Is It Legal for My Employer to Withhold PF Contributions Until I Serve 5 Years? Seeking Advice

I joined a PSU-run subsidiary last June (June 2014). This subsidiary is a listed limited company. My offer letter, which included a CTC, indicated a PF contribution of 12% of the basic + DA from the company's end. The PF is managed by a PF trust run by the parent company. The company has been deducting 12% of my basic + DA as a PF contribution, but they have not been paying their contribution to the trust. Upon inquiry, I was informed that they will add their contribution to the account after I serve 5 years in the company. Is this legal? I might quit the company before the five-year term and might have to forego the employer's contribution entirely. They are currently deducting approximately 4600 as my contribution.

I have attached the CTC sent with my offer letter and a recent salary slip for your reference. Please help with this situation. All employees who quit before 5 years of service are unable to receive the company's contribution to the PF.

Regards

Dear,

First, you need to get the UAN (Universal Account Number) from the company's HR department and activate the same. There, you can see the exact figures of contribution (Employee & Employer). If it does not show there, contact the PF department; they will definitely help you.

Once you have completed the above 6 months, you are eligible to receive the PF contribution from the Employer.

How come you know that the employer contribution towards PF is not deposited in trust? Do you have any proof for the same? Have you received any statement or any document from the Trust regarding the subscription?

I checked with HR in Mumbai, and he informed me that only my contribution was being credited. A colleague recently filed an RTI and was given the amount in the account. It matched exactly with the amount deducted from the salary. A colleague quit a month back and was also given just his contribution. I have also filed an RTI now and will get the info. From the above information, I have inferred that the company has been only giving my contribution to the account. Please note that the attached payslip also shows only my part.

To file a complaint, address it to the PF Commissioner of your jurisdiction along with all the evidence, and send a copy to the Trust.