PF deduction has been reduced from 12% to 10%
- This measure will be applicable for the next three months, Ms Sitharaman added.
- All establishments under the Employees' Provident Fund Organisation (EPFO) will enjoy the benefits of this scheme, Ms Sitharaman said.
- However, state and central governments will continue to pay 12 per cent towards PF contribution, even as those employed by them will enjoy the benefit of paying 10 per cent only.
- Besides, the government also extended, for further three months, the PF-related benefit for smaller firms, which had been announced under the Pradhan Mantri Garib Kalyan Yojana in March.
- Under that scheme, it was announced that establishments with up to 100 employees, 90 per cent of whom, earn less than Rs 15,000 a month, will not have to pay the PF contribution, as it will be covered by the government. Moreover, the employees' contribution was also waived off.
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