LCI Learning

Share on Facebook

Share on Twitter

Share on LinkedIn

Share on Email

Share More

Ashish Jain (Senior Consultant)     03 July 2012

Company making it mandatory for pf transfer.

Hi,

I have resigned from a large IT company 3 months back and now in a day or two I will be given relieving letter. I have completed everything finely and now need to get clearances from various departments. Though all other departments have given clearances but PF dept is forcing me to Transfer PF and not opt for withdrawal.

This company has its own PF Trust, I am not sure why they are doing so? I will be joining next company in few days, but dont want to transfer PF. Please let me know can a company force me to do so, and in case they cant force what can I do to give it back to them?

This is the mail I got from the company's PF team.

  

"Please note that as per EPF & MP Act, 1952, Employee who are leaving XXXX India and joining next organisation needs to transfer his PF."

 

 

  

Thanks,

 

Ashish Jain

    



Learning

 1 Replies

Kumar Doab (FIN)     03 July 2012

For your future reference you may write to concerned personnel to supply you complete set of PF rules of PF trust of the company than supplying in piecemeals.The rules may be placed at HR page of employee portal. All rules should be circulated within the knowledge of the employee.

Your company has quotedEPF & MP Act, 1952, and none of its rules.

Existing PF rules specify that an employee can withdraw his/her entire EPF contributions two months after leaving a job. If another job is taken up within two months, the EPF balance must be transferred to the worker's new PF account at his/her new workplace.

 

https://www.epfindia.com/epf.htm

EMPLOYEES' PROVIDENT FUND SCHEME 1952

Benefits:
A) A member of the provident fund can withdraw full amount at the credit in the fund on retirement from service after attaining the age of 55 year. Full amount in provident fund can also be withdraw by the member under the following circumstance:

·         A member who has not attained the age of 55 year at the time of termination of service.

·         A member is retired on account of permanent and total disablement due to bodily or mental infirmity.

·         On migration from India for permanent settlement abroad or for taking employment abroad.

·         In the case of mass or individual retrenchment.

B) In the case of the following contingencies, the payment of provident fund be made after complementing a continuous period of not less than two months immediately preceding the date on which the application for withdrawal is made by the member:

·         Where employees of close establishment are transferred to other establishment, which is not covered under the Act:

·         Where a member is discharged and is given retrenchment compensation under the Industrial Dispute Act, 1947.


Leave a reply

Your are not logged in . Please login to post replies

Click here to Login / Register  


Related Threads


Loading