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Unit 13: Industrial Law

Under the Employees' Provident Fund Scheme, the Central Government, on the Notes
recommendation of the Central Board of Trustees, declares the rate of interest to be credited
annually to the accounts of provident fund subscribers.
7. The employer is required to prepare a contribution card in Form 3-A, in respect of each
member-employee. The card shall be valid for a period of one year and thereafter a new
card shall be prepared for the next year. The wages of employee, provident fund and
family pension fund contribution recovered and remitted every month and break in
reckonable service should be entered therein.
8. The employer is required to send to the Commissioner, a Monthly Return of Contributions
within 25 days of close of each month, along with receipted triplicate copies of challans for
the amount of Provident Fund, Family Pension Fund and Deposit-linked Insurance Fund
contributions and the administrative charges deposited into the State Bank of India.
9. If no contributions have been recovered during a month, a nil return shall be furnished by
the employer. The employer should retain a duplicate copy of the statement and the
fourth copies of the challans with himself.
10. The employer should send to the Commissioner a Consolidated Annual Contribution
Statement in Form 6A within one month of the close of the year, showing the employer's
and employee's contribution in respect of each employee made during the year. The
employer should retain a duplicate copy of the statement with himself.
13.3.2 Employees Benefits under the Scheme

1. Under the scheme, a member can withdraw the full amount standing to his credit in the
fund, in the event of:

(a) Retirement from service after attaining the age of 55;
(b) Retirement on account of permanent and total incapacity;
(c) Migration from India for permanent settlement abroad; and
(d) Termination of service in the course of mass retrenchment (involving 3 or more
persons). The membership for this purpose is reckoned from the time of joining the
covered establishment till the date of the settlement of the claim.

2. A member can withdraw up to 90% of the amount of provident fund at credit after attaining
the age of 54 years or within one year before actual retirement on superannuation,
whichever is later.

3. The Scheme provides for non-refundable partial withdrawals/advances to meet certain
contingencies:
(a) Financing of life insurance policies;

(b) House-building;
(c) Purchasing shares of consumer co-operative credit housing societies;
(d) During temporary closure of establishments;

(e) Illness of member, family members;
(f) Member's own marriage or for the marriage of his/her sister, brother or daughter/
son and post-matriculation education of children;

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