TeamLease Services Limited has announced that the Hon’ble High Court of Gujarat has granted ad-interim relief to its subsidiary, TeamLease Skills University (TLSU). By an order dated October 22, 2026, the court has stayed further proceedings initiated by the Employees’ Provident Fund Organisation (EPFO) against TLSU. This development is a positive step in the ongoing legal challenge concerning the applicability of PF to NEEM trainees.
Gujarat High Court Grants Ad-Interim Relief
TeamLease Services Limited informed the stock exchanges about a significant legal development concerning its subsidiary, TeamLease Skills University (TLSU). The Hon’ble High Court of Gujarat, through an order dated October 22, 2026, has granted ad-interim relief to TLSU in Civil Application (for Direction) No. 2 of 2026. This order effectively stays the proceedings initiated by the Employees’ Provident Fund Organisation (EPFO) authority against TLSU.
Background of the Legal Dispute
The Interlocutory Application (IA) was filed by TLSU in R/Special Civil Application No. 7698 of 2026. The application sought a stay on proceedings initiated by the EPFO under Section 125 of the Code on Social Security, 2020. This action follows an earlier challenge by TLSU against an EPFO order dated March 11, 2026, passed under Para 26B of the Employees’ Provident Funds Scheme, 1952. The core of the dispute revolves around the EPFO’s view that trainees engaged under the National Employability Enhancement Mission (NEEM) framework should be treated as ’employees’ for Provident Fund applicability, a stance TLSU contests.
Court’s Orders and Next Steps
Based on TLSU’s submissions, the Hon’ble High Court of Gujarat has also allowed a draft amendment to the petition, issued a notice to the respondents returnable on December 01, 2026, and permitted direct service of notice. The ad-interim relief, granting a stay on further proceedings under Section 125 of the Code on Social Security, 2020, is effective until the next date of hearing. The matter remains sub judice and is pending adjudication.
Company’s Stance
TeamLease Skills University continues to assert that NEEM trainees are not employees for the purpose of statutory social security legislations, including Provident Fund. The university believes it has a strong case on merits and is pursuing its legal remedies. The company has committed to keeping the stock exchanges informed of any material developments in accordance with applicable regulatory requirements.
Source: BSE
