Hi members!
We have an employee who absconded from the services about 2 months ago. The person has now approached the HR department for withdrawal of PF. I wanted to know -
1. Is the person eligible for withdrawing PF even if the person has absonded from the services of the company?
2. Does the company have an obligation to sign and stamp the withdrawal forms for an absconded employee?
Kindly let me have your views and inputs as this will help my team in taking a decision.
Regards,
Niki
From India, Pune
11We have an employee who absconded from the services about 2 months ago. The person has now approached the HR department for withdrawal of PF. I wanted to know -
1. Is the person eligible for withdrawing PF even if the person has absonded from the services of the company?
2. Does the company have an obligation to sign and stamp the withdrawal forms for an absconded employee?
Kindly let me have your views and inputs as this will help my team in taking a decision.
Regards,
Niki
From India, Pune
Dear Niki,
How many months / years did this employee work in your company for? Do you have any signed agreement with the employee on the notice period cluase? If he has absconded from work, have you issued a show cause notice to him? These are some of the questions you may need to answer.
But as for the PF, you can delay it but cannot deny it. The PF money is already deposited by your firm against each employee's account at EPFO. So, your denying to sign on it will not get you that money. Yes, if you have an agreement which deals with termination of service / resignation and notice period, the employee is liable to pay for the notice period.
You may call on him to discuss this matter with the employee. As i said earlier, you can delay the PF amount...but cannot deny.
Regards,
Arun
From India, Bangalore
How many months / years did this employee work in your company for? Do you have any signed agreement with the employee on the notice period cluase? If he has absconded from work, have you issued a show cause notice to him? These are some of the questions you may need to answer.
But as for the PF, you can delay it but cannot deny it. The PF money is already deposited by your firm against each employee's account at EPFO. So, your denying to sign on it will not get you that money. Yes, if you have an agreement which deals with termination of service / resignation and notice period, the employee is liable to pay for the notice period.
You may call on him to discuss this matter with the employee. As i said earlier, you can delay the PF amount...but cannot deny.
Regards,
Arun
From India, Bangalore
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Early PF withdrawal won’t be easy.pdf
Guide Lines for PF Withdrawal.doc