the employer .The entire cost of admini stration is met by Central Government . c) Employees Deposit Lin ed Insurance Scheme: 0.01% of the total on which the Employees Deposit Lin ed Insurance contribution s recovered subject to a minimum of Rs. 2/- per month . Inspection Charges a) Employees Provident Fund Scheme: 0.18% of the total wages on which Provident Fund is recovered . b) Employees Pension Scheme Scheme: Nil . c) Employees Deposit Lin ed Insurance Scheme: 0.005% of the total wages of the employees who are entitled to become members of the Employees Deposit Lin ed Insurance Scheme subject to a minimum of Re. 1/Duties of Employer a) Employees Provident Fund Scheme (Para 36)and (Para 36A): Enrol the eligible employees as Employees Provident Fund subscriber from the ri ght date. Send initial returns in Form 5A , F9(Revised) , accompanied by F2(Revised), mont hly returns in F5, accompanied by F2, F10, F12A accompanied by challans and annu al return in F3A accompanied by F6A. To maintain the inspection note boo for an inspector to record his observation. Maintain such accounts in relation to the amounts contributed to the fund andb y his employees. To comply with all the directives issued by the Central Board for proper impleme ntation of the scheme. Pay to the Fund within 15 days of the close of the month both the shares of cont ribution and administrative charges or inspection charges . b) Employees Pension Scheme Scheme (Para 20 EPS 95):

There is no need to furnish a separate return by the employers. Pay to the Fund within 15 days of the month Pension Fund contributions. c) Employees Deposit Lin ed Insurance Scheme (Para 10): There is no need to furnish a separate return by the employers . Pay to the Fund within 15 days of the close of the month both the contributions and Administrative charges or Inspection charges . DO S FOR A MEMBER: While joining an establishment, furnish details of previous employment if any, w ith previous Provident Fund a/c number and scheme certificate. In case of existing Provident Fund/ Pension a/c, apply for transfer of previous a/c number to the present a/c number. Ensure that employee furnishes form with details of previous Provident Fund a/c no. to Employees Provident Fund Organisation. Execute form-2, in details of self, nominee for Provident Fund and pension and d etails of family and see that it is forwarded to Employees Provident Fund Organ isation by the employer. Ensure that particulars furnished are correct in all respects. Ensure that enrolment to Employees Provident Fund/ Employees Pension Scheme is done immediately on joining the establishment. Provident Fund is deducted at statutory rate from the total wages i.e. basic, D. A. and retaining allowance if any. If desirous of enhancing rate of contribution, inform the desire with the higher rate opted for to Employees Provident Fund Organisation through employer and a llow employer to deduct at enhanced rate from the wages. If the wages drawn is more than Rs. 6500/-, intimate your desire to contribute o n the whole amount to Employees Provident Fund Organisation through employer. E mployer can also contribute on the whole amount drawn as wages under intimation to Employees Provident Fund Organisation. Chec up periodically with the employer that contribution and other charges are paid to Employees Provident Fund Organisation and ensure it s correctness by ve rifying the form-3A (contribution card) maintained by the employer. DON TS FOR A MEMBER: DON TS FOR A MEMBER: Don t give false clarification and incorrect particulars to Employer and Employe es Provident Fund Organisation. Don t fall victim to middlemen/ agents. Employees Provident Fund Organization d oes not have any agent. Don t allow Employer to deduct his own share of contribution or administrative c harges payable by him from the wages. Don t be a party to misclassified allowances, with a view to avoid payment of Pr ovident Fund SPECIFIC PROBLEMS OF EXEMPTED ESTABLISHMENTS A few establishments are not submitting the prescribed monthly returns. Quite a few major employers are delaying transfer of fund to the Board of Truste es, thus violating the conditions for grant of exemption. Board of Trustees is not reconstituted in time. Investment is not being made by many of the trustees on the plea that huge amoun ts are sanctioned towards NR loans, House Building and that State/Central Govern ment securities are not available. Audit Reports of the Provident Fund Trust are due.

Accounts slips are being issued by most of the trustees even without audit of ac counts. SGL account with P.D.O of R.B.I is generally not opened by many Establishments.

 The annual returns under Employees Pension Scheme 1995 (Form No. 7 and 8) which is due on 30th April every year are not submitted in time. Provident Fund Advance claims account not settled in time. Details of Board of Trustees are not available on closure/sic /defaulting units. Statutory rate of interest not paid by several establishments. Mis-utilisation of fund by Board of Trustees.

Amendment made in the Employees Provident Fund Act and Scheme by notifications/ ordinance etc. are not being incorporated /implemented in the Provident Fund rul es by the exempted establishments. EXEMPTION : PROVISIONS OF ACT / SCHEMES Types of Exemption An establishment covered under the Employees Provident Fund & Miscellaneous Pro visions Act 1952 is required to comply with the statutory provisions of the Act and also the provisions of the Schemes framed under the Act namely Employees Pr ovident Fund Scheme, 1952, Employees Pension Scheme Scheme, 1995 and Employees Deposit Lin ed Insurance Schemes, 1976. However, the Act provides for grant of exemption from the operation of the Act a nd also exemption from the operation of the Schemes framed under the Act. Thus, the types of exemptions provided under the Act may be broadly classified as unde r: a. Exemption from the Act ( Including the Schemes ), under Section -16 (2) of the Act. b. Exemption from the operation of the Scheme(s) viz. Employees Provident Fund Scheme / Employees Pension Scheme /Employees Deposit Lin ed Insurance Sch emes. (a) Exemption from the Act ( Including the Schemes ): This type of Exemption is allowed under Section 16(2) of the Act by the Central Government. Exemption from the Act is allowed only to a class of establishments . It is granted considering the financial or other circumstances of the class of establishments. This exemption can be given prospectively or retrospectively. It is allowed for a specified period only. The classes of establishments for wh ich this type of exemption currently in force are: a. Establishments registered under the Societies Registration Act, 1860, ru n mainly on grants-in-aid received from the Central Government or the State Gove rnment. Establishments which are employing only ex-servicemen who are in receipt of pension benefits as admissible under the trust rules for a period of 5 years w.e.f. 18-02-2000. (Notification dated on 5.4.2000) b. Voluntary organisations engaged in leprosy eradication programmes. (b) Exemption from the operation of the Scheme(s) viz. Employees Provident Fun d Scheme / Employees Pension Scheme /Employees Deposit Lin ed Insurance Scheme s: In this type of exemption, it is only an exemption from the operation of a speci fied scheme and not from the Act. Apart from granting exemption to an establishm ent from the operation of a particular scheme, the Act also provides for grant o f exemption to an individual employee and also to a class of employees. Thus, ex emption from the operation of the Scheme is granted: a. To an establishment as a whole. b. To an individual employee ( under the Employees Provident Fund & Employ ees Deposit Lin ed Insurance Scheme only ) c. To a class of employees. Issue of Relaxation order under the Employees Provident Fund & Employees Depos it Lin ed Insurance Schemes :

Before granting exemption to an establishment the application of the establishm ent and also the rules of the Fund are required to be scrutinised for considerin g the grant of exemption. As it may ta e some time to process the application, t he Regional Provident Fund Commissioner / Central Provident Fund Commissioner as the case may be, may issue a relaxation order to the establishment specifying t hat the establishment may not, pending grant of exemption: a. Submit the returns required to be submitted under the Scheme. b. Remit the dues to the Fund c. Transfer the accumulations from the existing Fund to the C.B.T., Employe es Provident Fund. The Regional Provident Fund Commissioner / Central Provident Fund Commissioner m ay also impose certain other conditions on maintenance of accounts, enrolment of members, Investment of monies, payment of inspection charges and submission of returns etc., in the Relaxation Order. For all practical purposes the establishm ent under Relaxation Order shall be treated on par with the establishment grante d exemption. The Relaxation Order is issued under para 28(7) of the Employees D eposit Lin ed Insurance Scheme. Exemption from the operation of Employees Provident Fund Scheme , 1952: Exemption from the operation of Employees Provident Funds to an establishment a s a whole, is granted either under Section 17(1)(a) or under Section 17 (1)(b) o f the Act. Exemption under Section 17 (1)(a): The grant of exemption to an establishment under Section 17 (1)(a) is considered where the rates of contribution are not less favourable then the statutory rate s provided in Section 6 of the Act and the employees are also in enjoyment of ot her PF benefits which are also on the whole not less favourable than the benefit s provided under the Act / Scheme. The authority to grant this exemption is the Appropriate Government , as defined in Section 2(a) of the Act ( Central / Stat e Government, as the case may be ) and notified in Gazette. Exemption under Section 17(1)(b): Exemption under Section 17 (1)(b) is granted where the employees in establishmen t are in enjoyment of benefits in the nature of Provident Fund, Pension or gratu ity which are separately or jointly on the whole not less favourable than the be nefits provided under the Act / Scheme. It is granted by the Appropriate Govern ment , through a notification in the gazette. Payment of Inspection charges : The establishment to which Relaxation Order is issued / exemption is granted is required to pay Inspection charges @ 0.18% of total wages on which Provident Fun d is recovered, to the Regional Provident Fund Commissioner concerned by deposit in cash / local cheque in S.B.I. to the credit in A/C No. 2 of the Employees P rovident Fund, through prescribed challan. Exemption of an Employee : (Employees Provident Fund Scheme ,52 ) Section 17 (2) read with para-27 of the Employees Provident Fund Scheme provide s for exemption from the operation of all or any of the provisions of the scheme to an individual employee. It is granted by the Regional Provident Fund Commiss ioner on the receipt of application in Form-1 from the employee. The exemption i s granted where an employee is entitled to benefits in the nature of Provident F und, gratuity or old age pension and such benefits separately or jointly are on the whole not less favourable than the benefits provided under the Act and Schem e. The re-election is permitted only once on each account. Exemption of a Class of Employees : ( Employees Provident Fund Scheme ,52 ) Section 17 (2) read with para-27A of the Employees Provident Fund Scheme provid es for grant of exemption from the operation of all or any of the provisions of the scheme to a class of employees. It is granted by the appropriate Government on the receipt of application from the employer. The exemption is granted where

employees are entitled to benefits in the nature of Provident Fund, gratuity or old age pension and such benefits separately or jointly are on the whole not le ss favourable than the benefits provided under the Act and Scheme. Wherever the exemption to a class of employees is granted, the employer is requi red to submit a monthly return to the Regional Provident Fund Commissioner in th e prescribed Performa. The due date for submission of this return is 25th of the month following that to which it relates. The employer is required to pay Inspe ction Charges @ 0.18% on wages of employees exempted and invest the Provident Fu nd monies in accordance with the pattern of investment prescribed by the Central Government. The class of employee may again be permitted to join the statutory fund. The re-election is permitted only once on each account. Exemption- Provision of Act / Scheme-At a glance S.No. Nature of Exemption Granted under Act/Scheme Authority to gra nt exemption Authority to issue Relaxation Order Remar s 1. Exemption from the Act Section 16(2) of the Act Central Government N.A. Exemption to a class of Establishment only for a specifi ed period. 2. Exemption from the operation of Employees Provident Fund Scheme 52 Section 17(1)(a) or 17(1)(b) Appropriate Government Regional Provident Fund Commissioner. (para79) Exemption to an Establishment as a whole. 3. - Do - Section 17(2) read with para 27-A of Employees Provident Fund S cheme Appropriate Government Regional Provident Fund Commissioner. (p ara 79) To a class of employees. 4. - Do - Section 17(2) read with para 27 of Employees Provident Fund Sch eme Regional Provident Fund Commissioner To an individual employe e. 5. Exemption from the operation of the Employees Pension Scheme 95 Section 17 (1C) Appropriate Government To an Establishment as a whole. 6. - Do - Section 17 (1C) Appropriate Government To a class of Es tablishment 7. Exemption from the operation of Employees Deposit Lin ed Insurance Sche me 76 Section 17 (2-A) Central Provident Fund Commissioner Regional Provident Fund Commissioner. (para28(7)) To an Establishment as a whole 8. - Do - Section 17 (2B) read with para28(4) Central Provident Fund C ommissioner - Do - To a class of employees. 9. - Do - Section 17(2B) read with para28(1) Regional Provident Fund Commissioner To an individual employee. Exemption from Employees Family Pension Scheme 95 Section 17 (1C) of an Act provides for grant of exemption from the operation o f Employees Pension Scheme, 1995 . It is granted by the Appropriate Government through a notification in the official Gazette. Exemption may be granted to an e stablishment as a whole or to a class of establishments . The grant of exemption is subject to the conditions specified by the Appropriate Government . The exem ption is granted where the establishment or the class of establishments are in e njoyment of benefits in a nature of pensionary benefits which are at par or, are more favourable then the benefits provided under this Scheme. Exemption from the Employees Deposit Lin ed Insurance Scheme 76 : Section 17 (2A) of an Act provides for grant of exemption from the operation of Employees Deposit Lin ed Insurance Scheme ,1976 . It is granted to an establis hment , where the employees are without ma ing any separate contribution or paym ent of premium , are in enjoyment of benefits in the nature of Life Insurance wh ether lin ed to their deposits in Provident Fund or not and such benefits are mo re favourable than the benefits admissible under the Insurance Scheme . It is gr anted by the Central Provident Fund Commissioner by notification in the official

gazette and is subject to conditions that may be specified in the notification . It is granted either prospectively or retrospectively . Pending grant of exemption to an establishment relaxation order may be issued un der para-28(7) of the Employees Deposit Lin ed Insurance Scheme,1976 by a Regio nal Provident Fund Commissioner . An establishment exempted from the operation of the Employees Deposit Lin ed In surance Scheme ,1976 is required to submit a monthly return to the Regional Prov ident Fund Commissioner . Para-28(4) of the Scheme provides for grant of exemption by the Central Providen t Fund Commissioner to any class of employees . Under Section 17 (2B) read with Para-28(1) of the Employees Deposit Lin ed Insu rance Scheme,1976, the Regional Provident Fund Commissioner may grant exemption from the operation of any or all of the provisions of the Employee Deposit Lin e d Insurance Scheme to an employee. The establishment shall pay inspection charges at the rate of 0.005% of the basi c wages and Dearness Allowance subject to a minimum of Re.1/- per month .

Employer Coverage Establishments employing 20 or more persons and engaged in any of the 180 indust ries / Classes of Businesses specified. Co-operative Societies, employing 50 or more persons & wor ing without the aid o f power. Establishments not coverable statutorily can come under the coverage of the Act statutorily. An establishment continues to be covered under the Act, irrespective of the fall in the employment strength. Since the Act applies on its own force to the establishments, the employers are required to file the particulars in the specified format for registration and al lotment of business number. Financial Obligations: Contributions: Statutory rate of contribution is 12% of emoluments (basic wages, dearness allow ance, cash value of food concession and retaining allowances if any,) in the cas e of 175 establishments. Rate of contribution shall be 10% in the case of the following: Bric , beedi, jute, guar gum factories, coir industry other than spinning secto r. Establishments declared as sic underta ings by BIFR. A matching contribution is to be collected from the emoluments of the employees. Out of 12% (or 10% as the case may be) of the employers share of contribution, 8. 33% is to be remitted towards pension fund. Employer is also required to pay a contribution of 0.5% of the emoluments toward s EDLIS1976. Administrative Charges: An employer is required to pay administrative charges at 1.10% of emoluments tow ards provident fund charges and 0.01% towards EDLI Scheme 1976. No separate administrative charges for pension scheme Inspection Charges: In respect of exempted establishment under P.F. Scheme employer is liable to pay only inspection charges at the rate of 0.18% of emoluments. In the case of establishment exempted from EDLI Scheme, the employer is require d to pay only inspection charges at the rate of 0.005% of emoluments. Interest Liability: For belated remittances of contributions, administrative / inspection charges in terest at the rate of 12% on such remittances for the period of delay is to be r emitted.

Damages: For all the belated remittances of contribution and administration/inspection ch arges damages are also payable as penalty ranging from 17% to 37% p.a. depending upon delay. Duties of Employer Enrol all categories of employees including the employees engaged by or through contractors and also piece rated, hourly rated employees. Remit the contributions and administrative charges before the 15th of the follow ing month. File the initial returns of Form 9, Form 3(P.S.), form 5A. File the monthly returns in Form 12A, Form 5, Form 10 and Challans for remitting the dues. Maintain the contribution card in respect of each employee in Form 3A and submit the annual returns in Form 3A and 6A after reconciliation with Challans and for m 12A. The employer has to ensure that statutory dues in respect of contractors employe es are remitted and returns filed. Employer should attest the form No.2 and the claims forms submitted by the mem ber/ legal heirs/ nominees. Ma e available all relevant records for inspection of visiting officials with du e authorisation. Exemptions under the Schemes Provident Fund An individual member getting Provident Fund benefits on par with or better than statutory provisions can apply for exemption in Form 1 under para 27. Employers can apply for exemption in respect of a class of employees getting sim ilar or better benefits than the statutory P.F. Scheme under P. 27A subject to the conditons governing grant of exemption. The employer can see exemption from P.F. Scheme for the entire establishment i f the majority of the employees also consent for exemption, subject to certain conditions governing grant of exemption and certain formalities. Pension Scheme Employer can avail exemption for the establishment as a whole, with the consent of majority of employees, if an alternative pension scheme is formulated by the establishment with benefits either on par with or superior to the EPS 95 and subj ect to certification of the viability and long sustenance of the scheme by an independent qualified actuary and satisfying the other conditions prescribed gov erning the grant of exemptions. There is no provision for exemption of individuals or for class of employees. EDLI Scheme The establishment can get exemption from the EDLI Scheme, if the employees there in are entitled for a benefit in the nature of insurance whether lin ed to their P.F. deposit or not and without paying any contributions. Members Eligibility to Membership: a) Employees Provident Fund Scheme: 1. Every employee (including part-time wor ers and those employed by or thr ough contractors) shall be entitled to become a member of the Scheme from the da te of joining the factory or the other establishment. (Para 26) 2. Every excluded employee shall be entitled to become a member from the da te he ceased to be such employee. 3. Every member of an exempted Provident Fund on joining establishment to w hich the Scheme applies. 4. Any employee who is not otherwise eligible to become member of the Schem e, on request by him and his employer. 5. Every newspaper employee other than an excluded employee shall be entitl ed to become member of the Fund after completion of 3 months continuous service or if he has actually wor ed for 60 days during 3 months or less (There is no w

age ceiling in the case of newspaper employee). (Para 80) 6. Every Cine Wor er other than an excluded employee shall be entitled to b ecome a member of the Fund if he has wor ed in not less than three feature films with one or more producers provided his pay at the time of joining the Fund doe s not exceed Rs. 1600/-P.M or Rs.15,000/- per year. (Para 81) Note: w.e.f 1-11-90 , an employee is eligible for membership from the very firs t date of joining a covered establishment. a) Employees Pension Scheme: 1. Every employee who became member of the Employees Provident Fund Scheme on or after 16-11-95. (Employee who is above the age of 58 on the date of joini ng the Employees Provident Fund Scheme shall not be enrolled). 2. Every employee who is a member of Employees Provident Fund Scheme 1952 and who has not opted for erstwhile Employees family pension scheme, may also b ecome a member if he opts for Employees Pension Scheme. 3. Every employee who was a member of Employees Provident Fund Scheme and has left service between 1-4-93 and 15-11-95 can also join the Employees Pensio n Scheme by submission of option. Note: The Employees Pension Scheme membership will cease from the date the memb er attains 58 years of age . However, he will continue to be a member of Employe es Provident Fund till he leaves the service and withdraws the Provident Fund a ccumulations. c) Employees Deposit Lin ed Insurance Scheme: Every employee who become member of the Employees Provident fund Scheme/exempte d Provident Fund Scheme.

Administrative Charges a) Employees Provident Fund Scheme: 1.10% of total wages on which Provident Fund is recovered subject to a minimum o f Rs. 5/- shall be payable by the employer every month . Prior to 1.8.98, w.e.f. 1.8.98 .65% of total wages b) Employees Pension Scheme Scheme: No administrative charges are payable by the employer .The entire cost of admini stration is met by Central Government . c) Employees Deposit Lin ed Insurance Scheme: 0.01% of the total on which the Employees Deposit Lin ed Insurance contribution s recovered subject to a minimum of Rs. 2/- per month .

Inspection Charges a) Employees Provident Fund Scheme: 0.18% of the total wages on which Provident Fund is recovered . b) Employees Pension Scheme Scheme: Nil . c) Employees Deposit Lin ed Insurance Scheme: 0.005% of the total wages of the employees who are entitled to become members of the Employees Deposit Lin ed Insurance Scheme subject to a minimum of Re. 1/-

Duties of Employer a) Employees Provident Fund Scheme (Para 36)and (Para 36A): 1. Enrol the eligible employees as Employees Provident Fund subscriber fro m the right date.

2. Send initial returns in Form 5A , F9(Revised) , accompanied by F2(Revise d), monthly returns in F5, accompanied by F2, F10, F12A accompanied by challans and annual return in F3A accompanied by F6A. 3. To maintain the inspection note boo for an inspector to record his obse rvation. 4. Maintain such accounts in relation to the amounts contributed to the f und andby his employees. 5. To comply with all the directives issued by the Central Board for proper implementation of the scheme. Pay to the Fund within 15 days of the close of the month both the shares of cont ribution and administrative charges or inspection charges . b) Employees Pension Scheme Scheme (Para 20 EPS 95): There is no need to furnish a separate return by the employers. Pay to the Fund within 15 days of the month Pension Fund contributions. c) Employees Deposit Lin ed Insurance Scheme (Para 10): There is no need to furnish a separate return by the employers . Pay to the Fund within 15 days of the close of the month both the contributions and Administrative charges or Inspection charges .

DO S FOR A MEMBER: 1. While joining an establishment, furnish details of previous employment i f any, with previous Provident Fund a/c number and scheme certificate. 2. In case of existing Provident Fund/ Pension a/c, apply for transfer of p revious a/c number to the present a/c number. 3. Ensure that employee furnishes form with details of previous Provident F und a/c no. to Employees Provident Fund Organisation. 4. Execute form-2, in details of self, nominee for Provident Fund and pensi on and details of family and see that it is forwarded to Employees Provident Fu nd Organisation by the employer. 5. Ensure that particulars furnished are correct in all respects. 6. Ensure that enrolment to Employees Provident Fund/ Employees Pension S cheme is done immediately on joining the establishment. 7. Provident Fund is deducted at statutory rate from the total wages i.e. b asic, D.A. and retaining allowance if any. 8. If desirous of enhancing rate of contribution, inform the desire with th e higher rate opted for to Employees Provident Fund Organisation through employ er and allow employer to deduct at enhanced rate from the wages. 9. If the wages drawn is more than Rs. 6500/-, intimate your desire to cont ribute on the whole amount to Employees Provident Fund Organisation through emp loyer. Employer can also contribute on the whole amount drawn as wages under int imation to Employees Provident Fund Organisation. 10. Chec up periodically with the employer that contribution and other char ges are paid to Employees Provident Fund Organisation and ensure it s correctne ss by verifying the form-3A (contribution card) maintained by the employer.

DON TS FOR A MEMBER: DON TS FOR A MEMBER: 1. Don t give false clarification and incorrect particulars to Employer and Employees Provident Fund Organisation. 2. Don t fall victim to middlemen/ agents. Employees Provident Fund Organi zation does not have any agent. 3. Don t allow Employer to deduct his own share of contribution or administ rative charges payable by him from the wages.

4. Don t be a party to misclassified allowances, with a view to avoid payme nt of Provident Fund FOLLOWING DOCUMENTS ARE REQUIRED FOR DECIDING FINAL DATE OF COVERAGE I. MANUFACTURING UNIT 1 Copy of 1st partnership deed / memoranda and article of association 2 Extracts from 1st Year ledger / cashboo s for : 1st purchase of raw material 1st salary / wages paid 1st salaray / wages paid 1st sale 1st rent paid 3 Copy of 1st Sales tax assessment order 4 Copy of 1st Income Tax assessment order 5 Copy of 1st years balance sheet 6 Salary/wages registers, vouchers, boo s and balance sheets from date of start till date of provisional coverage done earlier 7 C.S.T & B.S.T. Certificate 8 Boo s of accounts ( Ledger, cash boo s etc.) since beginning. 9 Balance sheet / P&L account (in case of Limited company Annual Report si nce beginning.) 10 Shops & Establishment Registration Certificate/Factory Licence 11 Partnership deed in case partnership firm) and Memorandum of Association & Articles (In case of Limited Co.) 12 Salary/Wage register and Attendance Register since beginning. 13 Month wise strength of numbers of employees since beginning 14 List of Directors/Partners/ owners along with their residential addresse s 15 Name of the Ban ers, Address of the Ban and and name of the person resp onsible for financial affairs. II. RESTAURANT/RESIDENTIAL HOTEL 1 All the above documents except Sr. No. 1 2 Invitation card or paper-cutting of the advertisement regarding the inau guration of the restaurant/ hotel. 3 Eating House Licence from the public health department 4 Licence for public entertainment in the premises issued by the police de partment. 5 1st sale bill (either restaurant or room sale bill whichever is earlier) . 6 Room sale register. 7 Excise Certificate. 8 Bar permit licence (if any) CONTRIBUTION OF EMPLOYERS Rates of Contribution: a) The Employees Provident Fund Scheme In respect of establishments employing 20 or more persons and engaged in industr y notified under Section 6 of Act ( other than the Establishments. declared as sic ) 12% of the basic pay DA , Cash value of food concession and retaining al lowance , if any, subject to a maximum of Rs.6500/- per month. Voluntary higher contributions are also acceptable at the joint request of the member and the emp loyer . However, the rate of contribution is 10% in respect of the following cat egories of establishments: Any establishment covered prior to 22.9.97 in which less than 20 persons are emp loyed.

Any sic industrial company as defined in Clause(0) of Sub-Section(1) of Section 3 of the sic industrial companies ( special provisions ) Act 1985 and which ha

s been declared as such by the Board for Industrial and Financial Reconstruction . Any Establishment which has at the end of any financial year accumulated losses equal to or exceeding its entire net worth.

c) Employees Deposit Lin ed Insurance Scheme: No amount is recovered from employee s wages . Employer should pay 0.5% of total wages subject to a ceiling of Rs. 6500/- per month ( w.e.f. 1-06-2001 ). SUBMISSION OF RETURNS BY UN-EXEMPTED ESTABLISHMENTS FORM NO. DESCRIPTION PURPOSE One time Returns on Coverage 1 (Revised) Nomination form of EPF Scheme. This is given by PF members and utilised for releasing PF dues to the nominees. It also contains the details of the family members. Print Now 9 (Revised) The Employees Provident Funds Scheme , 1952 [para 36(1)] and th e Employees Pension Scheme 1995[para 20] . Return of employees who are enti tled and required to become members of the Employees Provident Fund and Pension Fund. (Within 15 Days of coverage). Print Now 5A The Employees Provident Funds Scheme , 1952 [para 36(a)] and the Employ ees Pension Scheme 1995[para 21] Return of ownership to be sent to the Re gional Commissioner. (in duplicate) Within 15 Days of coverage. Print Now Monthly 12A The Employees Provident Funds Scheme , 1952 [para 36(1)] and the Employ ees Pension Scheme 1995[para 20(4)] and The Employees Deposit Lin ed Insuranc e Scheme, 1976. Consolidated Statement of dues and remittance By 25th of the following month to which the dues relate. Print Now 5 The Employees Provident Funds Scheme , 1952 [para 36 (2)(a)] Return o f Employees qualifying for membership to the Employees Provident Fund for the f irst time during every month. Within 15 Days of the following month. Print No w 10 The Employees Provident Funds Scheme , 1952 [para 36 (2)(a) & (b) Return of members leaving service during the month. Print Now Annual 3A The Employees Provident Funds Scheme , 1952 [para 35 & 42] and the Empl oyees Pension Scheme 1995 (Para 19) Member s annual Contribution card : For m showing month wise recoveries towards E.P.F and Pension Fund in respect of a m ember for one financial year. To be furnished by the employer before 30th April of the following year. Print Now 6A The Employees Provident Funds Scheme , 1952 [para 43] and the Employees Pension Scheme 1975[para 20] Consolidated annual contribution stateme nt : This form provides annual contributions of each member of the establishment

Any Establishment engaged in manufacturing of (a) Jute , (b) Beedi , (c) Bric , (d) Coir (other than spinning sector), (e) Guar Gum Industries/Factories. b) The Employees Pension Scheme From and out of employer s share of Provident Fund contributions 8.33% of the t otal wages limited to Rs. 6500/- per month is segregated and credited to the Emp loyees Pension Fund in A/C No. 10 ( w.e.f. 1-06-2001 ). The Central Government also would contribute at the rate of 1.1 / 6% of total w ages.

. A vital form for compiling the annual Provident Fund statement of a subscribe r. To be submitted by 30th April. Print Now Occasional 2 11 The Employees Provident Funds Scheme , 1952 [para 34]. Declarat ion by a person ta ing up employment in an establishment in which the Employees Provident Funds & Family Pension Fund Scheme are in force. Print Now Contribution Challans . . SUBMISSION OF RETURNS BY EXEMPTED ESTABLISHMENTS FORM NO. DESCRIPTION PURPOSE One time Returns on Coverage Pension 3(PS) The Employees Pension Scheme 1995[para 20 (i)]. Consolidated Ret urn of employees who are entitled and required to become members of the Pension Fund on the date the Pension comes into force. Within 15 days of coverage. Print Now Employees Deposit Lin ed Insurance Scheme F1 (IF) The Employees Deposit Lin ed Insurance Scheme, 1976[para 10] . Consolidated Return of employees who are entitled and required to become members of the Insurance Fund on the date the Scheme comes into force. Within 15 days o f coverage. Print Now Monthly Returns Pension F4 (PS) The Employees Deposit Lin ed - Insurance Scheme, 1976 [para 10] . A re turn of members joining service during the month. Within 15 days of close of every month. Print Now F5 (PS) The Employees Pension Scheme 1995[para 20 (2)]. (leaving) Return o f Members Leaving Service During the Month. Within 15 days of close of every mon th. Print Now Employees Deposit Lin ed Insurance Scheme F2 (IF) The Employees Deposit Lin ed Insurance Scheme, 1976 [para 10] . Return of employees entitled for membership of Insurance Fund. Within 15 days of close of every month. Print Now F3 (IF) The Employees Deposit Lin ed Insurance Scheme, 1976 [para 10] . Return of members of Insurance Fund Leaving service during the month. Within 15 days of close of every month. Print Now Annual Returns Pension F7 (PS) The Employees Pension Scheme 1995[para19] . Contribution card for me mbers for the year : Form showing month wise recoveries towards Pension Fund in respect of a member for one financial . To be furnished by the employer before 3 0th April of the following year. Print Now F8 (PS) The Employees Pension Scheme 1995[para 20]. Consolidated annual cont ribution statement : This form provides annual contributions of each member of t he establishment . A vital form for compiling the annual PS statement of a subsc riber to be submitted by 30th April of the following years. Print Now Employees Deposit Lin ed - Insurance Scheme F4 (IF) The Employees Deposit Lin ed - Insurance Scheme, 1976 [para 10] . Consolidated annual contribution statement : This form provides annual contribut ions of each member of the establishment. A vital form for compiling the annual Insurance statement of a subscriber. Print Now F4 (IF) No. of employees and amount of inspection charges paid (.005%) of wages . Occasional Returns

Pension F9 The Employees Pension Scheme 1995[para 24] . Declaration by a person ta ing up employment in an establishment in which the Employees Pension Scheme is in force. Print Now

For reading material refer : Employees Provident Fund Scheme, 52 - para 69 , 70 , 72(1) , 72(2) , 72(3) , 7 2(3A) , 72(4). Forms prescribed for claiming the Provident Fund dues : By a member : through Form 19 On death of member by nominee/family member(s)/legal heirs: through Form 20 SETTLEMENT UNDER PARA 69-TO MEMBER: THROUGH FORM No.19 Immediate settlement without waiting period of 2 months Settlement only after a waiting period of two months 69(1)(a) Retirement after attaining 55 years of age. 69(1)(e)(i) transfer of a non retrenched employee from a closed establishment to uncovered establishment . 69(1)(b) Retirement on account of total and permanent incapacity due to bodily o r mental infirmity . 69(1)(e)(ii) Transfer of an employee from a covered esta blishment to an un-covered establishment under the same employer. 69(1)(d) Termination of service on retrenchment. 69(2) Other cases viz. R esignation, Leaving service, etc. 69(1)(dd) Termination on V.R.S Note: For female members leaving service for the purpose of getting married; waiting period not applicable. 69(1)(c) Migration from India for permanent settlement abroad or ta ing employme nt abroad. 69(1)(e)(iii) Members discharged & retrenchment compensation pai d under I.D. Act 1947. Settlement under para 70: (Accumulation of a deceased member) through Form No. 20 70(i) If a nomination exists, payment is made to the nominee in accordance with Form 2(R) . (Nomination and Declaration Form). 70(ii) If no nomination subsists, payment is to be made to every member of his f amily (as defined under para-2(g) of Employees Provident Fund Scheme 1952) in e qual share. For the purpose of this paragraph, a member s posthumous child, if b orn alive , shall be treated as a surviving child, born before the member s deat h. But the following will not be eligible for any share, if other family members ar e available to receive the accumulations. a. Major sons , b. Major sons of a deceased son , c. Married daughters whose husbands are alive , d. Married daughter of a deceased son whose husbands are alive. 70(iii) In cases where para 70(i), 70(ii) , does not apply, the payment is to be made to the person who is legally entitled to it, vide para 70(iii). In case th ere is no nominee and also there is no person entitled to receive the amount, if the amount to the credit of the fund does not exceed Rs. 10,000/-, the Commissi oner may pay such amount to the claimant after enquiry and after satisfying the title of the claimant. When the payment is to be made to a minor, it is payable to : a. The Guardian appointed under Guardian and Wards Act 1890 , failing (a),

PROVISIONS OF THE EMPLOYEES ES PROVIDENT FUND CLAIMS

PROVIDENT FUND SCHEME 1952 ON SETTLEMENT OF EMPLOYE

to b. The Guardian appointed by the member as per para 61(4A), failing (a),(b) , to c. To the natural guardian of the minor, failing (a) (b) (c), to d. To the person , considered to be the proper person by the commissioner w hen the amount not exceeding Rs.20,000/- or the person considered to be the prop er person , by the Chairman , C.B.T where the amount exceeds Rs. 20,000/- . Para -72(3) When the payment is to be made to a lunatic person , it is payable to: a. The Manager appointed for the minor s estate under Indian Lunacy Act ,19 12 failing (a), b. The natural guardian of the lunatic, failing (a)(b), c. To the person considered by the Commissioner as proper person , amount n ot exceeding Rs.20,000/- or to person considered by Chairman C.B.T as proper per son amount exceeding Rs. 20,000/-. Para-72(3A) Note: Maximum amount payable by money order is Rs.2000/- and beyond that by cheq ue. If the amount is beyond Rs. 500/-, the M.O. cost will be borne by the claima nt. Para 70(A): If a person entitled to received a share in the Provident Fund accumulations of a deceased member is charged with committing the murder of the member or with ab etting the crime, the share payable to such person shall be retained till the ca se is finalised . If, subsequently he/she is exonerated, the share will be paid to him/her. If such a person is found guilty and convicted, the share will be p aid equally to other person(s) entitled to receive the accumulations. WITHDRAWALS Types of Benefit Eligibility Eligible Amount Form Document ary Support The purchase of site for construction of house 5 Years of membership of the Fund (Minimum balance in members a/c should be Rs. 1000/-) * The purchase should be in favour of member or member & spouse. l 24 mon ths wages (Basic & DA) OR l Members own share of contribution + Companys share of Contribution with interest thereon No.31 A declaration from the member that, dwelling site or dwelling house/flat or the house under construction is free from encumberances and the same is und er the title of the member or the spouse (notification dated 25.2.2000) The Construction of House 5 Years of membership of the Fund (Minimum balance in members a/c should be Rs. 1000/-) * The purchase should be in favour of member or member & spouse. l 36 mon ths wages (Basic+DA) OR l Members own share of contribution + Companys share of contribution with intere st thereon No.31 A declaration from the member that, dwelling site or dwelling house/flat or the house under construction is free from encumberances and the same is und er the title of the member or the spouse (notification dated 25.2.2000) The purchase of dwelling flat 5 Year of membership of the Fund (Minimum balance in members a/c should be Rs. 1000/-) * The purchase should be in favour of member or member & spouse. l 36 mon ths wages (Basic+DA) OR l Members own share of contribution + Companys share of contribution with intere

st thereon No.31 A declaration from the member that, dwelling sit e or dwelling house/flat or the house under construction is free from encumberan ces and the same is under the title of the member or the spouse (notification da ted 25.2.2000) Additions, Alterations or improvements to the dwelling house 5 years from the date of completion of dwelling house 12 months basic or members own share of contribution with thereon. No.31 68 BB : REPAYMENT OF LOAN Types of Benefit Eligibility Eligible Amount Form Document ary Support Advance from the fund for repayment of loan 10 years membership of the fund & member should have ta en loan from Govt. Body 36 month wages (Basic + DA) OR Members own share of Contribution + Companys share of Contribution with interest thereon. No.31 A certificate from the lending authority furnishing the details of loan and outstanding amount. 68 J : ADVANCE FROM FUND FOR ILLNESS Types of Benefit Eligibility Eligible Amount Form Document ary Support Advance from the fund for illness viz. hospitalisation for more than a month, ma jor surgical operation or suffering from TB, Leprosy, Paralysis, Cancer, Heart a ilment etc. Stay in Hospital at least for a month 6 moths wages (Basic + D A) No.31 A certificate from the Medical Practitioner for hospitalisation or operation. 68 K : ADVANCE FROM THE FUND FOR MARRIAGE Types of Benefit Eligibility Eligible Amount Form Document ary Support l Advance from the fund for Marriage of self/son/daughter/ sister/brother etc. l Advance from the fund for education of Son/Daughter l 7 years membership of the fund & minimum balance in members account should be Rs. 1000/l 50% of members own share of contribution No.31 Declaration by the member which is attested by the employer. 68L : ADVANCE IN ABNORMAL CONDITIONS Types of Benefit Eligibility Eligible Amount Form Document ary Support Grant of advance in abnormal conditions, Natural calamities etc. l Certif icate of damage from appropriate authority. l State Govt. declaration. l Rs. 5000/- or 50% of members own share of contr ibution (To apply within 4 months) No.31 l Certificate from the Appropria te Authority. 68 M : ADVANCE TO MEMBER AFFECTED BY CUT IN THE SUPPLY OF ELECTRICITY Types of Benefit Eligibility Eligible Amount Form Document ary Support Grant of advance to members affected by cut in the supply of electricity l The advance may be granted only to a member whose total wages for any one mont h commencing from the month of January 1973 were 3/4th or less than 3/4th of wag es for a month l Wages for a month OR l Rs.300/No.31 Certificate from State Govt. regarding cut in the supply of electricity. 68 N : GRANT OF ADVANCE TO MEMBERS WHO ARE PHYSICALLY HANDICAPPED Types of Benefit Eligibility Eligible Amount Form Document ary Support To Physically Handicapped member for purchase of an equipment required to minimi ze the hardship on account of handicap. Production of medical certifica

te from a competent medical practitioner to the effect that he is physically han dicapped Basic wages+ DA for six months or own share of contribution with interest or cost of equipment which ever is le ast. No.31 Certificate from the Medical practitioner to the effect that the member is physically handicapped.. Note: For calculation/ computing the period of membership U/P 68B, 68BB, 68K, to tal service exclusive of periods of brea under the same employer before the sc heme is applied to him, as well as period of membership of the fund is always in cluded. Annual Statement of account As soon as possible and after the close of each period of currency of contributi on, annual statements of accounts will be sent to each member through the factor y or other establishment where the member was last employed. The statement of ac counts in the fund will show the opening balance at the beginning of the period, amount contributed during the year, the total amount of interest credited at th e end of the period or any withdrawal during the period and the closing balance at the end of the period. Members should satisfy themselves as to the correctnes s of the annual statement of accounts and any error should be brought through th e employer to the notice of the Provident Fund Office within 6 months of the rec eipt of the statement. Contribution E.S.I. Scheme being contributory in nature, all the employees in the factories o r establishments to which the Act applies shall be insured in a manner provided by the Act. The contribution payable to the Corporation in respect of an employe e shall comprise of employers contribution and employees contribution at a specifi ed rate. The rates are revised from time to time. Currently, the employees contri bution rate (w.e.f. 1.1.97) is 1.75% of the wages and that of employers is 4.75% of the wages paid/payable in respect of the employees in every wage period. Empl oyees in receipt of a daily average wage upto Rs.100/- are exempted from payment of contribution. Employers will however contribute their own share in respect o f these employees. Collection of Contribution An employer is liable to pay his contribution in respect of every employee and d educt employees contribution from wages bill and shall pay these contributions a t the above specified rates to the Corporation within 21 days of the last day of the Calendar month in which the contributions fall due. The Corporation has aut horized designated branches of the State Ban of India and some other ban s to r eceive the payments on its behalf. Contribution Period and Benefit Period There are two contribution periods each of six months duration and two correspon ding benefit periods also of six months duration as under. Contribution period Corresponding Cash Benefit period Contribution Period Cash Benefit Period 1st April to 30th Sept. 1st January of the following year to 30th June. 1st Oct. to 31st March 1st July to 31st December of the year following

Medical Benefit TYPE OF MEDICAL BENEFITS PROVIDED The Employees State Insurance Scheme provides full medical care in the form of me dical attendance, treatment, drugs and injections, specialist consultation and h ospitalization to insured persons and also to members of their families where th e facility for Specialist consultation, hospitalization has been extended to the families.

For the families, this benefit has been divided into two categories as under:FULL MEDICAL CARE This consists of hospitalization facilities and includes specialist services, dr ugs and dressings and diets as required for in-patients. EXPANDED MEDICAL CARE This consists of consultation with the specialists and supply of special medicin es and drugs as may be prescribed by them in addition to the out-patient care. T his also includes facilities for special laboratory tests and X-Ray examinations . Apart from the curative services provided through hospitals and dispensaries, th e Corporation also provides the following facilities including family welfare se rvices. IMMUNIZATION The Corporation has embar ed upon a massive programme of immunization of young c hildren of insured persons. Under this programme, preventive inoculation and vac cines are given against diseases li e diphtheria, pertusis, polio, tetanus, meas les, mumps, rubella, tuberculosis etc. FAMILY WELFARE SERVICES Along with the immunization programme, the Corporation has been underta ing prov ision of family Welfare Services to the beneficiaries of the Scheme. The Corpora tion has organized these services in 180 centres besides reserving 330 beds in h ospitals for underta ing tubectomy operations. So far, 828976 sterilization oper ation viz. 176197 vasectomies and 652779 tubectomies have been performed upto 31 .3.1999. The ESI Corporation has also extended additional cash incentive to insu red persons to promote acceptance of sterilization method by providing sic ness cash benefit equal to full wage for a period of 7 days for vasectomy and 14 days for tubectomy. The period for which cash benefit is admissible is extended beyo nd the above limits in the event of any complications after Family Planning oper ations. SUPPLY OF SPECIAL AIDS Insured persons and members of their families are provided artificial limbs, hea ring aids, and artificial appliances li e spinal supports, cervical collars, wal ing calipers, crutches, wheel chairs and cardiac pace ma ers as a part of medic al care under the Scheme. Sic ness Benefits Sic ness Benefit represents periodical cash payments made to an IP during the pe riod of certified sic ness occurring in a benefit period when IP requires medica l treatment and attendance with abstention from wor on medical grounds. Prescri bed certificates are; Forms 8,9,10,11 & ESIC-Med.13. Sic ness benefit is 70% of the average daily wages and is payable for 91 days during 2 consecutive benefit periods. Qualifying Conditions (i) To become eligible to Sic ness Benefit, an IP should have paid contribut ion for not less than 78 days during the corresponding contribution period. (ii) A person who has entered into insurable employment for the first time ha s to wait for nearly 9 months before becoming eligible to sic ness benefit, beca use his corresponding benefit period starts only after that interval. (iii) Sic ness Benefit is not payable for the first two days of a spell of sic ness except in case of a spell commencing within 15 days of closure of earlier spell for which sic ness benefit was last paid. This period of 2 days is called "waiting period". This provision should be clearly understood by IMOs/IMPs as ac tual experience shows that such of IPs who want to avail medical leave on flimsy grounds generally come for First Certificate/First & Final Certificate within 1 5 days of earlier spell, usually on unpaid holidays and/or on each wee ly off et c, to avoid loss of benefit for 2 days due to fresh waiting period. Extended Sic ness Benefit (ESB)

IPs suffering from long term diseases were experiencing great hardship on expiry of 91 days Sic ness benefit. Often they, though not fit for duty, pressed for a Final certificate. Hence, a provision for paying Sic ness Benefit for an extend ed period (Extended Sic ness Benefit)of upto 2 years in a ESB period of 3 years. 1. An IP suffering from certain long term diseases is entitled to ESB, only afte r exhausting Sic ness Benefit to which he may be eligible. A common list of thes e long term diseases for which ESB is payable, is reviewed by the Corporation fr om time to time. The list was last reviewed on 5.12.99 and revised provisions of ESB became effective from 1.1.2000 and at present this list includes 34 disease s which are grouped in 11 groups as per International Classification of diseases and theo names of many existing diseases have been changed as under :I Infectious Diseases 1. Tuberculosis 2. Leprosy 3. Chronic Empyema 4. AIDS II Neoplasms 5. Malignant Diseases III Endocrine, Nutritional and Metabolic Disorders 6. Diabetes Mellitus-with proliferative retinopathy/diabetic foot/nephropat hy. IV Disorders of Nervous System 7. Monoplegia 8. Hemiplegia 9. Paraplegia 10. Hemiparesis 11. Intracranial Space Occupying Lesion 12. Spinal Cord Compression 13. Par insons disease 14. Myasthenia Gravis/Neuromuscular Dystrophies V Disease of Eye 15. Immature Cataract with vision 6/60 or less 16. Detachment of Retina 17. Glaucoma VI Diseases of Cardiovascular System 18. Coronary Artery Disease:(a) Unstable Angina (b) Myocardial infraction with ejection less than 45% 19. Congestive Heart Failure- Left , Right 20. Cardiac Valvular Diseases with failure/complications 21. Cardiomyopathies 22. Heart disease with surgical intervention alongwith complications VII Chest Diseases 23. Bronchiectasis 24. Interstitial Lung Disease 25. Chronic Obstructive Lung Diseases (COPD) with congestive heart failure ( Cor Pulmonale) VIII Diseases of the Digestive System 26. Cirrhosis of liver with ascities/chronic active hepatitis IX Orthopaedic Diseases 27. Dislocation of vertebra/prolapse of intervertebral disc 28. Non union or delayed union of fracture 29. Post Traumatic Surgical amputation of lower extremity

30.

Compound fracture with chronic osteomyelitis

X Psychoses 31. Sub-group under this head are listed for clarification (a) Schizophrenia (b) Endogenous depression (c) Manic Depressive Psychosis (MDP) (d) Dementia XI Others 32. More than 20% burns with infection/complication 33. Chronic Renal Failure 34. Reynauds disease/Burgers disease. 1. In addition to the above list, Director General/Medical Commissioner are auth orised to sanction ESB for a maximum period upto 730 in cases of rare but treata ble diseases or under special circumstances, such as, adverse reaction to drugs which have not been included in the above list, depending on the merits of each case, on the recommendations of RDMC/AMO or either authorised officers runniong the medical scheme. 2. To be entitled to the Extended Sic ness Benefit an Insured Persons should hav e been in continuous employment for 2 years or more at the beginning of a spell of sic ness in which the disease is diagnosed and should also satisfy other cont ributory conditions. 3. ESB shall be payable for a period of 124 days initially and may be extended u p to 309 days in chronic suitable cases by Regional Dy. Medical Commissioner/Med ical Referee/Administrative Medical Officer/Chief Executive of the E.S.I. Scheme in the State or his nominee on the report of the specialist(s). Enhanced Sic ness Benefits It was introduced w.e.f 1.8.1976 as an incentive to IPs/IWs for undergoing Vasec tomy /Tubectomy. Insured Persons eligible to ordinary sic ness benefit are paid enhanced sic ness benefit at 100% of average daily wages for undergoing sterilis ation operations for family welfare. Duration of enhanced Sic ness Benefits is u pto 7 days in the case of Vasectomy and upto 14 days in the case of the Tubectom y from the date of operation or from the date of admission in the hospital as th e case may be. The period is extendable in case of post operative complications Maternity Benefit Maternity Benefit is payable to an Insured Woman in the following cases subject to contributory conditions:Confinement-payable for a period of 12 wee s (84 days) on production of Form 21 and 23. Miscarriage or Medical Termination of Pregnancy (MTP)-payable for 6 wee s (42 da ys) from the date following miscarriage-on the basis of Form 20 and 23. Sic ness arising out of Pregnancy, Confinement, Premature birth-payable for a pe riod not exceeding one month-on the basis of Forms 8, 10 and 9. In the event of the death of the Insured Woman during confinement leaving behind a child, Maternity Benefit is payable to her nominee on production of Form 24 ( B). Maternity benefit rate is 100% of average daily wages. Temporary Disablement Benefit (a) TDB is payable to an employee who suffers employment injury (EI) or Occupati onal Disease and is certified to be temporarily incapable to wor . "Employment I njury" has been defined under Section 2(8) of the Act, as a personal injury to a n employee caused by accident or occupational disease arising out of and in the course of his employment, being in insurable employment, whether the accident oc curs or the occupational disease is contracted within or outside the territorial limits of India. b. Certificates Required for TDB:

Accident Report in form 16, Form 8,9,10, 11 and ESIC Med.13. c. Eligibility for TDB : The benefit is not subject to any contributory conditions. An IP is eligible fro m the day he joins the insurable employment. (d) TDB Rate is 90% of average daily wages. d. Duration of TDB : There is no prescribed limit for the duration of TDB. This is payable as long as temporary disablement lasts and significant improvement by treatment is possibl e. If a Temporary Disablement spell lasts for less than 3 days (excluding day of accident), IP will be paid sic ness benefit, if otherwise eligible. A special p oint for IMOs/IMPs is that some IPs may resist ta ing a Final Certificate especi ally before 3 days for fear of loss of TDB. Permanent Disablement Benefit (a) PDB is payable to an IP who suffers permanent residual disablement as a resu lt of EI (including Occupational Diseases) and results in loss of earning capaci ty. The proper authority for assessing loss of earning capacity for injuries is the Medical Board and for Occupational Diseases, Special Medical Board. (b) The duration of PDB may be for the period given by Medical Board, if assessm ent is provisional or for entire life if assessment is final. (c) PDB Rate: The PDB rate is calculated as percentage of loss of earning capaci ty as assessed by the Medical Board/MAT/EI Court in relation to TDB. List of inj uries deemed to result in permanent total disablement and percentage loss of ear ning capacity has been previewed in 2nd Schedule to ESIC Act, 1948. Hence, the m aximum rate of PDB can be equal to the rate of TDB. PDB amount is revised by the ESIC from time to time to adjust for inflation. The latest enhancement is with effect from 01.08.2009 (d) Commutation of PDB (Regulation 76-B): IP whose PDB has been assessed as fina l and who has been awarded the same at the rate not exceeding Rs.1.50 per day ma y apply for commutation of periodical payments of PDB into a lump-sum. When an a pplication for commutation is made within 6 months of the date of communication of Medical Board decision periodical payments shall be commuted into a lump sum provided the total commuted value does not exceed Rs.10,000 at the time of comme ncement of final award. However, where such an application is made after expiry of 6 months, LO/RO will refer the case to MR/PTMR to certify whether the IP has an average expectation of life for his age. Such a certificate is issued by Medi cal Referee in the relevant place on RO/LO letter. (e) Age of an IP will have to be proved to the satisfaction of the Corporation i n all cases. Medical Boards assess the age of IPs who are not able to produce sa tisfactory proof of age and opinion of Medical Board shall be final in this rega rd. Dependants Benefit The dependants benefit is payable to the dependants as per Section 52 of the Act read with provision of 6(A) of Section 2 in cases where an IP dies as result of EI. The age of dependants, has to be determined either by production of Document ary evidence as specified in Regulation 80(2) or Age certified by Medical Office r In charge of Government Hospital or Dispensary. The minimum rate of DB w.e.f 1.1.90 is Rs.14/- per day and these rates of the DB are increased from time to time. The latest enhancement is with effect from 01. 08.2009 Dear Sapna,

In addition to my friend Teli epalli s reply, I shall give the details on calcul ation of Gratuity. For gratuity calculation, the formula is Number of years of service x last drawn salary x15 /26. 1. Number of years of service : If the service comprises of completed years and a fraction of year, the fraction has to be rounded to full year. i.e. If the fra ction is 6 months or below, it will be rounded down. And if it is above six mont hs, it will be rounded up. 2. Last drawn salary : Practically it is advisable to ta e average salary of pre ceeding twelve months. For eg : Let the service as 5 years and salary as Rs. 26,000. Gratuity calculation is = 5 x 26000 x 15/26 = Rs. 75,000. Note : Now the ceiling limit for gratuity is Rs. 10,00,000. But if employer wish , he can give above Rs. 10,00,000. But as per section 10(10) of Income Tax Act, tax exemption is limited to Rs. 10,00,000. After 5 years if you continue for 6 m onths and one day in service, you will be eligible to get 6 years gratuity. Attribution: http://www.citehr.com/299554-gratuity.html#ixzz294tz7ZwF Payment of Bonus Act, 1965 in brief Posted In Corporate Law | Articles | 38 Comments Applicability of Act (Sec 1) Every factory wherein 10 or more persons are employed with the aid of power or A n establishment In which 20 or more persons are employed without the aid of powe r on any day during an accounting year. Establishment : Establishment includes departments, underta ings and branches, e tc. Computation of available surplus (Sec.5) : The following sums shall be deducted from the gross profits as prior charges, namely:(a) any amount. by way of depreciation admissible in accordance with the provis ions of sub-section (1) of section 32 of the Income-tax Act, or in accordance wi th the provisions of the agricultural income-tax law, as the case may be: Provided that where an employer has been paying bonus to his employees under a s ettlement or an award or agreement made before the 29th May, 1965, and subsistin g on that date after deducting from the gross profits notional normal depreciati on, then, the amount of depreciation to be deducted under this clause shall, at the option of such employer (such option to be exercised once and within one yea r from that date) continue to be such notional normal depreciation; (b) any amount by way of 2[development rebate or investment allowance or develo pment allowance] which the employer is entitled to deduct from his income under the income-tax Act; (c) subject to the provision of section 7, any direct tax which the employer is liable to pay for the accounting year in respect of his income, profit and gain during that year; Components of Bonus :- Sec. 2(21) : Salary or wages includes dearness allowance but no other allowances e.g. over-time, house rent, incentive or commission. Separate establishment (Sec. 3) : I profit loss accounts are prepared and mainla nd in respect of any such department or underta ing or branch, then such departm ent or underta ing or branch is treated as a separate establishment. Disqualification and Deduction of Bonus : Sec 1 : On dismissal of an employee for fraud; or riotous or violent behaviour while on the premises of the establishment; or theft, misappropriation or sabotage of any property of the establishment; or

 Misconduct of causing financial loss to the employer to the extent that bonus ca n be deducted for that year. Computation of gross profits : For ban ing company, as per First Schedule. Other s, as per Second Schedule. Eligibility of Bonus : An employee will be entitled only when he has wor ed for 30 wor ing days in that year. Sec. 8 Payment of Minimum Bonus : 8.33% of the salary or Rs.100 (on completion of 5 yea rs after 1st Accounting year even if there is no profit). Sec. 10 Eligible Employees: Employees drawing wages upto Rs.10000/- per month or less. For calculation purposes Rs.3500 per month maximum will be ta en even if an empl oyee is drawing upto Rs.3500 per month. (Sec. 12) Time Limit for Payment of Bonus : Within 8 months from the close of accounting y ear. (Sec. 19) Set-off and Set-on : As per Schedule IV. Sec. 15 Submission of Return : In Form D to the inspector within 30 days of the expiry o f time limit under Section 19. Rule 5 Maintenance of Registers and Records etc. Sec. 2(21) : A register showing the computation of the allocable surplus referred to In claus e (4) of section 2, in Form A. A register showing the set-on and set-off of the allocable surplus, under sectio n 15, in Form B. A register showing the details of the amount of bonus due to each of the employe es, the deductions under sections 17 and 18 and the amount actually disbursed, I n Form C. Non applicability of the Act: Act not applicable to certain employees of LIC. Ge neral Insurance, Doc Yards, Red Cross, Universities* Educational Institutions, Chambers of Commerce, Social Welfare Institutions. etc. Sec.32 Penalty : For contravention of any provision of the Act or the Rules: Upto 6 mon ths or with fine upto Rs.1000. Sec.28