The Employees’ Provident Fund Organisation (EPFO) has been directed to pay ₹50,000 compensation to an employee after taking almost 10 years to transfer his provident fund account from one employer to another.
The order was passed by the District Consumer Disputes Redressal Commission in Chandigarh, which criticised the EPFO for the long delay and called it a clear case of poor service.
The employee had switched jobs from Tech Mahindra to Infosys in 2010 and applied for the transfer of his PF balance soon after. However, despite repeated reminders, complaints and RTI applications, the transfer process remained pending for years.
According to the case details, the PF amount was finally transferred only in 2020. The employee then approached the consumer commission, arguing that the delay caused financial loss and mental stress.
During the hearing, the EPFO blamed technical and software-related issues for the delay. The commission, however, rejected the explanation and observed that such excuses could not justify keeping a subscriber waiting for nearly a decade for access to his own savings.
The commission termed the delay a “deficiency in service” and ordered the EPFO to pay ₹50,000 towards compensation and litigation costs within 60 days. It also warned that failure to comply would attract interest on the amount.
The ruling has drawn attention to delays faced by many PF subscribers and is being viewed as a significant decision on accountability in public service delivery.
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