Whether EPF and ESI contribution is to be deducted from maternity leave salary?
From India, Thiruvananthapuram
From India, Thiruvananthapuram
It is advisable to deduct and contribute EPF and ESI from maternity leave salary in order to avoid a break in service. However, in respect of an employee under ESI, no salary will be paid by the employer as the maternity salary is paid to the employee by the ESIC, and as such, the question of deduction and contribution of ESI does not arise. If you do not contribute PF on maternity leave salary paid, the three months will become a break in service, which may reflect in her pension benefits, at least in a minor way. Not only that, maternity salary is to be deemed as paid while on service and as such will qualify PF contributions.
Regards, Madhu.T.K
From India, Kannur
Regards, Madhu.T.K
From India, Kannur
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