{"id":291399,"date":"2023-05-05T17:30:28","date_gmt":"2023-05-05T12:00:28","guid":{"rendered":"https:\/\/www.scconline.com\/blog\/?p=291399"},"modified":"2023-05-05T17:33:52","modified_gmt":"2023-05-05T12:03:52","slug":"govt-notifies-social-security-code-effective-date-for-pf-pension-scheme-provisions","status":"publish","type":"post","link":"https:\/\/www.scconline.com\/blog\/post\/2023\/05\/05\/govt-notifies-social-security-code-effective-date-for-pf-pension-scheme-provisions\/","title":{"rendered":"Government notifies effective date of Social Security Code provisions relating to Provident Fund Scheme"},"content":{"rendered":"
\n

The Ministry of Labour and Employment appoints 3-5-2023 as the date on which the following provisions of the Social Security Code, 2020<\/a> came into force—<\/p>\n

1. Section 15 (3)<\/b> relates to “Schemes”<\/b> and talks about any or all of its provisions to take effect either prospectively or retrospectively on and from such date as may be specified in that behalf in the scheme.<\/p>\n

2. Section 16(1)(a)<\/b> relates to Provident Fund Scheme<\/b> where the contributions paid by the employer to the fund will be 10% of the wages for the time being payable to each of the employees, whether employed by him directly or by or through a contactor. The employee’s contribution will be equal to the contribution payable by the employer in respect of him. The employee, if he desires, can also contribute an amount exceeding 10% of the wages, subject to the condition that the employer will not be under an obligation to pay any contribution over and above his contribution payable under this section, i.e. 10% of the wages.<\/p>\n

The Central Government can modify this section through notification and change the percentage of contribution from 10% to 12% and also can specify rates of employees’ contributions and the period for which such rates will apply for any class of employee;<\/p>\n

3. Section 16(1)(b)<\/b> relates to the Pension Scheme.<\/b> It provides that-<\/p>\n

“(b) the Pension Scheme, establish a Pension Fund in the manner specified in that scheme by that Government into which there shall be paid, from time to time, in respect of every employee who is a member of the Pension Scheme,—<\/i><\/p>\n

(i) such sums from the employer’s contribution under clause (a) not exceeding eight and one-third per cent of the wages or such per cent of wages as may be notified by the Central Government;<\/i><\/p>\n

(ii) such sums payable as contribution to the Pension Fund, as may be specified in the Pension Scheme, by the employers of the exempted establishments under Section 143 to which the pension scheme applies;<\/i><\/p>\n

(iii) such sums as the Central Government after due appropriation by Parliament by law in this behalf, specify;”.<\/i><\/p>\n

4. Section 16 (2) provides<\/b> that the Provident\/ Pension\/ Insurance Fund will be administered by the Central Board.<\/p>\n

5. Part of Section 143<\/b> (Power to exempt establishment) which applies in giving effect to the provisions of Section 16(1)(b)(ii) in relation to the Employees’ Pension Scheme, 1995<\/a>.<\/b><\/p>\n

6. Section 164(1)<\/b> repeals the corresponding provisions of the Employees’ Provident Funds and Miscellaneous Provisions Act, 1952<\/a>.<\/p>\n

7. Part of Section 164 (2) (b)<\/b> which relates to the Employees’ Provident Funds Scheme, 1952<\/a>.<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

The Ministry of Labour and Employment appoints 3-5-2023 as the date on which the following provisions of the Social Security Code, 2020 <\/p>\n","protected":false},"author":67515,"featured_media":291408,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[4,1193],"tags":[57392,29743,44081,57393],"class_list":["post-291399","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-legislationupdates","category-notifications","tag-enforcement-date","tag-ministry-of-labour","tag-social-security-code","tag-with-effect-from"],"yoast_head":"\nGovt. notifies Social Security Code effective date for PF and Pension Scheme provisions | SCC Blog<\/title>\n<meta name=\"description\" content=\"Ministry of Labour and Employment notified May 3, 2023 as the Social Security Code effective date for provisions on PF and Pension Scheme.\" 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