Non payment of P.F by Co.
Kishan Biyani
(Querist) 22 April 2009
This query is : Resolved
If any co. has deducting the P.F from Salary then after continuous service of 8 years,at the time of leaving the job the P.F can be claimed? If Co. is paying only the employee's contribution then can we suit a case or whose contribution will be received by employee
Y V Vishweshwar Rao
(Expert) 22 April 2009
It is obligation of the Employer to Deduct the Eployee Contribution and Employer Contribution shall be paid the at same time regualrly and remit the same to PF Authorities / Bank , as contemplated , other wise the liability of Emplouyer is with penal interest and there is also penal provison .
The Employee is entitled to Recieve his contribution and Employer Contribution and PF incldes both contributions
For recovery of PF from the PF Scheme it is sufficient to file an Applicatioin before the PF Authorities for payment and also for enforcement of Remittance of Employers Contributions with interest . Suit need not be filed .
With regards !
Guest
(Expert) 23 April 2009
There is some confusion in your question. You are saying that the employer is paying only the employee's contribution as PF dues at the time of resignation. The PF dues will be paid by the PF department and not by employer. The employer will only attest the form of the employee and employee will submit the form and get his PF dues from the PF department.
There is a provision in the Act, in which, in some cases, employer is allowed to constitute PF trust and keep the contribution of employer and employee with the trust.
Please clarify whether there is any such trust in your establishment? Even then, paying only employee's contribution withholding the employer contribution is illegal and unjustified. The remedy lies by filing complaint to the PF department and also if there is no positive action from them to approach the court of law is the last remedy.
