Tech Mahindra has received an order concerning Provident Fund contributions, potentially requiring a payment of ₹1287.44 Crores. The company intends to file an appeal and believes a favorable outcome is possible. While the appeal is pending, Tech Mahindra does not foresee any material financial impact, based on their assessment. The order relates to the period between May 2014 to March 2016.
Provident Fund Order Received
Tech Mahindra has received an order related to employee provident fund contributions. This order was received via email on December 18, 2025, at 6:45 p.m. (IST).
Details of the Order
The order directs Tech Mahindra to remit ₹1287.44 Crores, including ₹566.78 Crores in Provident Fund contributions and ₹720.66 Crores in interest. This amount relates to certain identified domestic employees and those deputed to foreign locations in non-SSA countries (countries without a Social Security Agreement with India).
Company Response
Tech Mahindra intends to file an appeal against the order. Based on the company’s assessment, they are hopeful for a favorable outcome at the appellate level and do not anticipate any significant financial impact. The matter has been appropriately disclosed as part of contingent liabilities in the audited financial statements of the company. The disputed period is May 2014 to March 2016.
Alleged Violation
The Employees’ Provident Fund Organization (EPFO) has alleged non-remittance of Provident Fund contributions for specific domestic employees and employees working in non-SSA countries.
Source: BSE