Question : Non-payment of EPF Contribution

(a)the details of the companies in various parts of the country including Uttar Pradesh which are running in loss and did not open the pool for the amount of Provident Fund (PF) deducted from the labourers during the last three years even after directions issued by the Government;
(b)whether the Government is also aware of various such companies not providing their employees/workers their entitlement such as medical checkup, job security, provision of employment on compassionate ground etc.;
(c)if so, the details of such companies, company-wise along with the action taken against the erring companies/officials during each of the last three years; and
(d)the details of the steps taken by the Government to protect the provident fund of such labourers along with the action taken against such companies for the inordinate delay in EPF distribution to beneficiary families?

Answer given by the minister


MINISTER OF STATE (IC) FOR LABOUR AND EMPLOYMENT
(SHRI BANDARU DATTATREYA)

(a): Employees’ Provident Fund Organisation (EPFO) does not differentiate between profit or loss-making companies covered under the Employees’ Provident Funds & Miscellaneous Provisions (EPF & MP) Act, 1952. However, number of companies defaulted in Uttar Pradesh in the last 3 years is as follows:
Contd..2/-
:: 2 ::
Years Number of Establishments Amount
(Rs. in crore)

2012-13 809 264.81
2013-14 789 266.57
2014-15 512 331.54

(b) & (c): Whenever instances of such violations come to the notice of the Government, action as provisioned in the respective Acts/Schemes is taken.
No statistics about such companies and action taken against erring companies/officials is maintained centrally.
(d): EPFO takes the following actions against the defaulting companies, including those situated in Uttar Pradesh, under the provisions of EPF & MP Act, 1952 to protect the interest of workers:
i. Proceedings under Section 7A of the Act for assessment of dues are initiated.

ii. Prosecution for non-deposit of dues is launched under Section 14 of the Act.

iii. First Information Reports (FIRs) are filed under Section 406/409 of Indian Penal Code (IPC) for non-deposit of employees’ share of contribution recovered from wages of employees and not deposited in EPFO account.

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