Source:
The examination of establishments is crucial for addressing and correcting instances of inadequate adherence to the law. Inspections guarantee the presence of effective monitoring systems, ensuring that non-compliant establishments undergo regular scrutiny to fulfil their obligations. This process is aimed at enforcing protective legislation, advancing labour welfare, and enhancing the overall quality of life. The Employee Provident Fund Organisation (EPFO) has released a new notification with the purpose of formalizing the mechanism of inspections conducted in EPFO. The notification mentions a Standard Operating Procedure with the objective of achieving fairness and making it easier for the employers to comply along with working in furtherance of protecting worker’s social security rights. Section 13 of the EPF & MP Act, 1952, referred to as "the Act," outlines provisions for inspections of establishments conducted by officers of the organization.
This Standard Operating Procedure (SOP) for EPFO inspections is designed to enhance the efficiency and transparency of inspections through a technology-enabled identification methodology. Additionally, it encourages self-compliance through Periodic Desk Reviews and establishes a clear priority structure for selecting establishments for physical inspection, taking into account the organization's limited human resources for monthly inspections. The procedure of inspection has been divided into three steps. The first step is ‘Nudge and Watch’ which involves nudging the establishments which are not complying with the regulations, through touch points such as e-mails, SMS and E-mail reminders till the end of the second month of default. The second step is ‘e-Verification’ system which will start at the end of third month and would involve the deploying of the e-Verification system automatically in the Employer login requesting the employer to declare and remit dues within 30 days. The third step is ‘Physical Inspection’ which would be initiated after the starting of the fourth month of default.
Comments