Is it mandatory for all employers to contribute to the EPF?

The reason why it is mandatory for employers to contribute to the Employees' Provident Fund (EPF) for all employees with specific salary limits is rooted in the purpose of the EPF itself. The EPF is designed to provide financial security for employees after retirement, and it aims to safeguard their savings for future needs. Under EPF regulations, employers are required to contribute a portion of the employee's salary towards the fund, ensuring that all eligible employees benefit from this scheme.

This mandatory contribution applies to employees who meet certain salary thresholds, which are put in place to ensure the contributions are manageable for both employers and employees, while still providing essential financial support in the long run. Employers not only build a retirement fund for their employees, but they also comply with the legal obligations focused on enhancing employee welfare.

In contrast, other choices imply either selective application or voluntary participation, which does not align with the overarching framework of employee benefits designed under EPF legislation. The clear stipulation of mandatory contributions underscores the commitment to employee welfare and the principle that retirement savings are essential for all workers within the specified criteria.