Telangana uncovers over ₹1,100cr PF irregularities among outsourced workers
Telangana's government just uncovered a huge problem: over ₹1,100 crore in suspected provident fund (PF) irregularities involving outsourced workers.
After checking Aadhaar details for 1.6 lakh employees across departments, officials found that more than 60% of outsourcing employees either did not have PF accounts or had irregular PF contributions and suspected cases of ghost employees on the payroll.
Now, hundreds of private manpower agencies are under investigation, with the government starting recovery steps and legal action.
Audit finds over 60% PF irregularities
The audit showed more than 60% of these workers either didn't have PF accounts or their contributions were inconsistent.
PF amounts deducted from employees, as well as the employer's contribution released to agencies by government departments, were allegedly not deposited with the EPFO.
Several agencies allegedly shut down or stopped operations as scrutiny intensified, sparking calls for tougher rules and better oversight on outsourcing in government jobs.