Pl. let me know whether PF & ESI deduction is done during lay off period both from employee & employer. While the employees are being paid 50% salary during lay off period. Need your help
naredla chandrashekar (marketing) 17 December 2013
Pl. let me know whether PF & ESI deduction is done during lay off period both from employee & employer. While the employees are being paid 50% salary during lay off period. Need your help
Kumar Doab (FIN) 17 December 2013
ESIC:
During lay off period the relationship of employer-employee is not severed and employee remains attached to the factory/establishment of the employer, and payments paid for the period of layoff are also wages for the purpose of Sec.2(22) of the ESI Act and hence contribution is payable on such payments.
PF: Obligation to pay EPF contributions is on the employer irrespective of the fact whether wages are paid or not to the employees.
Pf contribution during lay of, lock out etc is payable.
In case of any doubt you may go thru:
Kerala High Court
Employees Provident Fund ... vs P.V.Joseph, Puthenpurackal on 28 August, 2008