Section 17A of EPFMA : Section 17A: Transfer Of Accounts

Explanation using Example

Imagine a software engineer named Raj who has been working for a tech company, XYZ Tech Pvt. Ltd., which is covered under the Employees Provident Funds and Miscellaneous Provisions Act, 1952. Raj has accumulated a significant amount in his Provident Fund (PF) account over the years. Now, Raj has decided to switch jobs and has accepted an offer from ABC Innovations, a startup that is not covered under the Act.

Under Section 17A of the Act, Raj can request that the amount in his PF account with XYZ Tech Pvt. Ltd. be transferred to his new provident fund account with ABC Innovations. This transfer should be done within the time specified by the Central Government, provided that ABC Innovations' provident fund rules allow for such a transfer.

This section ensures that Raj doesn't lose his PF accumulations and can continue to grow his retirement savings seamlessly, even when moving between companies covered and not covered by the Act.