PF commissioner slams postal dept for depriving casual workers from PF benefits

The move follows several complaints from employees unions about the postal department depriving hundreds of casual workers of statutory benefits.

Pune: After a few employees unions flagged the denial of provident fund benefit to contractual employees in the Pune postal department, the regional provident fund commissioner-I (RPFC-I) of Pune, Amit Vashist, on October 15, issued an order directing the postmaster general of Pune region, Ramchandra K Jayabhaye, to ensure retrospective enrolment of all eligible employees under the Employees’ Provident Fund and Miscellaneous Provisions Act, 1952. The order also directed the postmaster general to take comprehensive remedial measures so that the employees get their pending dues, and submit a detailed compliance report to the Employees Provident Fund Organisation (EPFO) within seven days.

PF commissioner slams postal dept for depriving casual workers from PF benefits

The move follows several complaints from employees unions about the postal department depriving hundreds of casual workers of statutory benefits. The matter was first taken up by the Bharatiya Postal Outsource and Contractor Mazdoor Sangh in July 2024, alleging that the department had engaged employees on a casual basis by labelling them as “college students” to avoid providing provident fund (PF) and other social-security benefits.

It was also alleged that no appointment order was issued to such workers and some cash payment was made by making entries in notebooks. A subsequent complaint was made by Akhil Bharatiya Dak Outsource Employees Union with the same allegations.

An investigation by the RPFC-I confirmed the allegations to be true. The probe found that the postmaster general was in default of ₹10.82 crore in provident fund dues. The RPFC-I noted that the postal department had sought to “masquerade this arrangement as an internship programme for college students,” despite evidence that none of the individuals so engaged were attending any college or academic course.

“I am astonished to see that the respondent, which is an arm of the Union of India, would engage itself in such reprehensible labour practice, and that too for decades,” the commissioner noted in his order.

The postmaster general, who was examined under oath on December 17, 2024, stated that the complainants were engaged on a daily basis and paid remuneration on a fortnightly basis as per the rates notified by the labour commissioner under the Minimum Wages Act.

The PF commissioner initiated proceedings against the postmaster general on August 14, 2024, for alleged violations under section 7A of the Employees’ Provident Fund and Miscellaneous Provisions Act, 1952. The proceedings were completed on August 15, 2025.

On October 15, the commissioner issued the order, directing retrospective enrolment of all eligible employees under the 1952 Act, and stating that the total assessed amount must be remitted within 60 days, with the department required to deposit both the employer’s and employee’s share of contributions without recovering any portion from the employees’ past or future salaries. A timeframe of seven days was also fixed to submit the compliance report.

Commenting on the development, Durgesh Kumar, commissioner (compliance), PF, said, “The office is taking action against defaulting establishments in both private and government sectors. Aggrieved employees may file a complaint or appropriate legal action.”