PF Deduction Issues: Legal Action for Retrieving PF and Gratuity Benefits - CiteHR

One of my friends is working as a full-time lecturer at Trichy college for 15 years. He has been forced to resign by the management as they have decided to remove all senior staff. PF has not been deducted from his salary since the beginning, and he has been in conflict with the management resulting in no resolution. Now, he has to leave the organization with only the current month's salary. Please advise on how he can retrieve his PF for the entire 15 years. Can we take legal action against the college management? If so, which court should we approach? He possesses all the necessary evidence, and his salary is credited through his bank account. Please advise accordingly.

Regards,
Vijayaragavan

From United States
Acknowledge(0)
Amend(0)

Hi Vijay,

Sending faculties out has become a common issue nowadays, especially in Trichy. Please ask your friend whether PF was deducted from his salary for the said period or not. If PF has been deducted, he might have received his Annual PF Slip (Form 23). He can check his contribution in the employee portal or approach the EPFO office with his PF Account No. to inquire. If his contribution is there, he can claim it.

Arasu.

From India, Coimbatore
Acknowledge(0)
Amend(0)

Hi Arasu,

PF was not deducted from his salary since his joining, and he was asking management to deduct PF from his salary, but it was never done by management. Now, suddenly, he is forced to resign. So he wants to get his PF benefit even though management has not deducted the same. In this case, can we file a complaint against management for the non-deduction of PF?

Regards,
Vijayaragavan

From United States
Acknowledge(0)
Amend(0)

nathrao
3180

"So he wants to get his PF benefit even though management has not deducted the same."

The answer is self-evident. He has not contributed to PF, so how can he ask for a PF balance? Secondly, his pay may be more than Rs 15,000, so the question of PF may not arise. Your friend has to face the reality of the private sector and move on. Fighting legal battles is of no use. The company will use its organizational funds, but the employee will deplete his own savings to fight a lengthy battle, with no certainty of a verdict in his favor. Sad, but that is reality. I would advise moving on and forgetting the issue as a bad dream. In any case, seek legal advice and then make your own wise decision, as most lawyers will advise you to pursue the matter in court.

From India, Pune
Acknowledge(3)
SK
Amend(0)

Yes, Vijay, definitely. Let him approach the EPFO with a written complaint. Also, he has to prove his employment in the organization for the said period either by his attendance or by his salary slip to the EPFO authority.

Arasu

From India, Coimbatore
Acknowledge(0)
Amend(0)

Please mention the date of joining of your friend, salary/wages at the time of joining, the number of employees in the college, and the Establishment Code No. under EPF. If his salary was in the range of ₹5000 per month at the time of joining, he would be eligible to be a member of EPF. If the employer has not enrolled him as a member of the PF fund, action can be initiated against the management.

Lodge a complaint before the EPF authorities in the concerned Regional Provident Fund Commissioner.

Regards,
RL Dhingra, Advocate, Labour Law Consultant.

From India, Delhi
Acknowledge(1)
CH
Amend(0)

Appreciating Suggestions and Considering Legal Options

While appreciating your well-meant suggestions to Pvragav2000, I would also like to point out that most members posting their problems, issues, or situations are looking for actionable and realistic suggestions or solutions.

Both of you have been members of CiteHR for over 5 years now, by which I presume that you would have noticed the tendency of many members to look at the legal option (which always exists for any and every issue or situation) as the first option. Just because the legal option exists doesn't mean that it is the most appropriate option for a given situation, since the options to be exercised by a member for his or her problem will have to factor in his or her collateral situations and circumstances—whether they allow him or her to go legal or not.

The objective of most CiteHR members who participate in the discussions and keep sharing or giving their suggestions, based on their experiences, has always been to provide holistic solutions to the issues raised. In today's management parlance, suggestions based on a 360-degree viewpoint of the issue. I am sure you would realize that legal recourse would be just one of the options in a 360-degree view.

As seniors, we need to keep in mind that whatever we say, suggest, or advise is most often taken at face value, and the newbies just follow them. In case an inappropriate suggestion is given and followed that leads to unpleasant consequences, have we, as seniors who were looked upon to guide, done justice to our collective roles? Food for thought, I guess.

This surely doesn't mean that legal action is not preferred when the situation demands as well as the other circumstances, which are unique to every posting or case. If permitted, then most members who give suggestions would strongly support the legal way, and there have been legal eagles in this forum who have guided the thread initiators on how to go about the whole legal process too on various occasions.

Applying the above points and observations to the current issue, thread, or problem, like Nathrao mentioned, this lecturer neither contributed to the EPF nor did his employer. Then how would his problem get resolved if he approaches the EPF officials? All that would get highlighted would be that this college didn't go as per rules.

It doesn't take an Einstein to know if and when this college is forced to begin contributing to the EPF, both by employee and employer.

All this lecturer would be doing is ensuring that those who join after him would benefit. Nothing wrong with this unselfish act per se. But was that the initial objective to begin with? Do you think that he would get his EPF even when the EPF Commissioner takes action on this college in an as-is-where-is scenario? Surely not, since he hasn't made any contributions.

Maybe, hypothetically, he still can get his EPF, provided the college makes deductions with retrospective effect for all the 15 years from this guy and also adds the employer contributions. Do you find this realistic, doable, or actionable? And even if there's a 0.1% chance of this happening, what would the timeline be? Will he be able to spare time, money, and effort doing the follow-ups, etc.?

Then why at all suggest going to the EPF office and waste his time, which I am sure he can put to better use.

It's a different matter if this lecturer gathers all the staff to protest and takes things together.

Hope you get the point and no ill will meant.

@Pvragav2000—

I would agree with Nathrao. Just ask your friend to move on in career and life, but learn from this experience.

Regards,

TS

From India, Hyderabad
Acknowledge(0)
Amend(0)

nathrao
3180

What about the entitlement to gratuity? That is also one aspect to be taken up by the lecturer.

[Check out this link for more information: https://www.citehr.com/190582-entitlement-gratuity-case-lecturers.html](https://www.citehr.com/190582-entitlement-gratuity-case-lecturers.html)

From India, Pune
Acknowledge(2)
TA
SR
Amend(0)

I don't think he can claim for PF as there was a deduction from his salary regardless of the circumstances. But he can ask for Gratuity. I believe that 15 years of continuous service entitles him to Gratuity.

Thanks,

Abhishek Das

From India, Kashipur
Acknowledge(2)
TA
Amend(0)

Dear Friend,

You are eligible for gratuity for every year served and will receive a lump sum grant. If you need to lodge a complaint with authorities, please make sure your name is in the salary register. Best of luck.

From India, Arcot
Acknowledge(0)
Amend(0)

nathrao
3180

Dear Raghav, What your friend should do in the circumstances is build up a full case based on the lack of EPF contributions and failure to pay gratuity. Link the pay scale with the lack of EPF contribution and show where the college has defaulted. At some stage in the last fifteen years, he would have been entitled to EPF, and the lack of following the law is to be highlighted. Secondly, non-payment of gratuity is another legal violation. If your friend really feels to take things to a logical conclusion, he should assemble facts, legal documents (Payslips, Form 16, etc.), and then approach EPF authorities, the Labor Commissioner, and the District Education Officer regarding all these defaults. I am sure there will be other affected employees - in or out - of service. Organize and take up matters in the right manner with the sole motive of getting legal rights. Please discuss the matter in full with any suitable legal advisor and take actions.
From India, Pune
Acknowledge(3)
TA
SK
Amend(0)

CiteHR is an AI-augmented HR knowledge and collaboration platform, enabling HR professionals to solve real-world challenges, validate decisions, and stay ahead through collective intelligence and machine-enhanced guidance. Join Our Platform.







Contact Us Privacy Policy Disclaimer Terms Of Service

All rights reserved @ 2025 CiteHR ®

All Copyright And Trademarks in Posts Held By Respective Owners.