PF Eligibility — Which Employees Must Be Enrolled

Establishment-level coverage

• 20 or more employees in a scheduled industry or notified class of establishment.
• Coverage continues once triggered, regardless of a later fall in headcount.
• Voluntary coverage is available below the threshold.

Employee-level eligibility

• Every employee drawing PF wages up to ₹15,000 per month must be enrolled from the date of joining.
• An employee already a member of EPF continues as a member even if wages later exceed the ceiling.
• A new joiner drawing above ₹15,000 who was never an EPF member may be treated as an excluded employee.
• International workers are covered without the wage ceiling, subject to social security agreements.
• Apprentices engaged under the Apprentices Act, 1961 are excluded.

Contract and outsourced staff

Workers engaged through a contractor are covered too. The principal employer should collect the contractor's ECR and payment proof each month, because liability falls back on the principal employer if the contractor defaults.

Frequently asked questions

Is PF deducted if salary is above ₹15,000?

Only if the employee is already an EPF member or the employer chooses to enrol them. A fresh joiner above the ceiling who was never a member can be an excluded employee.

Are directors covered under PF?

A working director drawing wages in an employer-employee relationship can be covered. A non-executive director drawing only sitting fees generally is not.

Sources & references

• EPFO — Employees' Provident Fund Organisation
• EPF & MP Act, 1952 (India Code)