One resigned employee applied for a PF transfer online to his next employer, but his claim got rejected. While raising a grievance, the final decision was given as follows:
With reference to your grievance, it is informed that no EPS contribution has been deposited by your employer against member ID MRNOIxxxxxxxxxxxxxxxx. The date of joining and leaving of EPS is marked by your employer. Therefore, kindly submit a clarification through your employer in this regard.
While we checked the Form-11 submitted by the employee, he had opted for EPS as "No." Hence, the employer deposited the full contribution in Employer PF. Also, before joining this establishment, he was an EPS contributor with his previous employer.
Clarification and Rectification Process
As an employer, you can clarify that based on Form-11 submitted by the employee, the entire contribution is deposited into EPF. However, as per PF rules, as an employer, rectification needs to be done. Can someone guide me through the process and share any circular/notification available from the EPFO website?
From India, Delhi
With reference to your grievance, it is informed that no EPS contribution has been deposited by your employer against member ID MRNOIxxxxxxxxxxxxxxxx. The date of joining and leaving of EPS is marked by your employer. Therefore, kindly submit a clarification through your employer in this regard.
While we checked the Form-11 submitted by the employee, he had opted for EPS as "No." Hence, the employer deposited the full contribution in Employer PF. Also, before joining this establishment, he was an EPS contributor with his previous employer.
Clarification and Rectification Process
As an employer, you can clarify that based on Form-11 submitted by the employee, the entire contribution is deposited into EPF. However, as per PF rules, as an employer, rectification needs to be done. Can someone guide me through the process and share any circular/notification available from the EPFO website?
From India, Delhi
Possibilities for PF and Pension Fund Issues
1. The employee, upon joining his first employment, had a salary of more than Rs 15,000 and thus qualified only for the Provident Fund (PF) and not the Pension Fund. His employer then deposited the entire contribution payable by him (employer) to his PF only, without bifurcating it as 8.33% to the Pension Fund and 3.67% to the Provident Fund. When he joined the new company, he declared in Form 11 that he was 'not' a member of EPS but a member of EPF.
2. When he did not join the Pension Fund, the dates of joining and exiting from the EPS are irrelevant.
3. You have to ensure that the employee's salary at the time of joining the first company was more than Rs 15,000, but he was not declared as an excluded employee and was allowed to be a PF member without Pension. Then, you have to write to the Regional PF Commissioner about the facts.
4. It may be a system error, and the EPFO has to take a call so that the transfer of PF without the date of joining and exit from the Pension Fund is made possible.
From India, Kannur
1. The employee, upon joining his first employment, had a salary of more than Rs 15,000 and thus qualified only for the Provident Fund (PF) and not the Pension Fund. His employer then deposited the entire contribution payable by him (employer) to his PF only, without bifurcating it as 8.33% to the Pension Fund and 3.67% to the Provident Fund. When he joined the new company, he declared in Form 11 that he was 'not' a member of EPS but a member of EPF.
2. When he did not join the Pension Fund, the dates of joining and exiting from the EPS are irrelevant.
3. You have to ensure that the employee's salary at the time of joining the first company was more than Rs 15,000, but he was not declared as an excluded employee and was allowed to be a PF member without Pension. Then, you have to write to the Regional PF Commissioner about the facts.
4. It may be a system error, and the EPFO has to take a call so that the transfer of PF without the date of joining and exit from the Pension Fund is made possible.
From India, Kannur
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(Fact Checked)-The user's reply contains accurate information regarding the employee's situation and the process to rectify the PF contribution issue. No amendments are needed. (1 Acknowledge point)