Can My Current Employer Open an EPF Account If I Didn't Have One Before?

Hi All, I have been working in a software organization for the past 1.4 years. When I joined, my EPF account was not opened due to some reasons. Now, I want to open my EPF account. Does the organization have the authority to open my EPF account even though I did not have an EPF account in my previous companies?

Thanks & Regards,
Mukesh kr.

Actually, according to some IT companies, they are not ready to open EPF accounts for their employees considering their work period and level. This is because many employees tend to quit their jobs easily within the probationary period. There are even some companies willing to pay a penalty to the current employer for an employee they highly desire.

We are facing such issues with certain individuals. I believe your HR department may be facing similar challenges. I suggest you reach out to them for confirmation.

Have a nice day.

Regards,
D. Mohan

Listen brother, there is no provision in the company to withhold the EPF account or to start it. You must understand that EPF is an Act which states that every employee who has, at the time of joining the establishment (in your case, an IT company), a basic salary of less than 6500 must be a member of the EPF. Now, there is no definition in the act regarding the time condition of work (i.e., whether it is temporary or permanent). Only trainees are not covered under the EPF Act.

Stay Cool, Atom