MANAGEMENT & LABOUR LAW ADVISOR 

The Employees Provident Funds and Miscellaneous Provisions Act holds the most important position among the social security. The act came into existence in 1952 to ensure compulsory Provident Fund, Employees Pension Scheme and Deposit Linked Insurance Scheme in establishments for the benefit of employees. It applies to establishments which employees 20 or more employees and exemption if less than 20 employees.

An employee whose pay is less than Rs. 15,000 per month compulsorily have to contribute to EPF and if employee whose pay is more than Rs. 15,000 per month have an option to contribute or not.

Contribution is equally contributed by the employer and the employee at rate of 12%.