Facing Delays with PF Withdrawal and Unpaid Bonuses: Can Legal Action Help?

Legal Action for Employment Issues

Can I take any legal action in the following two cases? If yes, please suggest how.

1) I am an ex-employee of a partnership firm that provides service-related work. We received a job offer from another Pvt. Ltd. company, which we accepted. Consequently, I submitted my PF forms to my ex-employer for withdrawal. They have kept the forms without taking any action and keep making excuses. It has already been one month since my submission. I request your help on this matter.

Also, note my job details for reference:
- Joining date: 10-Jan-12
- PF Applicable from: 1-Sep-12
- Notice period started from: 9-May-16 (Only verbally communicated, no proof)
- Left the job: 10-Jun-16 (Only verbally communicated, no proof)

Can I take any legal action regarding the above cases? If yes, please suggest.

2) The ex-company gives a bonus during the Diwali Festival to all 25 current working employees. Do we have any rights or rules to receive this bonus? Or any rights to claim the remaining 6 months of unrecorded cash salary incentives?

My ex-salary details are as follows:
- Basic: 7000/-
- Special Allowance: 3000/-
- Other Allowance: 3000/- + Incentive
- Cash Incentive: 3000/- (This incentive is not recorded on my salary slip or the company record book because we received this amount directly from the company owner in cash. However, I have not received this incentive for the last 6 months.)

Regards

Alternative Ways to Claim Your PF

First, try to understand why the company is not submitting your PF forms to the PF office. If you don't get a proper response, yes, you do have an alternative way to claim your PF.

Since the employer does not verify, you have to attest your EPF withdrawal form from other credible authorities. These authorities include:

- Manager of a bank.
- Any gazetted officer.
- Member of the Central Board of Trustees/committee/Regional Committee (Employees’ Provident Fund Organization).
- Magistrate/Post/Sub Post Master/President of Village Panchayat/Notary Public.

As you can see, the list is long, but in practice, attestation by the bank manager is preferable. Also, the manager should be from the branch where you maintain an account.

Note that you have to take a signature and stamp on every page of the application.

Since this is an alternative route, the EPFO does not encourage this process. There is also a higher chance of fraud. Hence, it asks for a letter stating the reason for the direct application for EPF withdrawal.

It is advisable to attach evidence, if any, of ‘non-cooperation’ by the employer. This will give weight to your application. Try to correspond in writing with your employer so that you have some evidence of non-cooperation.

Attach an indemnity bond (affidavit) on a 100 rupee stamp paper. Although it is not mandatory according to the rules, you should not take any chances.

Also, attach service proof. An application of one of Planmoneytax readers was rejected for the lack of service proof. Hence, you should attach copies of payslips, ID card, Form 16, or an appointment letter from the employer to substantiate your claim.

Also, attach a copy of your identity proof and address proof.

Regards