Facing EPFO Dues for Non-Enrolled Staff: How Can Our NGO Negotiate a Solution?

Introduction to Kaira Social Service Society (NGO)

Our organization, Kaira Social Service Society (NGO), is a charitable, non-profit, and public trust registered under the Bombay Public Trust Act and Societies Registration Act. All the activities undertaken by this organization are for the benefit of poor and marginalized communities on a project basis, regardless of caste, creed, or religion. Our organization is not engaged in any industry, business, profitable enterprise, or any other establishment. We do not operate any schools under our organization anywhere in India.

Employment and Provident Fund Details

We currently employ 50 project staff, who serve for a specific purpose and a limited period of time. We initiated the Employees' Provident Fund (EPF) for our staff from April 2016 onwards. Initially, we were unaware that the NGO is no longer exempt.

Issue with Employees' Provident Fund Organization (EPFO)

Recently, we received a notice from the Employees' Provident Fund Organization (EPFO) regarding dues from non-enrolled employees, totaling approximately 6 lakhs due to the nature of project-based staffing, which involves a higher turnover of staff.

Request for Guidance

We seek guidance on how to approach the EPFO to resolve this issue and negotiate a reduced payment to the EPFO.

To address the EPFO notice for non-enrolled employees at Kaira Social Service Society (NGO) in Pune, India, it is essential to take the following steps:

1. Review the EPFO notice carefully to understand the specific details of the dues related to non-enrolled employees.
2. Compile all relevant documentation, including employee records, EPF contribution details, and any communication with EPFO.
3. Contact the EPFO office in Pune to schedule a meeting to discuss the issue in person.
4. During the meeting, explain the unique nature of project-based staffing at the NGO, emphasizing the temporary and specific-purpose nature of employment.
5. Request for a detailed calculation of the dues owed by non-enrolled employees to verify the accuracy of the amount claimed by EPFO.
6. Negotiate with EPFO officials to explore the possibility of reducing the payment amount based on the turnover of project staff and the charitable nature of the NGO.
7. Propose a payment plan if negotiating a reduced amount is not feasible, ensuring that the NGO's financial obligations are met while considering the organization's charitable activities.
8. Follow up with EPFO in writing after the meeting to summarize the discussion points, agreements reached, and any action items identified.
9. Monitor the progress of resolving the EPFO notice and ensure timely compliance with any revised payment terms or agreements made during negotiations.