Interim relief granted to workers is covered within the purview of basic wages

Mangalam Publications (India) Pvt. Ltd. Vs Employees Provident Fund (Kerala High Court)

Kerala High Court held that interim relief granted to the workers at 20% of the wages of the works will come within the purview of the definition of basic wages as mentioned in Section 2(b) of the the Employees’ Provident Funds and Miscellaneous Provisions Act, 1952.

Facts-

The petitioner’s establishment is a covered establishment under the Employees’ Provident Funds and Miscellaneous Provisions Act, 1952 (for short, Act, 1952). The MCM Press, Kottayam, even after its takeover by the petitioner, was continuing under separate Code No.KR/5973 till March, 2003. The Code Number allotted to the petitioner in respect of its other employees was KR/5975. According to the petitioner, they are paying PF contributions for all its eligible employees, including employees covered under Code No.KR/5973 and under Code No.KR/5975 after March, 2003.

Assistant Provident Fund Commissioner initiated action for recovery of P.F. contributions on the interim relief paid in respect of the employees of the petitioner who are covered under Code No.KR/5973 and KR/5975 by invoking Section 7-A of the Act, 1952.

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