April 2, 2025
Rajya Sabha MP Ritabrata Banerjee’s Zero Hour mention on the demand for strict action against Provident Fund defaulters from the private sector, specially mentioning some jute mill and tea garden owners in Bengal whose cases are being delayed by the additional central PF commissioner in charge of the state despite the state’s labour department writing to the commissioner to expedite the cases to bring justice to the employees
Sir, the Employees Provident Funds and Miscellaneous Provisions Act, 1952, is one of the most important social security schemes for the benefit of the working people of our country. This Act provides for the institution of provident funds, pension funds and deposit-linked insurance funds for employees in factories and other establishments. Provident Fund is a Central Government-managed retirement savings scheme where both employees and employers contribute a portion of the employee’s salary to create a fund for retirement or emergencies, managed by organisations like the Employees Provident Fund Organisation. Sir, unfortunately enough, defaults under the EPFO has reached a record high of almost Rs. 26,000 crore at the end of 2023-24, marking an increase of 69.3 per cent from Rs. 15,254 crore the previous year, according to official data. The private sector’s default on provident fund deposits with EPFO has been constantly on the rise in the last five years in an alarming rate. In the private sector particularly, a large number of employers not only are not depositing their contributions but are also not depositing the contribution of the employee which the employers are deducting from salaries. This is a dangerous and alarming trend. In order to ensure stringent measures against the PF defaulters, the concerned State Government must have the concrete PF data from the PF offices which are not happening in reality. The Labour Department of the Government of West Bengal has been repeatedly requesting the Additional Central PF Commissioner, in-charge of West Bengal, Sikkim and Andaman & Nicobar Islands to share the list of defaulters of jute mills since 2024. The concerned Additional Central PF Commissioner has not bothered to give any details till date. There was a written complaint to the Labour Minister, West Bengal against a private contractor agency, working at Haldia Dock Complex, by nearly 1,000 contractual employees of Haldia port regarding huge PF default. The Labour Department has been sending formal letters to the same Additional Central PF Commissioner since August 2023 but till date no concrete reply has been received. Naturally, a suspicion of an unholy nexus between the said office and the contractor arises. The question is whether this particular office situated in DK Block, Sector II, Salt Lake, West Bengal, is trying to protect that particular PF defaulter at any cost. Similarly, since 2024, the West Bengal Labour Department has been writing to the Regional Provident Fund Commissioners of Jalpaiguri, Siliguri and Darjeeling requesting for the garden-wise PF dues under their jurisdiction. Unfortunately enough, no concrete reply has been received from them. In order to ensure stringent action against PF defaulters, through you, I would request you…
