Supreme court ruiling on PF
With regards to the Supreme court ruling in relation to special allowances to be part of Basic wages
1) What will be the impact in the books of account of the employer?
2) Is there any time horizon for applying the retrospective effect? more
With regard to time of horizon for applying retrospectively, it is million dollar question as SC has not specified. Further, in case of already retired employees,
1) who will calculate the contribution based on revised formula as the scheme started in 1971 amended in 1985 and 1995
2) In case of already settled employees, will they give back the amount to the PF office to get the revised pension.
3) How many of them are alive as on date
4) Provision of Data of old records of salary monthwise by employers.
5. If applied and retired employers are ready to give back the part of PF contribution, how much it will cost the exchequer.
This is a herculean task if to be implemented. more
Secondly the time horizon is not clear in the judgement but best is from the date of joining of employee whose basic wags below rs. 15000/- pm. if the employee period is very long then u can discussed the matter with PF inspector or PF Commissioner Directly. more