The Employees ‘ Provident Fund organisation has given a major relief to the companies, establishment operators. These institutions will not have to pay compensation if they have not deposited the contribution during the lockdown. However, 12 per cent interest has to be paid. An order has been issued on behalf of the Department in this regard.
The contribution of employees of the company, firm, establishment under the purview of PF department is to be deposited by the 15th of the second month. The delay has to be compensated and interested. Since the lockdown is declared from 25th March to 31st May. Due to this, the companies have been exempted from compensation. Senior vice president of the Employees Welfare Coordination Committee, Uttar Pradesh, Rajesh Kumar Shukla said that this will benefit the employers during the lockdown.
This is how compensation looks
2 months on delay: five percent
On 2 to 4 months delay: 15 percent
25 percent on 4 to 6 month delay
On delays of more than 6 months: 100 percent
