Eligibility Of Contract Employees For FPF If Contractor In Not Covered Under EPF.

Hi all,

A contractor is not covered under EPF Act, but the principal employer is covered. Are employees provided by the contractor entitled to EPF or not? Please help in explaining.

If the establishment where the contract labor is engaged is covered by EPF (as well as ESI), the contract labor is covered by EPF/ESI, even if the contractor is not covered. In such a scenario, the contractor's employees will have to be given coverage under the Principal Employer's registration.

Regards, Madhu.T.K

If work is done on the premises of the principal employer, then all the contract employees will be covered under PF, provided their basic + DA is below Rs 6500/-.

Dear Sandeep,

I fully agree with the opinions given in this thread. I would like to add that it would be better to direct the contractor to obtain a separate EPF code number and get coverage rather than inducting them into your PF code.

Sudipta