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Question no. 57914

Mandatory deductions for the employees' provident fund commence from________________?

Select your answer for: Mandatory deductions for the employees' provident fund commence from________________?
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Answer: D. after 240 days of joining the service

Explanation

Mandatory deductions for employees' provident fund schemes often commence only after completing a qualifying service duration. Statutory provisions in certain jurisdictions stipulate that temporary or probationary workers must complete 240 days of continuous service. Reaching this specific service milestone triggers compulsory employer and employee contributions toward long-term social security accounts. Provident fund systems are government-mandated savings programs designed to provide financial security for workers upon retirement. Continuous service thresholds prevent administrative burdens associated with managing short-term temporary workers within retirement funds. Labor laws define continuous service carefully, accounting for authorized leaves, holidays, and minor workplace interruptions.

Option A is incorrect because mandatory deductions rarely start immediately upon joining for probationary or casual industrial workers. Option B underestimates the standard statutory qualifying period established for continuous service in traditional provident fund laws. Option C proposes 100 days, which does not match the traditional 240-day statutory continuous service threshold for fund eligibility.

Subject
Engineering
Topic
—
Difficulty
medium

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