--PF and Gratuity are covered under Social Security Laws.
--PF is immune from any attachment.
Can the amount standing to the credit of any member in the Fund be assigned, charged or attached?: The amount standing to the credit of a member in the Fund cannot be assigned, charged or attached under any decree or order of any Court. Similarly, the amount standing to the credit of a member in the Fund at the time of his death is free from any debt or other liability incurred by the member before his death and cannot be attached under any decree or order of any Court. {Section 10}
Attachment of PF should not be confused with that of pension.
HR point of View is: "Employer can refuse to sign the claim form i.e. Form 19 & 10C," and employer be prepared to face explanation, and consequences.
"Provident Fund contribution of employer is not right of employee if he is terminated for wrongful reasons. Employee has no lien in employer’s contribution if he is terminated for disciplinary and wrong reasons."
You may consult your legal cell and labor Law practitioner specially experienced one who can offer you perfect reference of case no and corresponding law that upheld disqualification of employee from receiving employer’s contribution to P, in line with rules/law of the land/judgments/policies of the company.
Please look into the Attachment: Preponderance of Probabilities
“Disciplinary Authority (DA) that is, the Joint Development Commissioner (SISI) & the Chief Vigilance Officer, in his order dated 13.5.1997, seen at Annexure-A2, communicated to the applicant the order of the President of India in exercise of the powers under Rule 9(1) of the CCS (Pension) Rules, 1972 to the effect that 50% of the monthly pension otherwise admissible to the applicant would be withheld on a permanent basis”
Treatment of Pf administered by EPFO and by Trusts is different is some aspects.
Treatment of Pf administered by EPFO and by Trusts is different is some aspects..
As per Bank of Baroda PF rules (attached)
18. No deduction shall be made, save as by these rules provided, from the amount
standing to the credit of an account in the name of a member unless he is
dismissed for misconduct causing financial loss to the Bank and in such case the
recovery to be made by the Trustees and to be paid by them to the Bank shall not
exceed the amount of such financial loss and shall be made from the contributions
made by the Bank credited to individual account of such member and to interest
(simple or compound) credited in respect of such contributions and accumulations
thereof in accordance with these Rules.
Forfeiture of PF is explained in certain situations, and mere mention of term forfeiture of PF must not be confused with right of employer to forfeit PF.
Please look into the attachment;" Whether PF can be with held"
--Payment of Gratuity Act:
Section 13: Protection of Gratuity
-No gratuity payable under this Act 22[and no gratuity payable to an employee employed in any
establishment, factory, mine, oilfield, plantation, port, Railway Company or shop exempted under section 5] shall be liable to attachment in execution of any decree or order of any civil, revenue or criminal court.
-4(6) Notwithstanding anything contained in sub-section (1),
(a) the gratuity of an employee, whose services have been terminated for any act, wilful omission or
negligence causing any damage or loss to, or destruction of, property belonging to the employer,
shall be forfeited to the extent of the damage or loss so caused;
(b) the gratuity payable to an employee 16[may be wholly or partially forfeited]–
(i) if the services of such employee have been terminated for his riotous or disorderly conduct or
any other act of violence on his part, or
(ii) if the services of such employee have been terminated for any act which constitutes an offence involving moral turpitude, provided that such offence is committed by him in the course of his employment.
Before forfeiture of Gratuity, employer must supply show cause notice to employee and grant opportunity to explain. Forfeiture can be up to the extent of loss caused/proved.
Even if line management/HR are not zealous and vindictive they have to follow the rule book and employee shall need to apply exceptional levels of persuasion, persistence, negotiation, reasoning skills and adopt path of rapprochement.
If the employee is determined and was subjected to rude, insulting, coercing, threatening conduct, and employee is determined then employee may approach an experienced and competent service lawyer and show all documents and give inputs in person and the lawyer shall be able to comment on the merits of the case and structure and draft the communications to be submitted to the good offices and may be in a position to defend from paying the bond amount.
Employee should always consult elders in the family, experienced and competent well wishers, trained legal mind before taking such steps. It is better to consult before hand than to repent later.
A similar query is posted at following link;
https://www.lawyersclubindia.com/forum/Is-legal-notice-compulsary-for-termination-of-employee-under-52744.asp
Forum Home > Labour & Service Law > Employment > Is legal notice compulsary for termination of employee under
730833201_
