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“5. Adverting to the counter affidavit, the learned Government
Advocate submitted that when the respective employers of the
petitioners did not raise any objection over the direction issued by the
first respondent, the petitioners, being the employees, have no locus
standi to challenge the directions issued by the first respondent and only
on the objection raised by the first respondent, the petitioners have
impleaded their respective Societies as Respondents 2 to 6. The first
respondent issued directions only after considering the financial crisis
of Societies. Excessive employment, increase in the recurring
expenditure of employees' salary and decrease in the business turnover
due to severe private sector competition are some of the reasons for
financial crisis. Therefore, only for the survival of the societies, the
Government of Puducherry had taken measures for recurring revenue
expenditure. Insofar as the employer's contribution towards Provident
https://www.mhc.tn.gov.in/judis
Fund is concerned, it is restricted to Rs.1,800/- i.e., 12% of the
maximum salary ceiling limit of Rs.15,000/-. Therefore, the employer
is liable to pay a maximum contribution of Rs.1800/- for an employee
irrespective of their salary. However, both employer and employee
without following the same, the Societies are contributing more than
12%. Attention was also drawn to the proviso to paragraph 26-A(2) of
the EPF Scheme, which reads as follows: