ESI Empolyer contribution

This query is : Resolved 

08 April 2010 Dear Sir

Whether the employer can deduct there contribution towards ESI from the empolyee's FULL AND FINAL SETTILMENT at the time of his living from the organisation.

08 April 2010 yes.need to deduct


09 April 2010 Normaly employer contribution is not deductable from the employees emolument, as it's an expenditure to the company. Then how can employer deduct their contribution to ESI at the time of full and final settilment of an employee. In my company we are following the practice of deducting empolyer contribution towards ESI from empoyee at the time of his relieve. Can I get some clear defenition?


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