PF Authorities targeting Healthcare Establishments

The Employees Provident Fund Organisation has recently in a cirucular dated 1st August 2014 has proposed to increasea the limit of Coverage for PF from the existing Rs.6500/- Limit to Rs.15000/-. The circular has notified the area enforcement officers to list out visible establishments like Hospitals, Diagnostic Centres, Maternity Centres, Hotels, Restaurants, Schools, Workshops, Showrooms of Branded Companies etc., and submit a report to the Regional Provident Fund Commissioners.

In view of the notification, Companies operating in these domains have to be ready and carry out preparatory activities to bring employees under above mentioned ceiling to be covered under Provident Fund.

For More Details download the Notification Here – PF Notification

Builders welcome Govt move to take realty Bill forward

Hyderabad, June 5:  Source : THE HINDU Business Line

The Confederation of Real Estate Developers’ Associations of India welcomed the long-awaited Government move to pave way for real estate regulation and development Bill.

But said there is a need to closely look into what is in store in the final version.

C.Shekar Reddy, President of Credai, in a statement said, “We worked closely on the previous draft Bill. We had certain strong reservations on some of the clauses of the Bill and we will keep on working with the ministry and the States, so that our members are not unnecessarily victimised and License Raj does not come back.”

From industry perspective it is important that the Bill maintains equilibrium between the developer’s community and the end users.

Sanjay Dutt, Executive, Managing Director, South Asia, Cushman & Wakefield, said, “The Bill will help institutionalise the sector, giving it the necessary fillip to move to a new phase of growth and development.”

Hopefully, this would also be a positive step in the direction of providing ‘Industry status’ to the sector. This is likely to attract investments from domestic and international funds.

Anuj Puri, Chairman & Country Head, Jones Lang LaSalle India, said, “As and when the Bill gets enacted, it will look to provide considerable relief to the ordinary buyer and investor who goes through innumerable obstacles when buying a property and at times is duped by even small developers, builders and brokers.”

By imposing strict regulations on the Promoter, the Bill looks to ensure that construction is not only completed in a timely manner but that on completion the buyer gets the property as per the specifications that he had been promised.

The category of real estate brokers has also been brought under the ambit of this Bill by making their registration mandatory when the promoter provides the project details to the Authority.

The Bill in its current form does not provide for any relief to them in terms of getting through the cumbersome approvals and permissions process in any expeditious manner.

Industrial Units Across India Face Power Shortage

The survey, by the Federation of Indian Chambers of Commerce and Industry (FICCI) and Bureau of Research on Industry and Economic Fundamentals (BRIEF), ‘Lack Of Affordable and Quality Power: Shackling India’s Growth Story’, has revealed that  as many as 61 per cent of the firms suffer above 10 per cent shortfall in production due to power cuts; 13 per cent suffer 2-5 per cent shortfall in production, 12 per cent suffer 6-10 per cent and only 14 per cent, mainly in Gujarat, Karnataka and Maharashtra, suffer less than 2 per cent production losses, assuming that the firms do not rely on power back up units to ensure continuous production activity.


The survey was conducted over the last three months covering 650 large, medium and small industries in 20 states across India. Of the 650 companies interviewed, 67 per cent were privately owned and 28 per cent were either private partnership or individual ownerships. Only 3 per cent of the total sample was public sector or government run units and 2 per cent were from the multinational corporation category.


The survey reveals that companies in Gujarat incur low losses as power shortages in Gujarat are negligible. Companies in Karnataka are in the IT-enabled services sector which is not as power intensive as Iron and Steel, Aluminium etc. and hence suffer less production shortfall as compared to the electricity intensive sectors. It was observed from the survey, that Maharashtra, which as a mix of both IT and manufacturing companies, like Gujarat, does not suffer as acutely by power shortages as some of the other states around the country.


Based on these and other findings, the survey recommends the following 10-point policy package to provide affordable and quality to industrial consumers: increase capacity of installed sources; ensuring communication to load dispatch centre and an extensive review and audit of the protection systems; implementation of smart grid; grant of open access option to the consumers, which will allow all the bulk consumers to choose their distributors must be operationalised; use of alternate sources of power generation must be encouraged; incentivize ‘green’ architecture or building such that conventional energy usage can be minimized to its lowest possible amount; awareness and education programs on green technology; create industrial cooperatives that can source electricity or have a dedicated captive generation source; provide clear and public information on power cuts; stricter laws and penalties for the theft and unsanctioned use of electricity; in-depth study on the normal requirements of different sectors in the country.


The survey notes that firms are facing cost escalation, losses in revenue, increased consumption of fuel, increased investment in captive facilities, higher inventory costs and loss in competitiveness and many other issues that are seriously detrimental to the health and stability of the Indian industry.


Almost two-thirds of the firms in the Indian industry feel that because of the power shortage and intermittent supply, they are losing to their international competitors and thus losing their previously captured international markets. Not only does this limit future expansion as companies remain wary of not being able to compete, the Indian economy which depends highly on firms trading in the international markets is affected as well.


The results show that approximately 37 per cent of firms, mainly in Gujarat, Maharashtra and Karnataka face less than 1 hour of power shortage in a week and at the same time 5 per cent suffer 21-30 hours per week and 21 per cent suffer more than 30 hours per week (primarily in Tamil Nadu and Andhra Pradesh). Further, it was also found that 16 per cent face 6-10 hours per week, while 15 per cent face between 1-5 hours weekly. This makes it evident that that no segment of the industry pan-India is safe from negative impact due to power losses and power outages. Overall, 32 per cent of industrial units across India face power shortage of over 10 hours a week.


The survey notes that 54 per cent of companies were aware in advance of the load-shedding schedule. While more than half of the companies are aware and the information is available, the awareness of load-shedding should be far more widespread. Within the 46 per cent, the majority of companies that did not know the schedule were from particular states. This implies that the information though available is not as uniformly available as it should be and that stakeholders in certain states are hence unprepared for power cuts, increasing the negative impact of power outages on their operations.


A centralized information channel must be set up, such that the entire Indian industry, not just companies in a few states have the knowledge and information of schedules on planned power cuts or load-shedding.


The revenue losses due to power cut range between less than Rs. 1000 to above Rs 40000. Even small and medium firms incur losses above Rs. 40000, mainly in the poorer performing states. In states like Gujarat, Karnataka and Maharashtra, the majority lose less than Rs. 1000 implying that if the power scenario in the other states is made to mimic the scenarios in these three states, revenue losses can be brought down to as low as Rs 1000.


As per survey findings, 57 per cent of the firms are of the view that cost of electricity will increase in the next six months while 43 per cent believe that it will remain the same.


Source :  dt February 1o, 2013