i ? etter feo fat ara : | ae ferft—110007 1992ae —— CONTENTS Sl.No. Subject CHAPTER I dE 1. Appointment of Inspector 1 1 | 2, Duties /and Responsibilities 2 I--3 ' 3. Powrr 3 3-75 | 4, Equipment 40 5--7 ! CHAPTER II i 5. Inspector's Office : 5 8--13 | CHAPTER III * : 6. Tours _ 6 14-15 | 7. Travelling Allowance advance 7 B | _ CHAPTER IV 8 Inspection 8 16-18 (i) Inspection. for coverage 9-10 -19--35 (ii) Inspection of Covered 11. 35--37 Establishment : (a) Unexempted Estt. ° 12 (b) Exempted Estt. 13 i CHAPTER V" ‘9. Inspection Report i“ : CHAPTER VI ie 10. Prosecution 15 : CHAPTER VII ll. “Recovery of Provident Fund ~.- 16 and other dues 4 (i) 8 aS1,NOs Subject CHAPTER VIII “12, General _ 13. Survey Work (iv) Paragraph. Page v7 53-56 18 56 ( i Py i xu wuAppx Il. Il. Iv. v. VI. Vil. VIII. Ix. xX. XI. XI. XI. XIV. XV. XVI. XVIL. XVIII. XIXe XX. APPENDICES Extracts of relevant Sections of Imported Acts Register of Infant Establishments Register of Marginal Establishments Register of covered eastablish~ ment (Inspectorate) Inspection register of covered eastablishments Dak Kegister of Inspector Stock Register Prosecution Register Recovery Register Suggestion Book Register for writ petition cases Register for 19A Cases Register for Provisional Coverage Tour Programme Tour. Diary Investigation Report (Enquiry Report) Inspection Proforma (Unexempted) Inspection’ Proforma (Exempted) 3 Part II Report of the P.F.I./ Enforcement Officer Proforma of Prosecution (vi) Page Hee ee eee — en ee aie mematiAPPENDICES Appx Page XXI, Election ‘Rules of Exempted 1 Establishment XXII, Guidelines of the fimetioning of the Foard of Trustees of Exempted Establishment XXIII, Check Points for Inspection of 1 4 Exempted Establishments XXIV. Check Points/for Scrutiny of 1 Annexure 'A! Tat gsteeemm ene “EE ee (viii)PREFACE TO THE UPDATED EDITION A manual for the Provident Fund Inspectors was first published in the year 1968. Thereafter considerable changes have taken place consequent to the amendments to the Employees! Provident Funds & Misc. Provision Act, 1952 and with the addition of two more Schemes namely the ployees' Family Pension Scheme and the Employees! [Deposit-Linked Insurance Scheme. An attempt has been made in this Manual to define the proper role of the inspectors, who have since been designated as Enforcement Officers, in this background. Comments and suggestions were invited from the Regional Provident Fund Commissioners and the final draft was placed before the 13th Conference of Regional Provident Fund Commissioners held in January, 1984 which, while generally agreeing with the provisions of the Manual suggested the formation of a Sub-Committee - of Officers to invite further suggestions to improve the provisions. The further suggestions for improvement of the Manual were considered by the Committee of Officers and‘ were incorporated in the Manual. I hope the manual will help the Enforcement Officers to understand the implications ‘of the provisions of the Employees! Provident Funds and Miscellaneous Provisions Act and the Provident Fund, Family Pension and the Deposit-Linked Insurance Scheme,, framed thereunder and discharge their responsibilities with , confidence. Thanks are due to the Officers’ who made this Manual possible. Suggestions for improvement will be welcome. : B.K. BHATTACHARYA, : Central Provident: Fund Commissioner. “Ge Serna RoR neers oorPREFACE The aeed for practical guide to the Provident Fund Inspectors has been felt. for some time, To meet. that need the Present manual has been brought out. It is hoped that it will prove useful to.the Inspectors. 2. Suggestions for improvement will be welcome, 5, West Patel Nagar, New Delhi-8, (1968), P. SADAGOPAN, ‘ Central Provident Fund Commissioner, © (xt) S2 y AEN werCHAPTER 1 ea1 | CHAPTER I Me INSPECTORS Appointment of Inspectors 1, There are two kinds of Inspectors, one appointed by notification under section 13 of the Employees Provident Funds and Miscellaneous ee Powers mentioned in that section. The others are, officers of the E.P.F. Organisation or outside thereof who could be appointed Inspectors for exercise of the poweres referred to above. qhe former is appointed under the E.P.F. Staff and Conditions of Service Regulation, 1962 and fall unde: the distinct cadre of Enforcement Officers. Although the Inspector of the second category too has invested with the powers referred to in section 13 of the Act, this manual deals primarily with the duties and responsibilities of the first category namely, those borne of the cadre of Enforcement Officers. Duties and responsibilities z. The chief duties and responsibilities are :-- (i) (a) to bring under the purview of the Employees! Pr, Funds and Miscellaneous ms’ Act, :195; every establishment which attract, the application of the Act by reaso of requisite employment Strengt! and compietion of the infancy period (3 or 5 years as the case may be); (b)to recommend the — coverage of establishment under . section 1(4) of the E.P.F. & Misc. Provisions ‘ 2(ii) (iii)! (iv) (v) 4 Act, 1952 on the joint request of the employer and the majority of the employees of the establishment provided the establishment is not legally coverable under the Acts (c) To bring ‘under the ambit of the E.F.F.& Misc. Provisions “Act, 1952 establishment participating in Common Providert Fund. in which one or more than one establishment is already covered under the Act; having covered an establishment to secure full compliance by the employer of that establishment with _ the provisions of Employees, Provident Funds. and Miscellaneous —_- Provisions Act! 52/and or. Schemes framed thereunder; to attend to the problems of employers arising in the process of complaints and to the grievances ‘of employees; and, where he cannot solve the problem or redress the grievances, to report the case to the Regional Provident Fund Commissioner for futher actions to conduct surveys when asked to, to asses coverage potential to new categories of establishment; to supply various prescribed forme to the employers on their request. and educate them about their proper completion and punctual submission > the regional office; .(vii) (viii) (ix) (x) to report. to the Regional Commissioner evasion, abuse, violation, defect or ab+ normality roted in the implementation of the Employees! Provident Funds and Miscellaneous Provisions Act, 1952 and the Schemes ‘framed thereunder; ; to attend to Prosecution of defaulters; also attend the periodical meetings with the Revenue Recovery officials and for this Purpose the - Regional Commissioner ‘shall ensure that the revenue authorities invite the Inspectors also for Participation jn their periodical mectings for review of the exemption of the recovery. certificates; : to ensure that the ertablishment exempted’ under section 17(1)7(1a)/2(A) of the Act ie complying with the Provisions of the Act ard also the conditions 80verning the grant of qomption stipulated by the appropriate Government; similariy ° where exemption is granted individvally or as a clays under para 27/274 of the Employees! Provident Funds Scheme, 1952 uncles Pare 28 of the Employees! Deposit~ Linked Insurance Scheme, 1976 as the case = inay be, to ensure that the employer in relation. ¢o such eaployeos complying with the conditions governin, the grant of such exemption; To serve Suumons/ warrants on the accused in respect of bresecution «case. lauached, to enable quick results i),(xi) Powers : 8 the larger interest of the Organisation; and . fo carry out such other functions as may ‘be assigned to him by the competent 3. In order to for the Inspector. to discharge his duties effectively he has been given the following” statutory powers (vido Section 13 of the Employees' Provident Funds and Miscellaneous Provisions Act,e © 1952) namely ;-- a fa) (b) fo require any employer or any contractor from whom any amount ie recoverable uncer section 8A of the Act ts furnish suck information as he may consider necessary; at any reasonable time and with such assistance as he may require, to enter and search any establishment or . any Premises connected with it and require any one found in-charge of it to produce for his examination any accounts books, registers and other documents bearing on the employment of persone and pay-, | ment of wages in the establishment; i to examine with respect to any matter relevant to the . aforesaid Purpose employer or any contractor from wi g § g Ss 5 a & 5 7 3 5 a 9 & o ® eI & & > or whom ‘the Inspector has reasonable cause to believe to have been the em- Ployee of the establishment; to or take extracts from or other documents, {€) to make cop: any book, revis maintained tn relation to the establishment and, where "aS reason to believe that an * udder this Act has been | committe. by employer, sees th suck assistance ay ke nay think such book, ter or other document - Portion thereof as he may consider relevant to that otfences (©) t2 exercise such other bowers as the chemes may Provicie:, Procedure le, +. 38 Possible will apply to any cho oor wow referred to above ay they app earch or seizure made undee the Suthority of 3 Warrant ned under section 94 " the saia Code. Tae Sovisions of the said Code relevant to our purpose are sections 100 sad 102. Section 199 wili help the Inspector demand ay Person, besides the Cccupant, in-charge of the establishment or any bremises connected with it to allow him free ingress and offer facility” for establishment c, mises ca i by ins manner provided by section 47 of the Cr, _P:C. Further ig any person ig reasonably expected ‘concealing about bis person any document for wiich search oof concealing about hig Person any. “ocument for Whick search is made. Such Person could be searched keeping, however the directions cf section 51(2) in view if such pergon is a Yeomans Section 109 of the Code’ requires the |et 8 12 Inspector tc cail upon two or more respected inhabi- tants of the locality in which the place to be searched is situated to attend und witness the search' to issue an order in writing to them so to do, to have a list of documents found in the process of such search and of the place in which they are found prepared and signed by ,- such witnesses; to permit the occupant of the establish- - ment or premises thereof or some person in his behalf to attend during the search” and to give him a copy of the list prepared and signed by the said witnesses. Any person who without reason— able cause refuses o- neglects to attend and witness a search when called upon to do so by an order in writing deliverec or tendered to him will be deemed to have ‘committed an offence under section 187 of the Indiai Penal Code. 3.2 Every Inspector shall be deemed to be a public servant within the meaning of section 21 of the Indian Penal Code:. No suit or other legal proceeding will lie against him in respect of anything which he does or intends to do in good faith under the Employees! Provident Funds and Miscellaneous Provisions Act, 1952 or Schemes. 3.3 Obligations cast on him as public servant under the Indian Penal Code are :-- . (1) A public servant is forbidden to take illegal gratification in any shape whatso- ever, which includes taking. a present from any person or individual inconnection with his Official functions. (2) Not to make wilful departure from the direction of law with a view to causing injury to any person for example, thetmnt ag 14 direction of Jaw is that an Inspector can enter a factory for the Purpose of inspection at a reasonable hour only, If, therefore, he enters the factory at some ‘unreasonable! hour he will be causing breach of this rule. (3) A Public Servant must not intentionaliy Prepare a false record with the object of ‘saving or harming any Pergon. The correctness of the record is of the highest importance both to the State and to the Public, (4) Similarly, Preparation of ‘a false record with the intention to Save himself amounts to an offence, (5) A Public servant ig legally bound not to engage in any other trade, Accordingly, an Inspector, being a Public servant in whole time employment under the Employees! Provident Fund Organisation, is not permited to do any other business, (6) A Public servant is forbidden from attemp- under the law even though his intention to save may be founded “upon a mistaken belief of ‘that Person's liability to Punishment. 3.4 Basideg the obligation of a public servani, the Inspector should observe all the rules and instructions of Official conduct, maintenance of Secrecy ‘etc. like the Government servant and not misuse any information which he might know in the Performance of his Official avties, Equipment g 4. The Powers referred te above wit] certainly aid an Inspector - jp the discharge of hig duties,16 But authority is in itself no — substitute for thorough knowledge in him of the Employees! Provident Funds and Miscellaneous Provisions Act, 19s2 and Schemes framed thereunder & Manual and the departmental i ions and a working know- ledge of various acially those having 2 bearing on iabour wellare coupled with hard work and right attitude towards employer and employee: should be fully conversant with the prescribed in or under the schem: ure found in the Schemes or Manual. 4.1 The Employees! Provident Funds and Miscellaneous Provisions Act, 1952 is a Labour welfare legislation. So a working knowledge of the various labour laws, especially the following, is necessary : (1) The Industrial Dispute Act, 1947 or its variants in respective States. (2) The Factories Act, 1948. (3) The Working Journalists Act, 1955. (4) The Apprentices Act, 1961. (5) The Shops and Commercial’ Establishments Act. (6) The Motor Transport Workers Act, 1961. (7) The Minimum Wages Act, 1948. ‘ (8) The Payment of Wages Act, 1936. (9) The Plantations Labour Act, 1952. Brusides, he should have a working knowledge of the Indian Penal Code especially of Sections 406, 409 thereof (non-remittance by employer ofgenet. 18 employee's of provident fund contributions deducted from wages constitutes criminal breach of trust and so prosecution under this Section may have to be launched to deter such offences); Sections 190, 162 of the. Criminal Procedure Code; the’ Contract Act; the Revenue Recovery Act; Employees! State Insurance. Act; the Sale of Goods Act; the Inselvency Act and Indian Evidence Act. 4.2 The Inspector should keep himeel* physically it and mentally alert to discharge hie duties to the best of his capacity. He should . neatly turn out. There should be no ostentation oo 4 ot gavdiness about his dress. The employees and ven employers will know a snob from a distance him there. The other extreme of shabby with umkept hair and dirty clothes by force or habit or with the idea of ‘ neself with the worker, should be Ne should be avle to express himself and have adequate vocabulary both in ‘and. regional language. He should plead usibiy and persuasively. He should avoid axguinentation. . i 4.4 He should be free alike from an over- bearing attitude inferiority complex. He ‘cannot have too much of courtesy, act and resourcefulness. He must be firm but not offensive. Provident Fund matters y a rather minor .pesition in’ the wide spectrum of au enployer's concern. The Ins- pector should never lese sight of this fact. He ehould refrain from sermonising. * . 445 He most make a good study of the local con~ ditions “ customs and manners and ‘acquire. good knowledge of the ‘industries and other ' activities. aRtey te understand], walar establishment, That will render in his the peculiar pro or. a class of establishmea: his approach pragm He ate contacts oryanisati like of Paetories, Ins- shxents, Directorate eeoment, Emote ‘ Department contact with Organisations. effective than r i, Tispesiora Pectorate of Shops aud. Estal inportant, the ‘to teinptations and to lecai and venesz. ngs. He Sear, “7 amples tak le skowld be clean in should olitely cecline in ie, to any free services or gifts fram interes ed persons. Careless~ hess about these seemingly trivial- things © may coat very dearly not enly to the Inspector ‘but. te the Organisation also. He should so counduct himeelf that ths employers and employees alike wave confidence in him, 4CHAPTER II a INSPECTOR'S OFFICE: en Organisation achieve its objects. .The tc has to function as a watch-dog of the Organisation and gecure compliance from the -em- Ployers. with thé provisions of the Employees! Provident Funds . and Miscellaneous Provisions Act, 1952 and the Schemes framed thereunder.’ To carry. out his duties, he should know which of the establishments in his area attract or are likely to attract the Employees! Provident Funds and Miscellaneous Provisions Act, 1952° or Schemes framed thereunder; how the strength of the em- Ployees is fluctuating; what employees' or em- ployers' Organisation whose assistance will facilitate this job exists; which factories have been re- gistered under the Factories Act and which brought under the Employees! State Insurance Act; whether references received from the Regional Office or from the employers and employees have received prompt attention ete. The following records designed to help him discharge his functions satisfactorily must therefore be. maintained.’ He ie at liberty to devise any additional record he may consider necessary for proper regulation of hia own work, These inetructiona apply equally to inspections attached to the Regtonal Office, The primary responsibility of the Inspector. is that every establishment which attracts ‘the application’ of the Act by reason | of ‘requisite employment strength and completion of infancy Period are brought under the purview of’ the Act, from the. right date of ceverage. With’ a view to ensure timely coverage of establishments, the Inspector is required to carry out the area exten- zy The purpose of any record keeping “is” =~ a a a ;: I (24 a sively, to call out the list of establishments, which may attract the Act on a future date. The estab ish= ment. with the employment strength of 15 and above should. be carefully inspected to explore’ 'their potentiality for ceverage under the Act. Such establishments shoild be brought out in a special register of infant/marginal establishments for initiating timely action for coverage and to avoid retrospective application of the Act. 1. Register of infant establishments : In this register, the establishments with employment strength of 50 and above, and falling under: the notified industry/class of establishment but not completed the infancy period of 3 - years from the date Of. their set up should be entered (please sce Appendix-II). The establishments recorded in. this register should be visited im mediately on completion of 3 years of their infancy and examined for purpose of extension of the Ac. If the emloyment strength ‘exceeded 49 and satisty other corditions then the establishent ‘should be ‘brougth under the fold of the Act by submitting Recessary proposals to the Regional Provident Fund Commissioner. Such of the establishments with the employment strength of. 49 and below, should be carried over to.a special register styled as "Register of marginal’ establishments! thereby: deleting’ the relevant entries in the ‘register with : - suitable remarks. ; ne 2. Register of marginal establishments : . in this, resister, ‘the establishments’ which were included in the “infant establishments". and sould “not be covered on completion of 3 years should be brought out. Thus thig registér~ shall contain the names cf the establishments which tthan 50. The register should be maintained under format. specified ,--vide ‘Appendix-III', ‘These | ess tablishments — should be inspected frequently. to check their employment strength. If at any time the employment strength reaches 50, such establish- ments can be straightaway brought under the fold of the Act, The other establishments should be covered on completion of the infancy of 5 years, if they employ 20 or more Persons. The establish— ments covered under the Act will be entered in the register of "covered establishment" - thereby deleting them from the register of “marginal es. tablishments" with suitable remarks, The establigh~ strength being less that 20 employees should continue to be in the register’ for constant ‘surveillance! for timely coverage, ' : These registers should be kept up to date with additions and deletions ag explained above LS | and normally any establishments covered under the Act’ should find a place initially in infant ‘establishments register and ‘thes in the marginal Aa establishraents register. ‘The inspection — report ‘ in respect of marginal/infant establishments (Appendix-11/111) should be submitted go as to H update “the parallel registers maintained in the Regional Office, 2A yh : 3. Register of covered establishments : H : 7 .fhis should be toted all cove: exempted and urexempted-=in together with their | code numbers, | ENo. if any given by the Regio; Jates of inspections should ‘ibe * ent along with the cumber cf employees and subscrive:bee eR Re ae 28 4. Register of Section 2A establishments .; ‘sy. im this should be noted all covered’ exem { } rf unexempted establishments in the area, of the’ pector, and whose Head Office situzte in ot! . : Regions cr in other Inspector's jurisdiction in | ta the seme region. The code number of the establish- ment shonid be ascertained during inspection and recorded in the register together with antes of inspection. 5. Perseoal registers ; t » Al incoming correspondence from the Regional. ; Office, employers, employees and’ others received every day should be recorded in- the Personal Register to be maintained for the Purpose. tion should be done in order of date of receipt. The Inspector should check up this register every week add’ sutisiy himself waether all commuhications received are “being registered Properly; filed in the relevant files and attended to Promptly. | 6. Stock Register : : “fA stock register showing all articles: belonging jit ep) to the < office,“ such as furniture, :' typewriters, 4 al equipment, camp box “ate., ietc., together: : articulars of ¢ést, date of. purchase; repairs, Giation etc. should be maintained! 7. Retablishment register ; Regstra- aes ¥ q " depre ‘An’ establishment register showing the staff under the Inspector, pay and allowances, leave and service matters should be maintained.” 8. Attendance register ; . ee In this attendance of his staff and his own £ should be marked. .9. Imprest Cash Book : 4 Where an imprest advance has been sanctioned to meet day-to-day contingent expenses an account cf expenditure from it must be maintained in ‘the - Imprest Cash Book. A file for keeping duplicate vouchers in respect of all the’ expenditure booked on the imprest to should be maintained. t 10. Inspector's diaries : The Inspector should send hig tour diary "(whether they are eligible for T.A. or not) so as to reach the Regional Provident Fund Commissioner before 5th of the following month. It should contain the accurate record of work done. The Register indicated at S. No. 6 to 9 above will be maintained by the Senior-most Ins- pector posted at the Inspectorate. i. Presecution Register : in this Register the name of the establishment against which the prosecution has been filed ‘in 12, Recovery Register : On receipt of * recovery certificate issued by the 8.P.F.C. against the Gefaulting establishment, the. contents of the certificate sheuld be: entered into a, register known as Recovery Register. The recovery shovid be watched by the Inspector with . the help ¢f the register till itis not. finally recovered by the collection /deposited by the establishment. Sewia : 32 fed 13. Register of complaints and suggestions : A register shall be maintained in’ ‘the ang Peciorate for the recording of any complaint/sugs es tions by .any subscriber. A notice to this aa should be” “displayed at the Inspectorate at. appropriate place. The suggestions/complaints © so made in the Register should be attended on top Priority basis and necessary remarks should be entered in the said registers. 14. Register of Writ Petition Cases : 5 The Inspector shall . maintain one register. for keeping a record of the writ pétition filed by the parties located in his area so that he may uot visit such establishments till itis not. decided’ by the, Court ‘in whose favour the court has granted stay. The decisions on such write should ultimately be reflected against each writ. 15. Register for 194 cases : A register for keeping a record of the cases filed by the parties with the Government under Section 19A shall be, maintained by the Inspector. As soon as the case is decided by the Govt. the decision to be indicated in the Register with proper. reference. 16. Register for Provision Coverage : , oe All the establishments covered provisionally shall be recorded by the Inspector in one register known as provisional coverage register should attempt to finalise these coverage first..He shall Pursue such cases with, the R.P.F.C.° with ‘the help of this -Register till they are not finalised. 5.1. Stock file.—Al1 Important orders, notifi- cations, precedents, rulings’ etc. shouid be main- tained, serially numbered and according to dates.NE MEME ake ome A MS a 34 | These ‘may be classified into two or three according to their nature, There may be one for general erders and another for specific for the Employees! Provident Funds and Miscellaneous Provisions Act and the Schemes and so on. As instructions: are not to likely to be ‘too many, many stock ties should always be kept upto-date and neatly. 5.2, A Separate file should be Opened and maintained for each covered establishment and bi all correspondence concerning that establishment tom should be filed according to dates, numbered = * < serially and processed in that file. For general | s subjects like survey of new categories of establish- { 4 ments with a view to Coverage, separate files should be opened. . 5.3. The Inspector. should have the following Publications for ready reference :-- (1) E.P.F & Mise, Provisions Act, 1952, (2) EPF/¥PF/EDLI Schemes. ar ' (3) SPF Manuals and Accounting procedure. (4) Handbook of Legal Clarifications. 1 (5) Compilation of Court Decisions. le fi (6) Factories Act, 1948, , ; (?) Industrial . Disputes Act, 1947, ss (8) Criminal Procedure Code, 1973, we (9) Indian Penal Code, 1860, : (10). Revenue Recovery, Act. f t (11). Industrial Dispute Act, 1947, . , i a (12) Employees State Insurance, Act, 1948), ‘ - (13) Civil Procedure Code; 1908, SOS et ani veinsee ee dims (ON ere ee arma ca ‘ . 36 (14) Minimum Wages Act, 1943, i 7 (15) Payment of Wages Act, 1936. (16) Shops and Comercial Botablishmentg Act. . . | (17) Working Journalists Act, 1955, {18) Apprentices Act, 1961, (19) Motor Transport Workers Act, 1961, \20) Plantation Labour Act, 1951, (21) Contract Labour (Regulations & Abolition) { Act, 1970, (22) Payment of. Bonus Act, 1965. P+4. Specimen forms in Stock Register, | (iv) Register of (v) Register of 19a Gases, au overage, (vii) Sugg required to jb, maintained xin of this Menual. neCHAPTER wy TOURS i 1 6. All inspections, inquiries, surveys: to be ‘conducted by the Inspector should. be carried out’ in accordance with a carefully drawn up tour Programme. The following Points“ should be kept ia view in Preparation and undertaking of tour Programmes :—~ (1) The tour Programme should be drawn up for the month at a time wel) in to which they relate. Where the Ins- Pector feels that the meeting with the employers or employees Organisa— tions is necessary fo. the benefit of the employees, he may give intimation of his tour Programme to such Organisa- tion so that necessary contacts and discussion could be hag with them | for mutual advantage, (2) The Inspector should divide this area into. such Se0graphical, , contiguous divisions ag could each’ be covered. “as far ag Possible in one. tour, ° Apart . from Beographical contiguity, the means id in etc. will have to be ‘taken into! account for this Purpose. The. Inspector should send to the Regional Office a sketch map of. his inspection area showing contiguous divis: Ns 5 should not visit a, Stablishme, Outside hig Jurisdiction Without the Specific approval 38(3) (4) (5) (6) (7) (8) (9) of the Regional Commissioner. If he |! Bees outside the region, the approval of ‘the Central Provident Fund Commis- | sivner will be necessary, The “tour should be so planned that maximum number of establishments could .be ‘visited and inspected with minimum. expense of time and money, The tour Programme’ should indicate fullest details of places to be visited, the duration of, halt at each place, the establishments to be inspected at each place. Repeated journeys to the same place or same route should be avoided ag far as possible. . Journey should be performed by the shortest and least expensive route. Audit advice given in the Past in this behalf should be kept in view” The Officer is expected to reach a place of “duty on the date on “Gpicf duty to be performed and leave immee diately after the duty is over. The s journey should not ordinarily be undertaken from the headquarters, immediately before commencement ct holidays. Similarly halts at outstations just fo" ,2 day or so beyond the holidays tnat might intervene may be avoided. A tour programme - once, fixed should be garefully adhered to as fay as Possible. Nothing is more annovingcy sk sodomy ns Os si la as ile dean 42 i to and dislocatory of work for others | than to see a representative of o responsible — organisation change \’ his tour programme. Any deviation - from the approved tour Programme should be intimated to the Regional Commissioner well in advance and any deviation should be got ratified by him. (10) Specimen forms of Tour Programme and Toar Diary to-“be “adopted” by. the Inspector are at Appendices XIV and XVA5 Travelling Allowance Advance 7. The payment of travelling allowance advance/Travelling allowance and daily allowance etc. to the Inspector will be regulated in accord- ance with the T.A. rules as are applicable to the «corresponding categories of Central Government 7.1.- When proceeding on tour, the Inspector i Should carry his briefcase with’ the following contents ;-- ae (1) A copy each of the Employees! Provident Funds = and Miscellaneoiis Provisions 4 Act, and ‘Schemes framed thereunder, f Hand Book of Legal ~ Clarifications, d Compilation of Court Decisions. a (2) Registers of marginal, infant and covered : establishments, i | “(3)/ Papers or references requiring attention during tours. . ¢ oe etn neti‘alte lama 7 44 (4) Blank inspection report forms together with carbon Papers and Inspector's rubber stamp and pad. (3) Tour Diary Register. (6) Stationery and service Dostage stamps. In other words, he should be able to dispose of matter right on the spot. otel A MRS ee ost a . CHAPTER IV INSPECTION. 8. Inspections are intended mainly to cover all coverable establishments and to ensure that an eStablishment once: covered complies fully with the requirements of the Employees! Provident Funds and/ Miscellaneous Provisions Act and Schemes framed / thereunder and, if it is - an exempted establishment, with. the conditions of exemption. In order to cover as large a number as possible of establishments, which should obviously be his: first ‘task, the Inspector, should prepare a list of all coverable establishments with the help of information passed on to him by the Regional Office or which he nay secure from officers of various organisation concerned with the welfare of workers—overating ir his area. There are various sources which could be tapped for this purpose. Below are listed ;the more important of them: (1) Inspector of Factories.—The Inspector of Factories of the area will have with him a list of all factories registered under the Factories Act, classified industrywise, and with particulars of Employment strength. (2) Inspector. of Shops and Establishment.--.- In certain States, they maintain statistics relevant to our purpose in respect of shops and establish- ments in areas covered by Shops and Establishments legislation. Establishments having 15 and. more employees may be noted. (3) Employees' State Insurance Inspectors.——Hé deals with factories/establishments with employment Strength of 19 and above as the Employees! State Insur:nce Act ‘applies to - factories/establishments . 46 A ar ctl ie Sent me48 employing 10 and above and run with the aid of power and 20 and above run without the aid of power. All such . establishments covered under E.S.1. could be ,noted down as covered/coverable or if the infancy period of three or five years, .as the case may be, is yet to be completed, as infant establishment. (4) The Regional Transport Authority .—-Dealing with issue of licences for motor transport, he can furnish information about motor transport operators having 4 and more buses. Four buses running two shifts need 8 drivers, 8 conductors. at least another 4 including cleaner, office and workshop employees. Soa 4 bus fleet owning establishment could aormally be considered to have the minimum employment strength required for coverable establishment. Special information about lorry transport undertakings too could be collected from the Regional Authority. Inter~state lerry transport undertakings must in particular be booked. Every motor transport undertaking having 5 workers and more is supposed to be registered under the Motor Transport Workers Act. Whichever department of Government is administering that Act will be able to give information about establish- ments. (5) Industries and Commerce Departments.— Re~ presentatives of that Department should be able to give a list of all ,factories run or assisted by them. : (6) Industrial Estates.—There are industrial estates in most important towns. The Administrative Officer in charge of the estate will be able to give the data required for our Soon Mae tc PE50 purpose. These estates should constitute ’ an important source for coverage of “new establishments, ; (7) Local Bodies.—-They maintain a list, of estts, for certain purposes.. They could be: a additional quotas, some inflated figures; of employment strength are furnished by the ‘estts, They should not be allowed to get away. with such figures without facing the consequences under the E.P.f. and M.P. Act, Cinemas, Hotels etc. are licensed by the local bodies and so a list could Se obtained of such establishments. (8) Co-operative Departments.—Co-operative Inspectors or other officers of the area should be anlo to give a let of co-operative institutions vr manufacturing consumer or service, falling notified categories of establishments with shout 50 employees. Co-operative Banks whether fand Mortgage or ordinary, Marketing Federations vit: Departmental \Stores in particular are likely to attract coverage and so facts about them should be collected’ with special care. (9) . Mining and Geology. —Information about those establishments could be obtained from’. the Gest’ authorities or the Director of Mines and Geology, . (10) Employers! Association of’ ] ed ® cpiablishiments like ‘Local Chambers of Comierce, Chartered Accountants! Associations, . Attorneys! Associations, Printers! Associations, Planters! Associations, Hoteliers! Associatioté; Engineers and - Engineering Contractors! ©. Associations, Architects! Associations, Rice and Oil” Milig' Associations etc, From the directory of telephone, it should not’ be difficult to Jay hands. on ‘these I useful source for covering new units. To secure ; gaaggga ot@ 52 institations. These institutions will not hesitate to give broad particulars of their constituents. f (11) Trade Unions.--Trade Unions being the most interested in the welfare of workers should be able to givs, a list of factoriee and other establishments which in their knowledge attract the application of the E.P.F..and M.P. Act. (12) Letter Heads and Not Boards. cf estts. “have sometimes thrown light on dark corners as a result of which unknown branches and so called associates (with: which coverage could net be po. could be identifiel and a few coverage .made. Advertiserents and slides fall in the same category. These too should therefore be tapted. 8.1 With the help. of information collected from various ources, three lists should be prepared, one those straightaway coverable, second of those which have’ the requisite cinployment ‘strength fm: coverage but have yet. to complete the infancy, and the third of these having about 15 and more employees but less then 20 and have nearly finished the infancy. Whatever information the Inspector collects from the various sources, above will have of ‘course. to. be supplemented by the additional information which he. gets during inspections. . The’ list will obviously ,be. under constant revision ag more: informatior, is gathered. The above. method of approach’ has been suggested so that he could. go about covering estts. in time. ina very systematic way and avoid wastage of effort and time characteristic of 4 haphazard approach. Soon after the classification of the establishments with reference to the information gathered, | the inspector should send an investigation “report54 ‘ within seven days of the inspection (specimen’ form is at Appendix XVI to the Regional. Commissioner, for issue of coverage memo/inclusion in marginal/infant establishments register, as the case may be, maintained at the Regional Office). 8.2 Preparation of lists alone is not the end of the matter. The actual ccverage presents. lot of problems. There are many employers who on mere att & issue of a notice of coverage on the basis of the wea 4 information collected agree to coverage. There will gent * be many who will question coverage for genuine reasons or in bad faith. Inspection For Coverage | 9. When ja new establishment is visited with a ‘view cisviously to. assessing its coverability eye the Inspector should observe the-following guidlines: (1) On reaching the establishment he should present his identity card to the employer or the manager of the establishment if necessary and request him to give him necessary facilities for inspection of the records of the establishment relevant . -'to his purpose. In a larger establishment an employer or’ manager may advise’ him to contact a subordinate officer/the ‘accounts lofficer or / the ‘labour’ officer. | In the Seourse of his talks with. the’ Official the should ascertain the nature of, the “ gwork, number of employees engaged; “land whether any ‘specific. work “is ibeing ‘done elsewhere directly or ' through a |contractor. He should then. | go’) :round ‘the establishment to find-out the. nature ‘of work actually carried on and. the56 oy difference in the processes or operations. undertaken, particularly those carried ‘/on through contractor. In. a larger ies— tablishment he should ascertain the various: departments into which the establishments may have been divided and the distri- bution of employees departmentwise. While going round the establishment he will get a clear idea of the organisation of the establishment and the size of its -employmen:. While on his round he should also interview a aumber of employees., The information obtained and the names of the employees inter- viewed should be noted. Particular’ care should be taken to check whether, any work is being done outside the establish-. ment premises directly or through a contractor. The general information gathered about the organisation of the eestablish- - ment and. the size of its employment will help him later on to check whether records: produced before hin are complete and accurate. vi (2) Having completed survey of the éstablish~' ment in the manner indicated’ above thé Inspector: should call for the following records and such other records as he «May consider necessary “to ascertain the correct position about the ‘total number of .employees actually engaged, whether a. particular person is an employee or a contractor, whether the -so. called apprentice or other excluded employee is really such an employee. is(3) , 58 (a) Attendance Register, Leave Wages'! Register and Bonus ° Register. in) respect of the period covered . by the. inspection and relevant ‘to the! coverage. : ‘ “(b) Wage. Registers for all. wage periods covered by the inspection and relevant to the purpose. Wage register should be obtained in. respect of all departments. (c) Cash Book and ledger maintained by the employer. Similar records in respect of employees engaged through contractor too should be obtained. Attendance register alone ‘connot be relied on in all cases. Spot counting of the persons emplcyed in the premises, wage registers, ledger, cash books and discreet inquiries about more employees found on the spot may have to be done. Papers relating to the numbers of employees, which the ‘employer may send with his tax returns for claiming deductions in the assessable income may have ‘to be checked up at times to ascertain the employees strength. These extra checks will be necessary especially in+. the case of establishments appearing to. fall on the border line. of coverage. Certain establishments like printing. presses, rice mills etc. maintain two registers,‘ ~ one for permanent and the other. for temporary workers. Sometimes the employer may do so in the belicf that only’ the permanent employees wust be counted hs69 ‘and not others. Casual, and temporary workers may be paid weekly on vouchers with acquittance rolls and without being borne on ithe attendance'.register. All these factd should carefully be examined | before. determining the coverability of ‘van establishment. (4) In cinema establishments a good number of employees is part. time and. .so the fumber of employees shown may be less than the actual number. Two to. three Sweepers have necessarily to be ongaged . but may not be shown. Besides, employees (5) working in.Canteea and Cycle Stand attached to cinema houses will have to be taken into account to arrive at the total num- ber of employees in such establishments. Awareness. of these peculiar . features has helped Inspectors cover several cinema establishments. left . uncovered or not considered coverable earlier. Sometimes the employer on seeing or knowing -of the arrival of the Inspector sends away some of the employees ‘by rear gate so that the Inspector may not be able, to spot count all the employees. Owing to their weak organisation sor of thee ‘employees may run away at thé behest of the employer. The remaining who could help know the total number sometimes side with the employer for fear of consequencies. In such ‘cases if records too’ do not help of are not shown, another surprise visit may be necessary. Instead ‘of one two Inspectors may visit if that can be arranged. .The presence of more than one Inspector(7) (8) 62 will overawe and outwit the errant.employer. Once caught flat footed he will find’ it normally difficult to wriggle out. Sémetimes an unscrupulous employer tries to send away the Inspector saying that be could come, some other time of the day when he would keep ready his records. The Inspector should aot be taken in by this. He must take possession of the relvant records and affix his sig- natures thereon. He may then obtain a written declaration on the facts noted in thp records from the employer and then if he does not need them return the records. If the employer is suspected to be very mischievious one and one who would not hesitate to manhandle, more than one Inspector may visit the establishment. The area Inspector may request the Regional Commissioner to help him with another ‘Inspector. Help of the local police may also be sought if that is considered nevessary. Where another Inspector is difficult to arrange police help may be necessary. Sometimes a surprise. swocp. by .a ‘group of Inspectors may have ‘te be conducted © to comb, out industrial’ areas in, the city. The raid should be. carried’ out with great pre-planning: and. well ‘timed. What- ever: information could’ be ‘collected: about the deployment of . workers, ‘the place of records, the rear. gatesetc. must be -obtained discreetly from. various sources particularly ©; the employee