Question : DEFAULT IN PAYMENT OF P.F. AMOUNT



(a) whether the contractors of several public sector undertakings who engage contract labourers are reportedly by default in payment of Provident Fund (PF) amount collected from workers and their own matching shares as well;

(b) if so, the details thereof including the number of contractors defaulted during the last three years and the amount involved therein, State-wise;

(c) whether the Government proposes to initiate any action to ensure payment of PF amount by contractors; and

(d) if so, the details thereof ?

Answer given by the minister


MINISTER OF STATE (INDEPENDENT CHARGE) OF THE MINISTRY OF LABOUR AND EMPLOYMENT (SHRI OSCAR FERNANDES)

(a) : Compliance in respect of contractor workers is ensured through the principal employer. Besides, compliance of the covered establishments including Public Sector Undertakings is monitored regularly by the Employees` Provident Fund Organization and on detection of default appropriate action is taken against the defaulting establishment.

(b) : No separate record is maintained by EPFO in this regard.

(c)&(d) : On detection of default appropriate action is taken for assessment of dues and recovery thereof through principal employer. This includes filing of complaints under section 406/409 IPC, launching of prosecution under section 14 of the Employees` Provident Funds and Miscellaneous Provisions Act, 1952, attachment of movable/immovable property, arrest of defaulters, etc.