The corporation will refund PF account holders for the ‘loss,’ which is a huge comfort.

EPF: The employer business shall be liable for any losses incurred as a result of late contributions to the Employees’ Provident Fund (EPF). The Supreme Court reached this agreement on Wednesday.

EPF: The employer business shall be liable for any losses incurred as a result of late contributions to the Employees’ Provident Fund (EPF).­­ The Supreme Court reached this agreement on Wednesday. The Employees’ Provident Fund and Miscellaneous Provisions Act, according to a bench of Justices Ajay Rastogi and Abhay S Oka, provides social security to employees working in establishments employing 20 or more persons.

Read More: EPFO Alert: Important PF Account Information! EPFO has issued an alert, warning that if nothing is done, there will be significant losses.

According to the Supreme Court, it is the employer’s responsibility to deduct and deposit provident fund (PF) in the employee’s account at the EPF office under this statute. On an appeal filed against a Karnataka High Court decision, the Supreme Court agreed to this arrangement.

The Karnataka High Court held that if an employer fails to make an EPF payment, he must compensate the employee. “We believe that under section 14B of the Act, the employer would be required to pay compensation for the delay in paying the EPF contribution,” the court stated.