Employee's PF Transfer Stuck Due to Previous Employer's Negligence: How Can I Assist?

One of our employees is having a problem with PF transfer as his earlier employer had not deposited the PF deducted amount into his PF account, and now that organization has stopped its business. He submitted Form 13 from his current organization. How can I help him? His previous organization is not settling it, only saying they will do it but there has been no result. One and a half years have gone by this way. He has a balance PF for around 2.5 years. Please suggest.

Hi Mamta, now it is not in your hands. It is left to the employee and the PF department. Let the employee complain to the PF department regarding the non-contribution.

Ask the employee to speak to his or her previous employer or the PF department. They need to approach senior employees of the PF department.

Previous employers only said, "will do," but nothing has been done to date. He left the company in 2009.

You can suggest to your employee to visit the PF office directly along with his PF account details. Alternatively, you can provide him with a PF withdrawal form for him to fill out and have it attested by any banking officer. Then, he can proceed directly to the PF department to submit his form.

With Regards,
Amrita Singh

Presently, EPF officers are responding very actively. Your employee can file an e-grievance (epfigms.gov.in) with all the history, providing proper details of the PF account number and amounts deducted monthly (with proof from the salary slip that can be attached on the website). It will take at least a month or two. After submitting the grievance, you can call the respective EPF office (contact details available at epfindia.gov.in/RegSites.html).

Furthermore, if the response isn't satisfactory, you can raise a grievance to the Personnel Department of the Government of India. This ensures that your case will be taken up, not less than by the cabinet secretary, with the respective PF office.

Regards

As per my knowledge, there is no need to run anywhere. Kindly ask your employee to lodge an online complaint on EPFO by completing the Grievance Registration form with all the necessary details provided in the link below:

http://epfigms.gov.in/grievanceRegnF...on=WTEoRaXAli5

After the complaint is lodged, the PF department will take action against the employer.

You are saying that his previous employer has not deposited the deducted EPF contributions to the PF department, and now the organization is also shut down. In this case, what can the poor employee do, and how can you help him if the contributions are not remitted to the concerned employee's EPF account?

Non-Remittance of EPF Contributions

Non-remittance of EPF contributions is a criminal offense under the EPF Act. In this case, the employee has the right to file a criminal case against the employer. The concerned employee can send a legal notice or file a case against the concerned EPF office for their negligence in not inspecting the bookings, challans, and annual returns.

I advise filing a case against the employer as well as the EPF department.

Thanks & Regards,
Basivi Reddy

Not remitting PF after its deduction from the employee's salary is an offense under Sections 406-409 of the Indian Penal Code (IPC). This is a cognizable offense, meaning the police can take action. You should lodge an FIR with the police station where the previous employer is located.

Expecting this money from the Employee Provident Fund Organization (EPFO) can be a Herculean task. EPFO cannot transfer an amount that has not been credited to the employee's account. There are provisions within EPFO to handle such cases, but these provisions are rarely utilized.

Regards,
Satish Kumar Bhargava
Advocate
Former RPFC Gr I

Legal Action for Unremitted PF Deductions

Not remitting PF after its deduction from the employee's salary is an offense under sections 406-409 IPC (see explanation below). This is a cognizable offense where the police can take action. Lodge the FIR with the concerned police station where his previous employer is located.

As far as expecting this money from EPFO is concerned, it is a Herculean task. EPFO cannot transfer the amount that has not been credited to the employee's account. There are certain provisions with EPFO to deal with similar cases, but these provisions are seldom used.

Regards,
Satish Kumar Bhargava
Advocate
Former RPFC Gr I

Agreed with Mr. Bhargava. However, I suggest two complaints should be filed with the concerned EPF office:

1. Against the employer, alleging non-depositing of PF in the PF department and requesting a refund/transfer of any deposited PF amount.

2. A complaint against the PF inspector in the area where the employer is located, requesting all relevant records of the employer for the period of your employment with your PF account number. This complaint should allege the inspector's connivance and dereliction of duties regarding this default.