PF money not deposited by employer to EPF account
Jaiesh
(Querist) 27 September 2016
This query is : Resolved
Dear, plz advice, my PF money is not deposited to my EPF account by my employer, what should i do?
Sudhir Kumar, Advocate
(Expert) 28 September 2016
submit written complaint to RPFC. Seek action under section 7A of the EPF Act read with section 406/409 of IPC. request for your presence in the proceedings.
Ms.Usha Kapoor
(Expert) 28 September 2016
You can take the following action if your employer doesn't deposit your contribution to provident Fund account.
If the Employer has not Deposited the EPF contribution to EPFO or trust then what can an Employee Do
Many companies deduct contribution towards PF from their employees’ salaries but do not deposit this with their trust or with EPFO. Employees think that company is deducting EPF and he can get it on resigning or retirement. But when they find out that there is no retirement corpus they thought they were accumulating, hell breaks loose when they. Employee don’t know their account balance, they do not know how to deal with a defaulting employer. or how to fight for what they thought was theirs. What can an employee do if his employer is not depositing EPF money to EPFO or trust.
My previous employer has yet not deposited the sum that was deducted towards my provident fund. In fact, they haven’t opened a PF account. It’s been six months since I left the firm but I haven’t got my money.How can I claim it?
It is an offence to deduct provident fund and not deposit it. The financial problems of the company have nothing to do with PF. If company has been depositing employer’s and employee’s contribution regularly with PF office the funds are in the control of PF office and not employer. The PF amount, if not deposited with the PF department, then only your previous employer can be held liable to pay.
To know if your employer is depositing your EPF contribution you can ask for a copy of Form 12, which gives the details of money deducted from an employee’s salary. Employers need to send this form to EPFO towards the end of each month. But, employers may decline to furnish Form 12 to employees. You could also file a Right to Information application to the regional EPFO. You need to mention your EPF account number and your employer code.
If you still find your employer has not deposited the deducted PF with the trust or EPF then you can do following
• You can file a criminal case against your employer. You file a written complaint against your employer in the local police station.
• You can also take this up with the provident fund department by sending an email tocvo@epfindia.gov.in. To furnish a written complaint in your regional PF office, you can get the relevant contact details at http:www.epfindia.com.
• You can complain to the chief vigilance officer appointed by the labour ministry. You can email at cvo@epfindia.gov.in .
• You can approach your regional PF inspector for action against your employer.
Please ensure that for all complaints you produce your salary slips showing PF deduction and your employer’s name, address and, if possible, PF registration number.
EPFO says if a company is found to be non-compliant with its PF deposits, it will not only have to pay the dues but also pay an interest penalty on the same, depending on the number of days of delayed payment. If the delay if for less than two months, then the interest payable will be five per cent yearly above the amount payable for the number of days of delay in making payment. Similarly:
• If two months and above but less than four months = 10 per cent a year
• If four months and above but less than six months = 15 per cent a year
• If six months and above = 25 per cent a year
Please note that these redressal processes take their own time and don’t guarantee recovery all the time.
Kumar Doab
(Expert) 28 September 2016
Write to company to supply you the salary slip of each month, PF number and PF a/c slips of each year..........
Lodge complaint with RPFC of jurisdictional PF office, preferably by letter thru Redg. Post, and follow up thru RTI.................
Lodge complaint u/s 406.............as suggested by Expert Mr. Sudhir Kumar.
Raj Kumar Makkad
(Expert) 28 September 2016
I think you have rightly been advised hence no more to add.
Rajendra K Goyal
(Expert) 28 September 2016
You can proceed as guided by the expert Kumar Doab and expert Sudhir Kumar.
Jaiesh
(Querist) 28 September 2016
Dear All experts, many thanks for all your inputs. As guided I will submit wrtten complain to EPFC and then followup with RTI, I will share updates/output of this excercise here for followup advice. Thanks and Regards Jaiesh
Rajendra K Goyal
(Expert) 01 October 2016
You can have guidance in case of problem further.
Sudhir Kumar, Advocate
(Expert) 01 October 2016
while maing complaint make a specif request for action under section 7A and also request for your presence in the proceedings.
Kumar Doab
(Expert) 01 October 2016
Include as suggested by Expert Mr. Sudhir Kumar.
