close

50. Rules under section 120.–The conditions to acquire, hold, sell or otherwise transfer any movable or immovable property under sub-section (1), conditions to invest moneys, re-invest or realise investments under sub-section (2), terms to raise loans and take measures for discharging such loans under sub-section (3) and terms to constitute for the benefit of officers and staff or any class of them, provident or other benefit fund under sub-section (4), of section 120 shall be–

 

(a) in case of the Provident Fund, Pension Fund or Insurance Fund, as specified respectively in the Provident Fund Scheme, Pension Fund Scheme and Insurance Fund Scheme; and

 

(b) in case of the Corporation, as specified in Chapter IV and under this Chapter.

 

51. Conditions for writing off irrecoverable dues.– (1) Where the Corporation or the National Social Security Board is of the opinion that the amount of contribution, cess, interest and damages due to the Corporation or the National Social Security Board, as the case may be, have become irrecoverable, the Corporation or National Social Security Board or any other officer authorised by it in this behalf may sanction the writing off of the said amount, subject to the following conditions, namely: —

 

(i) that the concerned establishment has been closed for more than five years and the whereabouts of the employer of such establishment cannot be ascertained, despite all possible efforts;

(ii) that the decree obtained by the Corporation or the National Social Security Board could not be executed successfully for want of sufficient assets of the defaulting employer; or

(iii) that the claim for contribution is not fully met by —

 

(a) the official liquidator in the event of the factory or establishment having gone into liquidation; or

(b) the Commissioner of payments in the event of unit being nationalised or taken over by the Government.

 

(2) In case of the Provident Fund, Pension Fund or Insurance Fund, such writing off shall be specified in the Provident Fund Scheme or Pension Scheme or Insurance Scheme, as the case may be.

 

52. Account and annual report.–(1) The Corporation shall maintain complete and accurate accounts in such form as the Standing Committee thereof may, with the approval of the Central Government, specify from time to time and the books shall be balanced on the thirty-first day of March each year.

(2) The Corporation shall prepare revenue accounts for the financial year ended on the thirty-first March and a balance sheet as on the thirty-first March by the thirty-first of May:

Provided that on the application of the Corporation, the Central Government may extend the said date by a period not exceeding thirty days:

Provided further that the Corporation may, and if so required by the Central Government shall, cause to be prepared the revenue accounts and the balance sheet for any other period or as on any other date.

(3) The annual accounts shall be set out and produced before the Comptroller and Auditor General of India for scrutiny on or before the fifteenth of June of each year following the close of the financial year to which they relate:

Provided that on the application of the Corporation, the Central Government may extend the said date by a period not exceeding thirty days.

(4) The Corporation shall submit all accounts to the Comptroller and Auditor General of India as required by him and the Comptroller and Auditor General of India may —

(i) by written notice, require the production before him or before any officer subordinate to him, of any document which he may consider necessary for the proper conduct of his audit;

 

(ii) by written notice, require any person accountable for or having the custody or control of, any such documents, to appear in person before him or before any officer subordinate to him; and

(iii) require any person so appearing before him or before any officer subordinate to him to make and sign a declaration with respect to such document or to answer any question or prepare and submit any statement desired by him or such officer.

(5) The report of the Comptroller and Auditor General of India on the annual accounts shall be submitted to the Corporation on such date and in such form as the Central Government may specify in this behalf and in the report it shall be stated whether in their opinion the balance sheet is a full and fair balance sheet containing all necessary particulars and properly drawn up so as to exhibit a true and correct view of the state of the Corporation‘s affairs and in case they have called for any explanation or information from the Corporation or any of its officers whether it has been given and whether it is satisfactory or not.

 

(6)(a) The annual report on the work and activities of the Corporation (excluding the unaudited accounts for the year incorporated therein) shall be considered by the Standing Committee thereof and shall be placed for adoption at a meeting of the Corporation to be held before the tenth of December following the close of the said financial year.

(b)The annual accounts relating to a financial year duly authenticated by the Financial Commissioner of the Corporation and the Director General and approved by the Standing Committee of the Corporation shall be submitted for audit to the Comptroller and Auditor General of India and the audited accounts together with the report of the Comptroller and Auditor General of India thereon shall be placed for adoption at a meeting of the Corporation to be held before the tenth of December following the close of the said financial year:

Provided that the report of the Comptroller and Auditor General of India shall be received by the twentieth of November, following the year to which it pertains.

(7) The annual accounts together with the report of the Comptroller and Auditor General of India thereon and the annual report on the work and activities of the Corporation as adopted by the Corporation shall be authenticated by affixing the common seal of the Corporation and four copies thereof, together with the comments of the Corporation on the report of the Comptroller and Auditor General shall be submitted to the Central Government not later than the twentieth of December following the close of the financial year concerned for being placed before the Parliament:

Provided that if the report of the Comptroller and Auditor General of India is not received by the twentieth of November following the financial year to which it pertains, the annual accounts together with the report of the Comptroller and Auditor General of India thereon shall be submitted to the Central Government separately from the annual report on the work and activities of the Corporation.

(8) The cost of audit shall be paid by the Corporation by such date as may be specified by the Central Government.

(9)(a)The auditors shall submit to the Corporation and the Central Government a separate statement, if necessary, in regard to —

(i) any material impropriety or irregularity which he may observe in the expenditure, or in the recovery of money due to, or in the accounts of the Corporation; or

 

(ii) any loss or waste of money or other property owned by or vested in the Corporation which has been caused by neglect or misconduct, with the names of the persons who in their opinion are directly or indirectly responsible for such loss or waste.

(b)The Standing Committee shall forthwith remedy any defect or irregularity that may be pointed out by the auditors and shall report to the Central Government the action taken by it thereon within a period of ninety days of the receipt of the report of the auditors:

Provided that if there is a difference of opinion between the Standing Committee and the auditors, or if the Standing Committee does not remedy any defect or irregularity within a reasonable period, the Central Government may, and on a reference specifically made therefor, shall pass such orders thereon as it thinks fit and the Standing Committee shall thereafter take action in accordance therewith within such time as may be specified by the Central Government.

(10) (a)The Standing Committee or any authority authorised by it in this behalf may after giving the person concerned an opportunity to submit an explanation, and after considering any such explanation, disallow any item of account contrary to the provisions of the Code or of the Rules or Regulations made thereunder, and surcharge the same on the person making or authorising the making of payment of such account and shall charge against any person accounting, the amount of any deficiency or loss incurred by the negligence or misconduct of that person, or of any sum which ought to have been but is not brought into account by that person, and shall in every such case certify the amount due from such person:

Provided that no certificate made by the authority authorised by the Standing Committee shall have effect unless it is approved by the Standing Committee.

(b) The Standing Committee shall state in writing its reasons for every disallowance, surcharge or charge made or approved by it and shall serve a certificate of the amount due and a copy of the reasons for its decision on the person against whom the certificate is made and shall also furnish copies thereof to the Central Government.

(c) Any person aggrieved by a certificate made under sub-rule (10) may, within one month from the date of the service of certificate on him under clause (b) sub-rule (10), file an application to the Central Government for setting aside or modifying the disallowance, surcharge or charge in respect of which the certificate was made.

 

(d) On receipt of an application under clause (c) or on its own motion, the Central Government may, after making such inquiry as may be necessary, pass such order as it thinks fit either confirming, modifying or setting aside the disallowance, surcharge or charge in respect of which the certificate was made, and the Standing Committee shall thereupon take action in accordance with such order within such time as may be specified by the Central Government.

(e) The Central Government may by order direct that all further action under the certificate made under sub-rule (10) shall be stayed until the disposal of the matter pending before it under clause (d).

(11) (a) Every sum certified to be due from any person by the Standing Committee or if the certificate has been modified by the Central Government, the sum shown to be due from such person in the modified certificate, shall be paid by such person to the Corporation within three months after he has been served with the certificate of the Standing Committee ; or within such longer period as may be allowed by the Central Government; and any such sum, if not so paid, shall be recovered as arrears of land revenue.

(b) Any sum or part of a sum so paid or recovered, the certificate in respect of which is set aside or modified, shall, as the case may require, be wholly or partly refunded to the person who paid it.

 

(12) The Corporation shall establish, maintain and contribute to a Provident Fund called the Employees‘ State Insurance Corporation Provident Fund (hereinafter referred to as the Provident Fund) in respect of its employees other than those whose services are placed at the disposal of the Corporation by the Central Government or State Government.

(13) The Provident Fund shall be administered by the Standing Committee of the Corporation or by any other Committee approved by it for the purpose and subject to such conditions as it may deem fit to impose.

 

(14) The Corporation may make regulations under clause (1) of section 157 of the Code to provide for all other matters incidental to or necessary for the Provident Fund.

(15) Where an Insured Person is convicted under clause (o) of section 133, he shall not be entitled to any cash benefit admissible under Chapter IV of the Code for a period of three months for first conviction and six months for each subsequent conviction from the date of receipt of judgment of the court in the concerned office of the Corporation.

 

 

CHAPTER X

AUTHORITIES, ASSESSMENT, COMPLIANCE AND RECOVERY

53. Form and manner for maintenance of records and registers etc.–(1) (a) the employer of every establishment shall maintain, register –

 

(i) of employees in Form – I of the Wages (Central) Rules, 2026;

(ii) of attendance-cum-muster roll in Form - IX of the Wages (Central) Rules, 2026;

(iii) of wages, overtime, advances, fines and deductions for damages and losses in Form – IV of the Wages (Central) Rules, 2026;

(iv) of women employees in Form – XXII.

 

Provided that in respect of establishment which is governed by the Code on Wages, 2019(29 of 2019) or the Code on Occupational Safety, Health and Working Conditions, 2020 (37 of 2020) and rules made thereunder maintain the registers specified in clause (i), (ii) and (iii) which shall be deemed to be maintained by the employer under these rules also;

 

(b) registers under this Chapter shall be maintained electronically or otherwise;

(c) entries in the registers shall be made in English and Hindi or the language understood by a majority of persons employed;

(d) every employer shall produce records and registers, on demand before the Inspector-cum-Facilitator or any person authorised in that behalf by the Central Government;

(e) all the registers and other records shall be preserved in original for a period of five calendar years from the date of last entry made therein.

 

(2) Every employer shall issue wage slips, electronically or otherwise to the employees under clause (c) of section 123 on or before payment of wages in Form – V of the Wages (Central) Rules, 2026.

 

(3) All registers and other records required to be maintained under the Code and the rules made thereunder shall be maintained complete and up-to-date and unless otherwise provided by the Central Government, shall be kept at an office or the nearest convenient building within the precincts of the workplace or at a place within a radius of three kilometres therefrom.

 

(4) The employer shall display conspicuously a notice at or near the main entrance of the establishment in bold letters in English, Hindi and in a language understood by the majority of the

 

employees specifying the name of the officer with designation authorised by the employer to receive, on his behalf, notices under the Code or the rules made therein.

 

(5) (a) The employer to which the provisions of Chapter V and Chapter VI of the Code apply, on or before the 28th or 29th day of February in each year, upload a unified annual return in Form-XXIII online on the web portal of the Central Government in the Ministry of Labour and Employment, giving information as to the particulars specified, in respect of the preceding year:

 

Provided that during inspection, the Inspector-cum-Facilitator may require the production of accounts, books, registers and other documents maintained in electronic form or otherwise.

 

Explanation.- For the purposes of this sub-rule, the expression —electronic form? shall have the same meaning as assigned to it in clause (r) of section 2 of the Information Technology Act, 2000 (21 of 2000).

 

(b) If the employer to whom the provisions of Chapter V and Chapter VI of the Code apply, sells, abandons or discontinues the working of the establishment, then, he shall, within one month of the date of such sale or abandonment or four months of the date of such discontinuance, as the case may be, upload online, on the web portal of the Central Government in the Ministry of Labour and Employment, a further unified return in Form XXIII referred to in clause (a) of sub-rule 5 in respect of the period between the end of the preceding year and the date of such sale, abandonment or discontinuance, as the case may be.

 

 

 

CHAPTER XI OFFENCES AND PENALTIES

54. Compounding of offences.–(1) The officer authorised by the Central Government, (hereinafter in this rule referred to as the —compounding officer?) by notification, for the purposes of compounding of offences under sub-section (1) of section 138 shall issue electronically a compounding notice in Form-XXIV for the offences which are compoundable under section 138.

(2) The person so noticed under sub-section(1) may apply in Part III of the Form-XXIV to the officer electronically and deposit the entire compounding amount by electronic transfer or otherwise, within fifteen days of the receipt of the notice.

(3) The Compounding Officer shall issue a composition certificate in Part IV of Form-XXIV within ten days of receipt of the composition amount, to such person from whom such amount has been received in satisfaction of the composition notice.

(4) If a person so noticed fails to deposit the composition amount within the time specified by the Officer, the prosecution shall be instituted after one month from the last date of specified time before the Competent Court against such person for the offences in respect of which the compounding notice was issued.

 

(5) For the compounding of an offence after the institution of prosecution in a Competent Court in respect thereof, the provisions of sub-section (6) of section 138 shall apply.

 

CHAPTER XII

EMPLOYMENT INFORMATION AND MONITORING

55. Establishment and maintenance of career centre.– (1) The appropriate Government may establish, run and maintain a career centre or modify and declare its already established office or employment exchange, or both or a portal or authorise any other such centre as career centre, by notification. Until such notification is made, existing local Employment Exchanges and Central Employment Exchanges shall function as career centres (Regional) and career centres (Central) respectively.

(2) The appropriate Government may also enter into an agreement with any institution, local authority, local body or private body for running a career centre.

(3) The career centres established under sub-rules (1) and (2) above shall, inter-alia, perform the following functions, namely:–

 

(a) collection and furnishing of information, either by the keeping of registers or otherwise, manually, digitally, or virtually as may be notified by Central Government from time to time, relating to -

(i) persons who seek to employ employees;

(ii) persons who seek employment;

(iii) occurrence of vacancies; and

(iv) persons who seek vocational guidance and career counselling or guidance to start self-employment;

(b) providing career counselling and vocational guidance;

(c) organising job-fairs and job drives;

(d) employment related surveys and studies;

(e) employability enhancement activities; and

(f) other services as may be decided by the appropriate Government from time to time.

Explanation.– For the purposes of this chapter, appropriate Government shall be Central Government for Career Centre (Central) and respective State Government for career centre (Regional).

 

56. Reporting of vacancies and result of selection etc.–(1) (a) on the commencement of the Code, the employer in every establishment in public sector in any State or area shall, before filling up any vacancy in any employment in that establishment, report that vacancy or cause to be reported to such career centre as may be specified by notification, made by the appropriate Government;

(b) the employer in every establishment in private sector or every establishment pertaining to any class or category of establishments in private sector shall, before filling up any vacancy in any employment in that establishment, report that vacancy or cause to be reported to such career centre (Regional) from such date as may be specified in the notification made by the appropriate Government;

(c) appropriate Government shall provide a digital mechanism for receipt of vacancies reported by the employers and career centre to which the vacancies are to be reported, which shall generate a unique vacancy reporting number for the vacancy reported and convey it to the employer digitally or through any other such media immediately but not later than seven working days from the date of receipt of reporting of vacancies in north-eastern States and three working days in other States:

 

Provided that time limit of three working days may be further extended up to seven working days by the appropriate Government, through notification, keeping in view the geographical conditions or other local needs;

(d) Career Centre (Regional) shall share all information collected by it in writing, through email or digitally or through any other such media, as may be notified by central government from time to time, to the Career Centre (Central) in the Form-XXV, Form-XXVI and Form-XXVI (A).

(e) The State Government shall furnish to the Career Centre (Central) the details of any newly established Career Centre (regional) or of the closure of any existing Career Centre (regional) within 15 days from the date of such establishment or closure, along with the jurisdictional details of such Career Centre (Regional), so established or closed, as the case may be.

 

Explanation.–For the purposes of this rule, –

(A) —establishment in public sector? means an establishment owned, controlled or managed by-

 

(i) the Government or a Department of the Government;

 

(ii) a Government company as defined in clause (45) of section 2 of the Companies Act, 2013 (18 of 2013);

 

(iii) a corporation (including a co-operative society ) or an autonomous organisation or an authority or a body established by or under a Central or State enactment, which is owned, controlled or managed by the Government; and

 

(iv) a local authority.

(B) —establishment in private sector? means an establishment which is not an establishment in public sector and with 20 or more employees or such number of employees as may be notified by the Central Government are employed therein.

(C) Any State Government, having no career centre or digital portal of its own, may specify, by notification, reporting of vacancies by establishments in an area thereof to the digital portal or to the Career Centre of the Central Government.

(2) (a) The following vacancies, namely:–

(i) all vacancies in posts of Technical and Scientific nature carrying a minimum pay or pay level or both as notified by the Central Government, occurring in establishments in respect of which the Central Government is the appropriate Government under the Code; and

(ii) vacancies which an employer may desire to be circulated to the career centres outside the State or Union territory in which the establishment is situated;

shall be reported to such career centre (Central) as may be specified by the Central Government, by notification:

(b) vacancies in establishments having branches in more than one State or Union Territory, where the employer seeks to fill such vacancies across multiple locations, may, at the option of the employer, be reported either centrally to the Career Centre (Central) or separately to the respective Career Centres (Regional), as may be specified by the appropriate Government.

 

(c) vacancies other than those specified in clause (a), shall be reported to the career centre (Regional) concerned.

(3)(a) The vacancies shall be reported in writing or through official email or digitally, as may be notified by Central Government from time to time, to the career centre specified by the appropriate Government.

(b) The vacancies shall be reported in the Form-XXV, furnishing as many details as practicable, separately in respect of each type of vacancy.

(c) Any change in the particulars already furnished to the career centre under clause (a) of sub-rule (3), shall be reported in writing or through official email or digitally, as the case may be, as may be notified by Central Government from time to time, to the specified career centre.

(4)(a) Vacancies, required to be reported to the career centre (Regional), shall be reported at least fifteen days before the last date of receipt of the applications.

(b) Vacancies required to be reported to the career centre (Central) shall be reported at least forty days before the last date of receipt of the applications.

(c) The employer shall furnish the information relating to the result of selection to the concerned career centre against the vacancies reported within thirty days from the date of selection.

(5) (a) On commencement of the Code, the employers of every establishment in the public sector in any State or area shall maintain records manually or electronically or digitally about –

 

(i) total number of employees (regular, contractual or fixed term employment) on 31st March of every year;

(ii) persons recruited during the year ending on 31st March;

(iii) occupational details of its employees on 31st March of every year;

(iv) vacancies for which suitable candidates were not available during the year ending on 31st March; and

(v) approximate number of vacancies likely to occur during the next financial year.

 

(b) Appropriate Government may, through notification, direct that from such date as may be specified in the notification, the employer of every establishment in private sector or every establishment pertaining to any class or category of establishment in private sector shall maintain records manually or electronically or digitally about –

 

i. total number of employees (regular, contractual or fixed term employment) as on 31st March of every year;

ii. persons recruited during the year ending on 31st March;

iii. occupational details of its employees as on 31st March of every year;

iv. vacancies for which suitable candidates were not available during the year ending on 31st March; and

v. approximate number of vacancies likely to occur during the next financial year.

 

(6) An employer shall furnish to the concerned Career Centre (Regional) yearly returns in Form-

XXVI (Employment Information Return) and yearly returns shall be furnished manually or, electronically, or digitally, as the case may be, as specified by the respective State Government by notification, within thirty days of the due date, namely, 31st March of the year.

(7) (a) the Director of Employment or officer of equivalent or higher rank, controlling the work of career centres (Regional) of the respective State Government, will declare in writing an officer, who is looking after the work of career centres (Regional) as Executive Officer for each district for the purpose of enforcement or implementation of Chapter XIII (Employment Information and

 

Monitoring) of the Code and such officer shall exercise the rights and perform duties referred to in section 139, or authorise any person in writing to exercise those rights and perform duties;

(b) the Director of Employment or an officer of equivalent or higher rank, controlling the work of Directorate General of Employment, Ministry of Labour and Employment, New Delhi, will declare in writing an officer, who is looking after the work of career centres (Central) as Executive Officer for the purpose of enforcement or implementation of Chapter XIII (Employment Information and Monitoring) of the Code. Such officer shall exercise the rights and perform duties referred to in section 139.

(8) For implementation of provisions of Code relating to Chapter XIII and rules thereof, the Central Government may issue detailed guidelines explanatory in nature which shall be supplemented further by the respective State Government as per local needs.

 

 

CHAPTER XIII

EMPLOYEE’S COMPENSATION

57. Rate of interest payable by employer under clause (a) of sub-section (3) of section 77.-If the amount of compensation payable under sub-section (3) of section 77 is not paid by the employer within the period of thirty days, the employer shall pay, from the date on which the compensation becomes payable to the date on which it is paid, simple interest at the rate of twelve per cent. per annum or any other rate notified by the Central Government from time to time.

 

 

58. Manner of notice under sub-section (1) and the manner of transmitting money under sub-section (3), of section 92.- (1) No application under section 92(1) shall be processed before or by a competent authority other than the competent authority having the jurisdiction over the area in which the accident took place without his giving notice in Form-XXIX electronically or otherwise to the competent authority having jurisdiction over the area in which accident occurred and the State Government concerned.

(2) Money transmitted by one competent authority to another in accordance with sub-section (3) of section 92 shall be transmitted either by remittance receipt or by e-transfer or by net banking or by Demand Draft, as the competent authority transmitting the money may direct.

 

59. Form, manner and fee for application for claim or settlement under sub-section (3) of section 93.- (1) The applicant may send any application of the nature referred to in section 93 to the competent authority by speed post (with registration) or electronically or may be presented to him or to any of his subordinates authorised by him in this behalf, and, if so sent or presented, shall, unless the competent authority otherwise directs, be made in duplicate in Form-XXVII, if any, and shall be signed by the applicant.

(2) There shall be appended to every such application a certificate in Form-XXVIII, which shall be signed by the applicant to the effect that the statement of facts contained in the application is to the best of his knowledge and belief, accurate.

(3) When the application for relief is based upon a document, the document shall be appended to the application.

 

60. Rules to give effect to arrangements with other countries for transfer of money paid as compensation under section 159.-(1) When any sum is transmitted by any competent authority in India to any other competent authority in accordance with these rules by remittance transfer receipt or

 

by e-transfer or by net banking or by demand draft, the competent authority which transmits the sum may, deduct the costs of such transmission from the sum so transmitted.

(2) When the whole or any part of a lump sum deposited with a competent authority for payment as compensation under the Code is payable to any person or persons residing or about to reside in any other country, the competent authority may order the transfer to that country of the sum so payable.

(3) When the competent authority has ordered the transfer of any sum under sub-rule (2), he shall cause to be prepared and shall certify under his hand a memorandum containing a brief statement of the facts of the case, of the orders passed upon it and of the name and address of each person to whom payment is to be made.

(4) If the competent authority is not himself the Authorised Officer he shall forward the memorandum in duplicate to the Authorised Officer and may either remit the sum to be transferred to the Authorised Officer or retain it and dispose of it in accordance with the directions of the Authorised Officer.

(5) If the competent authority is himself the Authorised Officer, he shall proceed as provided in sub-rule (6).

(6) The Authorised Officer, after satisfying himself that the memorandum is complete, shall forward it and remit or cause to be remitted the sum to which it relates by such means of safe transmission as he may consider convenient to the authority appointed in this behalf for the country to which the sum is to be transferred, or if no such authority has been appointed, to such authority as the State Government may, by general or special order, direct, and shall at the same time request the authority addressed—

(a) to arrange for payment to be made in accordance with the directions contained in the memorandum; and

(b) to furnish him with a report of the action taken upon the memorandum and return any sum the payment of which is for any reason impossible.

(7) (a) The Authorised Officer shall, if he is not the competent authority with whom the matter originated, forward to such competent authority a copy of any report received in response to a request made under sub-rule (6).

(b) Any sum returned in accordance with sub-rule (6) shall be disposed of in accordance with the Code.

(8) (a) The Authorised Officer shall be the proper authority to receive moneys from transferring authorities.

(b) If any competent authority or other Government servant, not being the Authorised Officer, receives any sum from a transferring authority he shall either forward such sum, together with any papers relating thereto, to the Authorised Officer for disposal or obtain the instructions of the Authorised Officer as to the disposal of the sum and papers and act in accordance with his instructions.

(9) The Authorised Officer may himself dispose of any sum or part of any sum which he receives or of which he assumes control under sub-rule (8) or may send it or any part of it for disposal to such competent authority or competent authorities as he considers proper.

(10) All sums received from a transferring authority shall be disposed of as far as possible in accordance with the provisions of the Code and the rules made there under:

Provided that the directions, if any, received from the transferring authority as to the manner in which the sum should be administered shall be complied with.

 

(11)(a) The Authorised Officer shall forward to the transferring authority a report showing how the sum received from him has been disposed of.

(b) Any competent authority, not being the Authorised Officer who has disposed of any part of the sum, shall make a report in duplicate as to the disposal of that part to the Authorised Officer, and, if the sum was received by him from another such competent authority in accordance with section 92 of the Code, shall forward his report through that competent authority.

(12) Any part of the sum received from the transferring authority which shall have remained undisbursed after the completion of the proceedings shall be returned to the transferring authority by, or under the direction of the Authorised Officer.

61. Proceedings after transfer of matters. - The competent authority under clause (b) or clause

(c) of sub-section (1) of section 92 may initiate the proceedings afresh or he may continue the previous proceedings initiated under clause (a) of sub-section (1) of section 91 as if the same or any of its part had been taken before him if he is satisfied that the interest of the parties shall not thereby be prejudiced.

 

62. Transfer of records or money.-(1) If any matter under the Code is required to be processed before or by a competent authority other than the competent authority having jurisdiction over the area in which the accident took place the former may for the proper disposal of the matter call for in Form-XXX a detailed report including transfer of any records or money remaining with the latter and on receipt of such a request he shall comply with the same:

 

Provided that if any further enquiry is necessary in the area in which the accident took place for framing of issues or for determining the amount of compensation, the competent authority, before whom the application has been filed, may require the competent authority of the area in which the accident took place to conduct such enquiries and to serve such notices or orders as may be necessary for the purpose of such enquiries.

 

(2) Money deposited with one competent authority under section 81 shall be transmitted to another competent authority either by remittance transfer receipt or by e-transfer or by net banking or by demand draft.

 

63. Every employer shall at the time of employment of an employee, inform the employee of his right to compensation under the Code, in writing and by electronic means, in English or Hindi or in the official language of the area of employment, which is known to the employee.

 

 

CHAPTER XIV MISCELLANEOUS

64. Establishment and administration of Social Security Fund.– (1) All the following funds

received shall be credited to separate account(s) and called as Social Security Fund and all expenses towards the scheme notified under sections 109 and 114 for the Unorganised Workers, Gig Workers or Platform Workers shall be met out of the following Fund, namely –

(a) under sub-section (1) of section 141 of the Code on Social Security, 2020 (36 of 2020); and

(b) under sub-section (1) of section 115 of the Occupational Safety, Health and Working Conditions Code, 2020 (37 of 2020).

 

(2) The Central Government shall identify the sources for initial funding or replenishing the Social Security Fund from time to time.

(3) The Fund shall be administered by the Central Government through an agency designated by the Central Government in the manner, as specified by the Central Government.

(4) Directions of the Central Government, if any, shall be complied with by the agency designated for the administration of the Social Security Fund.

(5) The Statement of accounts of the Social Security Fund shall be maintained by the agency, in the form and manner as specified by the Central Government and shall be submitted to the Central Government from time to time.

(6) The accounts of the Social Security Fund shall be audited by the Comptroller and Auditor General of India.

65. Eligibility conditions for grant of exemption.– (1) An establishment, to be eligible to seek exemption under section 143 shall be required to fulfil the following conditions, prior to grant of exemption, namely: -

 

(a) the employees of such establishment are in receipt of benefits substantially similar or superior to the benefits granted in the schemes framed under Chapter III or the benefits available under Chapter IV, as the case may be, of the Code;

 

(b) the establishment seeking exemption shall make an application electronically or otherwise;

 

(c) the establishment has been complying with the provisions of Chapter III of the Code or the Employees‘ Provident Funds and Miscellaneous Provisions Act, 1952 (19 of 1952); or, the provisions of Chapter IV of the Code or the Employees‘ State Insurance Act, 1948 (34 of 1948), as the case may be, for a continuous period of three years immediately before making the application and has not defaulted in payment of contribution payable under the respective Chapters during such period;

 

(d) the establishment seeking exemption under section 143 shall have minimum five hundred contributory members for the purposes of Chapter III of the Code or minimum five hundred employees for the purposes of Chapter IV of the Code, as the case may be, on the date of such application;

 

(e) the establishment seeking exemption from the provisions of the Provident Fund Scheme or the Pension Scheme framed under section 15 shall have a cumulative balance in members account of rupees fifty crore or more in respect of the Scheme from which exemption is sought;

 

(f) for the purposes of the Chapter III, the establishment shall furnish consent of majority of the employees for seeking exemption under section 143;

 

(g) the establishment seeking exemption should have a positive net worth during each of the last three years before the date of application;

 

(h) the establishment must have seeded the Aadhaar number of each member in the respective member‘s account for the purposes of Chapter III or that of each of insured person and his or her family members for the purposes of Chapter IV, as the case may be, of the Code in the respective database; and

 

(i) for the purposes of Chapter III of the Code, the establishment shall provide facilities for online claim settlement and has an online portal for grievance resolution to provide linkages with that of Employees‘ Provident Fund Organisation within ninety days of grant of exemption.

 

(2) The notification granting exemption under section 143 shall be issued so as to take effect from the date of the notification and shall contain the other terms and conditions to be complied with by the establishment and /or the employer, as the case may be.

(3) (a) The application for extension of exemption under section 143 shall be made on specified portal, at least six months before expiry of exemption.

(b) The exemption granted to an establishment from the provisions of Chapter IV shall be extendable by the appropriate Government for a period of five years at a time, subject to the condition that the establishment continues to fulfil the relevant conditions in specified sub-rule (1) of rule 65 except that in clause (d) of sub-rule (1).

(c) No exemption under the provisions of Chapter IV shall be extended without prior consultation of the Corporation.

(d) The Corporation shall submit its views to the appropriate Government within three months of receipt of application failing which the appropriate Government shall decide on the extension of exemption, as it may deem fit.

(e) The exemption granted in respect of the Provident Fund Scheme or the Pension Scheme or the Insurance Scheme, as the case may be, may be extended for such period and on such terms and conditions as may be specified in the respective Schemes.

66. Time limit for Central Board or Corporation to provide views on application for exemption. –The Central Board or the Corporation, as the case may be, shall forward its views on the application seeking exemption under section 143 to the appropriate Government within six months of receipt of proposal for exemption. If the Central Board or the Corporation, as the case may be, is unable to provide its views within the said period, the appropriate Government may extend the time limit or take action on the application for exemption, as it may deem fit.

67. Terms and conditions for compliance of exempted establishment.–(1) The establishment to which exemption has been granted from the provisions of Chapter IV of the Code –

 

(a) shall maintain such records regarding the exempted employees and submit such returns and other information to the Corporation as may be specified in the regulations made under section 157; and

 

(b) in case of change of legal status of an establishment which has been granted exemption under section 143, due to merger, demerger, acquisition, sale, amalgamation, formation into a subsidiary, whether wholly owned or not, etc., the exemption shall be deemed to be cancelled and the establishment shall be required to apply afresh for exemption to the appropriate Government.

 

(2) For the purposes of Chapter III, the establishment and/or employer, after the grant of exemption, shall comply with all such terms and conditions as may be specified in the Provident Fund Scheme or the Pension Scheme or the Insurance Scheme, as the case may be, framed under section 15.

68. Terms and conditions for management of trust.–(1) A Board of Trustees shall be established for the management of the Provident Fund or the Pension Fund according to such directions as may be given by the Central Government or the Central Provident Fund Commissioner, as the case may be, from time to time.

(2) The Board of Trustees shall consist of such equal number of representatives each of the employers and employees as may be specified in the Provident Fund Scheme or the Pension Scheme, as the case may be.

 

(3) The employer of such exempted establishment shall be the Chairperson of the Board of Trustees and the Chairperson may exercise a casting vote in the event of equality of votes and arm‘s length principles shall be maintained by the Chairperson in all meetings of the Board of Trustees.

(4) The Board of Trustees shall meet at least once in every three months and shall function in the accordance with the guidelines that may be issued from time to time by the Central Government or the Central Provident Fund Commissioner or any officer authorised by him.

(5) The terms and conditions, including the tenure of office of the Trustees, the procedure and manner for election or nomination of the representatives of the employees and of employers to the Board of Trustees, disqualification and cessation of trusteeship, re-election or re-nomination of trustees, the quorum at the meeting of the Board, records to be kept of the transaction of business and all such other matters and conditions for the management of the Trust shall be as provided for in the Provident Fund Scheme or the Pension Scheme, as the case may be.

 

(6) In case of any dispute or doubt on-

 

(a) the interpretation of any provision of this rule, such matter shall be referred to the Central Government; and

 

(b) any clarifications on the grant of such exemption which do not relate to this rule, shall be referred to the Central Provident Fund Commissioner or any other officer of the Employees‘ Provident Fund Organization authorised by him;

 

and the interpretation of the Central Government or the clarification of the Central Provident Fund Commissioner or such officers, as the case may be, on such dispute or doubt shall be binding for the disposal of such matter so referred.

 

69. Manner of determining misuse of any benefit by an establishment or by any other person under section 148.-On the recommendations of the authority or the competent authority or Social Security Organisation, if the Central Government is satisfied that any establishment or any person has misused any benefit provided under the Code or these rules, the Central Government may by notification, deprive such establishments or such person, as the case may be, from such benefit for such time as may be specified in the notification:

 

Provided that no such order shall be passed unless an opportunity of being heard is given to such establishment or such person, as the case may be.