When whole of the country is in lockdown due to COVID 19 Pandemic, the Central Govt, in order to provide the liquidity in the hands of employers and employees decided to reduce the statutory contribution rate of PF from 12% to 10% for the wage months of May, June & July 2020 for all establishment other than Central or State Public Sector Enterprises and other establishment owned by, or under the control of Central or State Govt.
Further, this reduction in PF Rates shall also not be applicable to the establishment eligible for relief under the Pradhan Mantri Garib Kalyan Yojna (PMGKY).
Therefore, to formalize the said changes the EPFO has issued this intimation dated 19.05.2020.
Table summarizing the current as well as Statutory PF Rates for three months (May, June & July 2020) is as follows:-
|Account Head||% of Wages (Up to wage month Apr. 20)||% of Wages (May to July 20)|
|Employee’s PF Contribution – A/c No: 1||12%||10%|
|Employer’s PF Contribution – A/c No: 1||3.67%||1.67%|
|Employer’s EPS Contribution – A/c No: 10||8.33%||8.33%|
|EDLI Contribution – A/c No: 21||0.50%||0.50%|
|Administrative Charges – A/c No: 2||0.50% (Minimum Rs. 500/-)||0.50% (Minimum Rs. 500/-)|