Byju's fails to pay PF for most employees for June even after EPFO directive: Report

Edtech startup Byju's has failed to pay provident fund for most of the employees in June, despite a directive from Employee Provident Fund Organisation (EPFO), as per a report by Moneycontrol. Last month, EPFO directed Byju's to ensure that PF contributions were regularised.

As per the report, for the month of June the company made the PF contributions for 738 employees. This compares to PF contributions made for 25,000 employees in May.

Also Read: Edtech Byju's fails to pay employees' provident fund for months

Earlier, Byju's had not made the PF contributions for the months of April and May, while only 10,000 to 13,000 employees had received the payment for the months January, February and March. However, after EPFO's intervention, the edtech paid 24,818 employees on June 26.

The company in a mail to the EPFO had mentioned that it has cleared all the PF due until May and that the PF payment for June will be made by July 15.

The delay in PF payment comes as the company is taking various cost cutting measures to manage its financial distress. The company has also vacated its biggest office space in the country. This comes as the negotiation for funding has been delayed.

Also Read: Byju’s crisis: Vacates one of the biggest offices in Bengaluru to save costs

Byju's has been under turmoil facing numerous legal and financial crisis. The company has come under the scanner of the EPFO and the ED. The company is also reportedly facing a probe from India’s Ministry of Corporate Affairs.