Is It Legal for Employers to Stop Contributing to PF? Seeking Advice on Next Steps

I am from Tamil Nadu (Tirupur), working in the dyeing industry. Last month, the management informed us that they will no longer contribute to the PF amount. Employees who wish to have PF will have to pay the full contribution themselves (employee contribution 12% and employer contribution 13.61%).

Legal Implications of PF Contribution Changes

Is this legal or illegal? Should we file a complaint against this decision?

Regards.

It is not legal; it is purely illegal. Once management starts to contribute to the PF, the contribution cannot be stopped without the knowledge of the PF authorities. You can report the management to pay the employer contribution. Otherwise, file a complaint with the PF authorities; they will collect from the management with interest and damages from the date of eligibility.

Regards,
Alphonse