2023 · Q95
Which one of the following statements is correct regarding the Employees’ Provident Fund and Miscellaneous Provisions Act, 1952, is not correct?
Social Security in IndiaEPF & MP Act, 1952
- AIt makes provisions for pension schemes including family pension.
- BIt makes provisions for Employees’ Deposit Linked Insurance Scheme.
- CThe provisions of the Act shall not be applicable to Cooperative Societies employing fifty or more persons working without the aid of power.
- DThe contribution by the employer to the Fund shall be on the basis of the basic wage, dearness allowance and retaining allowance (if any) of the employee.
Explanation
Section 16(1)(c) of the EPF & MP Act, 1952 exempts only co-operative societies employing fewer than 50 persons and working without the aid of power. A co-operative society employing fifty or more persons is therefore covered by the Act regardless of power use, so statement (c), which claims it is not applicable, is the not-correct statement. Statements (a), (b) and (d) correctly describe the pension scheme, the deposit-linked insurance scheme and the contribution base. Hence (c).