Thursday 16 February 2012

Clarification regarding regulation of payment of employer’s share of contribution to the Contributory Provident Fund



No 6/8/2009-Estt.(Pay II)
Government of India
Ministry of Personnel, Public Grievances & Pensions
Department of Personnel & Training
New Delhi, the 15th February, 2012
OFFICE MEMORANDUM
Subject:- Clarification regarding regulation of payment of employer’s share of contribution to the Contributory Provident Fund during the period of reverse deputation.

The undersigned is directed to refer to this Department’s 0.M,No. 6/8/2009.Estt.(Pay II) dated 17th June, 2010 vide which instructions were issued for regulating the terms and conditions of pay, Deputation (duty) allowance etc. on transfer on deputation/foreign service of Central Government employees to ex-cadre posts under the Central Government/State Governments/Public Sector Undertakings/Autonomous
Bodies, Universities/UT Administration, Local Bodies etc. and vice-versa,
2. As per para 7.7 (ii) of the above cited 0M., in the case of deputation on foreign service terms to PSUs etc., leave salary contribution and pension contribution/CPF contribution are required to be paid either by the employee himself or by the borrowing organisation to the Central Govt.
3. The issue of payment of employer’s share of Contribution to the Contributory Provident Fund in case of reverse deputation has been considered in this Department. It is clarified that in case of reverse deputation the employer’s share of Contributory Provident Fund for the period on deputation to the Central Government will be borne either by the employee himself or the borrowing organization i.e Central Government depending on the terms of deputation. A clear mention of the stipulation on whether the Central Government or the employee would bear the liability may be made in the terms of deputation.

(Mukesh Chaturvedi)
Deputy Secretary (Pay)
SOURCE :PERSMIN,sapost

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