Hi All Colleague,
If company terminate employee on 01-04-2023 and pay one month advance salary at the time termination. Then PF will be deduct or not on that one month advance salary? Please give your response urgently
From India, Delhi
If company terminate employee on 01-04-2023 and pay one month advance salary at the time termination. Then PF will be deduct or not on that one month advance salary? Please give your response urgently
From India, Delhi
The issue is that if you pay notice pay after deducting PF, you cannot exit him immediately but only after 1st May. If the employee joins another company on 2nd of April or any date prior to May 1st his date of joining and your date of exit will not match and that will become an issue later on. Moreover, notice pay is not a salary arising out of employment, that is not earned by the employee by working and therefore, there is nothing wrong in not paying PF for the notice pay.
From India, Kannur
4193From India, Kannur
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