Dear All,
Hope all are safe and staying at Home.
Seek your valuable opinion on the following issue.
We have entered Security Service Agreement with a contractor wef. 01.04.19 to 31.03.20.
At the time of negotiating the amount the contractor has given a split details for the wages including his service charges.
But in the agreement we have entered as Rs.11,500/- (an example) to be paid to security contractor for one person / 8 hrs of work.
But wef. 01.07.19 ESI contribution has revised from 6.50% to 4.00 % (1.75% + 4.75%) to (0.75% + 3.25%) 1.5% reduction in Employer contribution.
But the contractor has billed to at the rate of Rs.11,500/-. He has not reduced the amount in his bill.
Can we now ask the contractor to refund the excess amount collected from us. (If any increase in statutory limit he will come and ask us for to increase his service charges. ).
Regards,
Ganapathy V
Hope all are safe and staying at Home.
Seek your valuable opinion on the following issue.
We have entered Security Service Agreement with a contractor wef. 01.04.19 to 31.03.20.
At the time of negotiating the amount the contractor has given a split details for the wages including his service charges.
But in the agreement we have entered as Rs.11,500/- (an example) to be paid to security contractor for one person / 8 hrs of work.
But wef. 01.07.19 ESI contribution has revised from 6.50% to 4.00 % (1.75% + 4.75%) to (0.75% + 3.25%) 1.5% reduction in Employer contribution.
But the contractor has billed to at the rate of Rs.11,500/-. He has not reduced the amount in his bill.
Can we now ask the contractor to refund the excess amount collected from us. (If any increase in statutory limit he will come and ask us for to increase his service charges. ).
Regards,
Ganapathy V