Gazette Notifications

Central

Payment Of Gratuity (Amendment) Act, 2018

As per Gazette notification S.O.1420(E) Central Government, in exercise of powers conferred by Section 4(3) of the Payment Of Gratuity Act,1972, has specified that the amount of gratuity payable to an employee shall not exceed twenty lakh rupees with effect from 29th March 2018

Central

Enhancement Of Coverage Of Pradhan Mantri Rojgar Protsahan Yojana Towards Provident Fund

As per press note published by the Press Information Bureau dated 28th March 2018, Government of India will now contribute the Employer's full admissible PF contribution for the first three years from the date of registration of the new employee for all the sectors including existing beneficiaries for their remaining period of three years. The scheme has a dual benefit i.e. on the one hand the employers are incentivized for increasing the employment base of workers in the establishments, and on the other hand a large number of workers will find jobs in such establishments. A direct benefit is that these workers will have access to social security benefits of the organized sector. PMRPY has been in operation since August, 2016. In this scheme, Government is paying the 8.33% contribution of Employers to the Employees' Pension Scheme (EPS) in respect of new employees (who have joined on or after 1st April 2016) having a new Universal Account Number (UAN), with salary up to Rs. 15,000/- per month

Central

EPFO Permits UAN Generation Without Aadhar For Enrolment In EPS Under Certain Cases

As per EPFO circular dated 26th March 2018, the EPFO has cited concerns of some employers in initial enrolment due to non-possession of Aadhar number. Thus, in order to avoid delay in remittance of contributions of new employees joining without possessing Aadhar number, PF department has decided to make available an additional route for allotment of UAN for enrolment as member of Employees Pension Scheme, 1995. Below are the guidelines towards following the process: (i)Employers may apply to the RPFC for generating UAN for such employees. (ii) RPFC will generate UAN based on the undertaking of such employees forwarded through the employer stating that he/she does not have Aadhar number for generation of UAN, (iii) RPFC will also verify identity of such employees. (iv)The UAN thus generated shall be forwarded to Employers concerned to file ECR for such employees under intimation to the concerned employees about their UAN. Hence PF Department is pushing for making ease of compliance for employers and thereby ensuring benefit is provided to members

Central

Clarification Towards Status Of Re-Entrant Employees With Regard To Their Benefit Period, Maternity Benefit

As per ESIC circular dated 20th March 2018, The ESIC has clarified that the person who was already been an employee but has ceased to be an employee either due to his/her wages going above the coverage limit or due to any other reason, once re-enters as an employee for the second time, the benefits for the employee would henceforth be governed by the general contribution and benefit periods mentioned in Regulation 4 of the ESI (General) Regulations 1950, than the current system of the person not becoming an employee within the meaning of the Act for the first time and therefore making the employee to complete the stipulated nine months period again to start benefit period to become eligible for Benefits under the Act. ESIC also while examining the matter towards a previous notification dated 17th Dec 2008 on eligibility conditions for maternity benefit wherein it was mentioned that "the claim of re-entered Insured Woman may be settled in the same manner as that of Newly Insured Women", wherein she would have to complete a period of 9 months again to start her benefit period. Due to this many rightly payable maternity benefit claims were rejected. Hence the ESIC has now withdrawn the earlier notification and has clarified that re-entrant employees are to be governed by the general contribution and benefit periods, provided they have completed a period of 9 months once when they became an employee within the meaning of the Act for the first time. The current system to complete the stipulated nine months period again from the date of re-entrant to avail Maternity benefit under the Act stands withdrawn. Hereby it is also clarified that to work out the entitlement of maternity benefit, two consecutive Contribution period to be taken immediately prior to the actual or expected date of confinement. Taking both the Contribution period together. if the contribution was payable for not less than 70 days, the insured woman would be eligible. Even if she satisfies this contributory condition in one or the other of the said two contribution periods, she shall be entitled for maternity benefits

Central

The Industrial Employment (Standing Orders) Central (Amendment) Rules, 2018

As per the notification published in the official gazette dated 16th March 2018, the Government of India has amended the schedule under the Industrial Employment (Standing Orders) Act, 1946 and various provisions towards the Industrial Employment (Standing Orders) Central Rules, 1946. As per the amendment "Fixed Term Employment" has now been introduced irrespective of the industry of work. The amendment also directs that no employer of an industrial establishment shall convert the posts of the permanent workmen existing in his industrial establishment on the date of commencement of the Industrial Employment (Standing Orders) Central (Amendment) Rules, 2018 as fixed term employment thereafter. The hours of work, wages, allowances shall not be less than that of permanent workman and all statutory benefits available to a permanent workman proportionately according to the period of service rendered by him even if his period of employment does not extend to the qualifying period of employment required in the statute. The schedules under the Rule have also been amended to incorporate the changes

Central

EPFO Exempts Submission Of Aadhar As Identity Document Under EPS In Assam Till 31st March 2018

As per EPFO circular dated 6th March 2018, the EPFO in furtherance to previous circulars released on the matter has cited that difficulties are being faced by the pensioners and members of Employees' Pension Scheme, 1995 in the State of Assam and EPFO has decided that Aadhar may not be insisted from new members who join EPS 1995 till 31st March 2018. Aadhar may also not be insisted for composite pension claim form for members working in establishment located in the State of Assam till 31st March 2018

Central

PF Settlement And Claims Through Online Mode Now Made Mandatory For Certain Cases

As per circular dated 27th February 2018, the EPFO has directed that in case the amount of claim settlement is above Rupees Ten lakhs for PF claims and Rupees Five lakhs in respect of the EPS withdrawal claims, the claim form must be accepted through online mode only. The bank account of such PF members should have been seeded and verified in the system before settling such claims. Accordingly, all claims exceeding the above limits should not be accepted in the physical form. Hence the EPFO is pushing for ease of compliance digitally for all large settlements as mentioned above which will be error free and save time for the members

Central

The Employees Deposit Linked Insurance (Amendment) Scheme, 2018

As per the Employees Deposit Linked Insurance (Amendment) Scheme, 2018 published in the gazette dated 15th February 2018, the Central Government has amended the Employees’ Deposit Linked Insurance Scheme, 1976 and has brought important amendments whereby the assurance benefits shall not be less than two lakhs and fifty thousand rupees and further that the assurance benefit shall not exceed six lakhs under para 22 (3). The said changes shall be in force for a period of two years from 15th February 2018. For example, as per Para 22 (3) the calculation will be as follows: Assuming the average monthly wages drawn to be INR 15,000, during the twelve months preceding the month in which he died and multiplying this sum by thirty times, it equals INR 4,50,000. Plus fifty per cent. of the average balance in the account of the deceased in the Fund or of a provident fund exempted under section 17 of the Act or under paragraph 27 or 27A of the Employees’ Provident Funds Scheme, 1952, as the case may be, during the preceding twelve months or during the period of his membership, whichever is less subject to a ceiling of one lakh and fifty thousand rupees (assuming in this example, the average balance is above 300000), it will be INR 1,50,000. Thus, Total Assurance benefit (maximum possible) INR 6,00,000 (4,50,000 + 1,50,000). The Minimum assurance benefit irrespective of the average salary of the deceased employee along with all the accumulations and calculations made under Paragraph 22 (3) shall be awarded at INR 2,50,000. This means that no matter the sum amounting after calculation, assurance benefit of INR 2,50,000 minimum is guaranteed

Central

The Apprentices (Maharashtra Amendment) Act, 2017

As per notification published in the official gazette dated 9th February 2018, the Government of Maharashtra has issued Apprentices (Maharashtra Amendment) Act, 2017 (“Amendment Act”) on 9th February, 2018 amending Apprentices Act, 1961 (“Principal Act”), in its application to the State of Maharashtra. The amendments have been made towards the Section 6 (Period of apprenticeship training), Section 7(Termination of apprenticeship contract), Section 8(Number of apprentices for a designated trade and optional trade), Section 13(Payment to apprentices) and Section 21(Holding of test and grant of certificate and conclusion of training). The State Government shall by separate notification release the effective dates for said amendments

Central

Return Of Ownership And Amendment Towards PF Registration Now Made Online

As per EPFO circular dated 25th January 2018, that every employer in relation to a factory or other establishment to which the Employees' Provident Funds & Miscellaneous Provisions Act, 1952 applies, shall furnish online/electronically in Form No. 5A, particulars of all branches and departments, owners, occupiers, Directors, Partners, Manager or any other person or persons who have the ultimate control over the affairs of such factory or establishment and also furnish details of changes in such particulars within 15 days of such change. E-sign facility has been provided to the employers for online submission of Form No. 5A. EPFO or PF Office have also stated that Offline/Physical submission of Form No. 5A stands discontinued. Details for online submission of Form No. 5A are available on the website of the EPFO (Employees' Provident Fund Organization). EPFO or PF Field offices have also been directed to not ask hard copies in case of submission of form 5A with digital/e-signatures by employers