Employee's PF Misallocated for 7 Months: How Should the Company Compensate?

I am facing a critical issue now. One of the employees' PF amounts, due to the negligence of accounts officials, was paid to another employee for 7 months without informing his date of joining (DOJ). The new joiner's PF amount has gone to the absconded employee's account. When the new joiner checked the status of his PF amount, he realized that the company had only started paying him PF after 7 months of his joining. However, in his payslip from day one of joining, the PF amount was deducted, totaling 12,716 (116 for the first month and 1,800 Rs for 7 months).

Now, how much does the company have to pay him as this employee is going to be relieved? Kindly advise me on this issue, please.

Hi Vidhya,

This happens rarely because UAN provides all needed information. If wrongly paid, you have to approach the PF commissioner and file a petition. Delayed payment attracts interest, which is calculated on a daily basis.

If you make the payment today through the EPF website, in 3 days the website will display the interest on the amount and also provide a provision to pay it.