The company have deducted PF from May 2013 on wards, but they paid from June 2013 as they got registration with the effect from June 2013. Company says that the deducted amount will be given back to employees without employer contribution (No Er contribution). Is this right as per law?
The company committed PF from May 2013 in the offer letter
From India, Thanjavur
The company committed PF from May 2013 in the offer letter
From India, Thanjavur
Dear Anishkv6,
As per my views, there is no harm to pay back the deducted amount, as they are not keeping the amount after deducting in the name of PF Fund.
As the company got the registration later to that date than they can't do any thing on this matter. Although, paying back that deducted money is a good move. Otherwise the company could be in trouble.
And on part of that commitment in offer letter, if the company itself was not covered on that day, how it will cover you..??
So, its better for the company to pay back the deducted amount to the employees and do regular compliance from the date of coverage.
From India, Delhi
162As per my views, there is no harm to pay back the deducted amount, as they are not keeping the amount after deducting in the name of PF Fund.
As the company got the registration later to that date than they can't do any thing on this matter. Although, paying back that deducted money is a good move. Otherwise the company could be in trouble.
And on part of that commitment in offer letter, if the company itself was not covered on that day, how it will cover you..??
So, its better for the company to pay back the deducted amount to the employees and do regular compliance from the date of coverage.
From India, Delhi
Dear Anishkv6,
Your company is right in refunding the contribution deducted from your salary of May 2013 even though there was a commitment by your company that the PF scheme will be extended to employees from May 2013. Since your compny got registration from June 2013, your company can not make remittence for May 2013 and therefore your company has no other option but to refund the amount.
It is a question of one month only. If you wish to sue the company for false commitment and for ER share being CTC, you can do so. I can not give you different answer here.
From India, Mumbai
Your company is right in refunding the contribution deducted from your salary of May 2013 even though there was a commitment by your company that the PF scheme will be extended to employees from May 2013. Since your compny got registration from June 2013, your company can not make remittence for May 2013 and therefore your company has no other option but to refund the amount.
It is a question of one month only. If you wish to sue the company for false commitment and for ER share being CTC, you can do so. I can not give you different answer here.
From India, Mumbai
Dear Anishkv6,
In my views, suing your organization for the difference of only 1 month will not be a wise decision. And where the reason was beyond the control of your employer.
It will also spoil your relation with the employer.
Being a good employee, you may also advise the management to issue a letter to all such employes / put a general notice on the notice board of the organization informing them about the EPF Coverage date. It will strengthen your relation with the organization.
Now, the decision is yours.
From India, Delhi
In my views, suing your organization for the difference of only 1 month will not be a wise decision. And where the reason was beyond the control of your employer.
It will also spoil your relation with the employer.
Being a good employee, you may also advise the management to issue a letter to all such employes / put a general notice on the notice board of the organization informing them about the EPF Coverage date. It will strengthen your relation with the organization.
Now, the decision is yours.
From India, Delhi
Really happy and welcome all views and suggestions given for this subject. Anish must more polite and move along with the tide and this would make you more practical
From India, Chennai
From India, Chennai
Dear All, Thank for your timely guidance and suggestion on the issue. Organisation should communicate this to employees in a transparent way. Thanks Anish KV
From India, Thanjavur
From India, Thanjavur
One month not a big deal..just forgot it. If your company deducted amount more than 2-3 months and not ready to pay then I must suggest take a legal action.
From India, Pune
From India, Pune
Mr.Anish,
Please don't accept the money without Employer's Contribution.
If they mentioned in offer letter means, they are already in-line with all the statutory compliances, detecting EPF and not paying to EPFO is a crime, this kind of crime is the first charge in the case of Kingfisher.
So, the company has to pay you the EPF money along with Employer's contribution. If you have your payslip with deducted EPF of that respective month, you can file a Labour Case against thee company.
Take a right decision.
From United States
Please don't accept the money without Employer's Contribution.
If they mentioned in offer letter means, they are already in-line with all the statutory compliances, detecting EPF and not paying to EPFO is a crime, this kind of crime is the first charge in the case of Kingfisher.
So, the company has to pay you the EPF money along with Employer's contribution. If you have your payslip with deducted EPF of that respective month, you can file a Labour Case against thee company.
Take a right decision.
From United States
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PF is to be deducted on canteen allowance - Delhi HC 22.7.2013.pdf