EPFO circular has been released to monitor exempted establishments but do you understand how its going to be monitored & what are its parameters ??
Exempted establishments are the organizations allowed by the EPFO to form its own PF trust for its employees. Several large corporations, as well as public sector companies, are among exempt establishments. However, these organizations have to ensure that they provide to the employees at least what the EPFO would have.
EPFO has recently published the performance evaluation data of all the 1,552 exempted organizations for July 2017 on their website ( You can download it from here )
Do you know now exempted establishments can be evaluated ??
Members of exempted organizations will be able to check the performance of their Provident Fund. EPFO circular has been passed to evaluate the performance of exempted establishments and rank them.
You can download this EPFO circular from the following link :
EPFO will evaluate the performance of exempted trust based on the below parameters :
1) Transfer of Fund Before Due Date
3) Remittance to the Trust
4) Interest Declared
5) Claim Settlement
6) Audit of Accounts
Now, lets have a look at the above 6 parameters in detail :
• Transfer of Fund Before Due Date
Companies will earn 100 points who have transferred the PF before the due date. Points will be deducted proportionately if the fund is transferred after due date.
100 points will be given to companies whose trust has invested 70% or more of the investable corpus efficiently. Points will be deducted proportionately if the trust invests less than 70% of the corpus & no points will be given if no investment in the corpus is done.
• Remittance to the Trust
Companies will earn 100 points who have transferred full PF accumulations for a month to the Trust. Points will be deducted proportionately if the fund transferred to the Trust after the due date.
• Interest Declared
100 points will be given to companies whose trust has declared the rate of interest equal to or more than as declared by EPFO Points will be deducted proportionately if the trust declares less rate of interest.
• Claim Settlement
Companies will earn 100 points which have settled all the claims of the members within 20 days. Points will be deducted proportionately if the claims are not settled on time.
• Audit of Accounts
100 points will be given to companies whose trust account has been audited at the end of the financial year. Points will be deducted proportionately for not getting the accounts audited.
The field offices are directed to monitor all the performance parameters of the exempted establishments during the compliance audit.
On the basis of above parameters, a rank list of performance monitoring shall be prepared out of total 600 points for the preceding month in which returns are required to be filed. EPFO will publish on the website on the first day of the succeeding month.
The system of ranking the organizations has been envisaged to develop a healthy competition among the exempted establishments and to enable the concerned organization to evaluate their performance.
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Call us on +91 782 000 3100 | Mail at email@example.com