Dear S R and all group members,
SR, was missing you and your expert comments since long. Sharing a Provident
Fund case study.
RTI EXPOSES PROVIDENT FUND BLUES Avinash Murkute
Provident Fund (PF) encashment is usually not a square deal. Employers treat
queries from ex-employees as cry for the moon. Getting response from PF office
is like banging one’s head against a wall. The situation is worst when
employees reside in a state other than the one where employer is head
quartered. Industry honchos talk of attrition but these RTI success stories
reveal how members have to move heaven and earth to live through.
K. Surya Rao was employed as area marketing manager with M/s Vanguard
Therapeutics Hyderabad. For better prospects he moved to another marketing
firm. His salary, field expenses and statutory PF dues remains unpaid by his
employer. For more than three years his polite reminders were ignored by his
erstwhile masters. Finally, he filed RTI application with Regional Provident
Fund Commissioner (RPFC) Hyderabad to inquire status on his PF withdrawal
application pending since August 2006. He also asked statement of his PF
account showing transactions from start date and contact details of zonal
vigilance.
RTI act 2005 mandates central public information officer (CPIO) to share
requested information within 30 calendar days of receipt of RTI application.
There was no response on his application dated June 30, 2008. Repeated
telephonic queries with RPFC Hyderabad revealed ignorance on RTI application
delivered by speed post. CPIO directed applicant to send the fax of
application. Applicant sent the fax and confirmatory copy of fax was also sent
by speed post along with proof of delivery of original application.
Section 6(3) of The RTI Act 2005 provides that where the application is made to
public authority requesting for an information which is held by another public
authority or the subject matter is more closely connected with the functions of
another public authority……….the public authority to which such application is
made shall transfer the application or such part of it as may be appropriate to
that public authority and inform the applicant immediately about such transfer.
Taking immediate action on RTI application, CPIO (Krishna Choudhary)
transferred this RTI application to concerned PIO of Sub Regional Office
Kukatpally Hyderabad (AP/RO-HYD/28/173 dated July 31, 2008) with instruction to
share the information within 7 days. Thus RTI application helped to trace the
jurisdiction to which member account belonged.
Taking immediate cognizance of RTI application transfer, new CPIO (T Indira)
supplied requested information to applicant (AP/SRO/KKP/RTIA/No.2/2008/242
dated August 06, 2008). PF account number submitted by employer was incorrect
and PF office shared correct PF account number to member. Statement showing PF
account from date of opening to date was provided. This statement shows
contributions by employee and employer, interest during the period and
cumulative balance. This CPIO went ahead in deputing enforcement officer to
check the affairs of employer M/s Vanguard Therapeutics Hyderabad and his
default in submitting few annual returns. The response claimed that they will
obtain Form No.19 and Form No. 10-C from defaulter employer. However, employee
is free to submit claim forms directly to his office to obtain attestation of
employer and process claimed response. CPIO further promised to revert to
applicant within 7 days informing further progress of
case or findings of enforcement officer. Thanks to The RTI Act, member
applicant is somewhat relieved as he is hopeful to get approximately rupees
twenty thousand dues pending since last three years from his employer and PF
department.
In response to another RTI application and subsequent complaint
(KN/PF/RC(PS)2006)1-2/ dated November 11, 2005), RPFC Bangalore took serious
cognizance of PF default by employer and issued show cause notice (SCN) which
reads as: "As per Para 72(5) it is mandatory on the part of employer to forward
the claim applications of resigned employees to the RPFC, duly attested, for
settlement of the accounts of the members within 5 days from the date of
receipt of the claim applications. Failure in submission of the claim
application duly attested by employer will entail employer liable for
prosecution under section 14 of the EPF and Mal Practices Act 1952 read with
EPF Scheme 1952." Surprisingly, this SCN was issued by name to Managing
Director of M/s Jagdale Healthcare Bangalore.
It took more that fifty telephone calls to RPFC Bandra Mumbai to get my EPF
dues, shares Sudhir Yerpude. His settlement was moved by PF department only
when RPFC Bandra Mumbai (MH/RC/TR/4037/274 dated March 26, 2007) intervened and
directed RPFC Kandivali Mumbai to take immediate action. Such case studies
reveal that members are in dark about jurisdiction to which their account
belongs to.
PF settlement is directly paid to member’s saving account by way of payment
advice to banker under intimation to member. In one very recent advice note
issued by RPFC Bangalore (RPFC/KN/Cash/AUG/2008) to one nationalized bank, it
has been made loud that if the banker park the money without giving immediate
credit to beneficiary account, banker will be made liable to pay the interest
for relevant period and RPFC will also make further references to Ministry of
Finance.
COMPLAINTS
Director Vigilance, EPFO Head Quarters, Ministry of Labour, Government of
India, Bhavishya Nidhi Bhawan, Bhikaji Cama Place,
New Delhi – 110 066
Employee’s 5 responsibilities:
Preserve your appointment letter and salary slips showing PF deductions.
Know your PF account number and jurisdiction of your regional office or its
section from where your account will be serviced.
Obtain annual PF statement from employer or RPFC.
Upon resigning, submit Form No. 19 and Form 10-C and preserve a copy till you
get your full settlement. If your ex-employer refuses to acknowledge or respond
to your PF queries, forward your complaint to Director / General Manager / CEO
of your ex-employer by name, by registered post.
Still not getting your PF dues? First check your saving account and then file
complaint with RPFC or Zonal Vigilance officer of RPFC or Director Vigilance
EPFO at New Delhi.
Interactive Voice Response Systems (IVRS) commissioned at few regional offices
are either poorly developed or are in graveyard. Websites of few regional
offices are always down and has no customer interaction interfaces. Online
grievance management system at EPFO can be best compared to Bermuda Triangle.
One can never expect e-mail response from regional offices. Exceptions are
always there, wherein regional commissioner Bangalore, N A NAIR, responded to
all emails and even post cards and that to with sense of urgency.
Therefore, it is time for Ministry of Labour, Employees Provident Fund
Organization (EPFO), Chief Commissioner, Regional Commissioners and Conclave of
PF Trustees to comprehend grievances of PF members and break prevailing vicious
circle and anarchy.
Avinash Murkute, Pune
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