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Answer Posted / s.koteeswaran
SI and PF are statutory requirement. Every company or
institution should contribute 12% on the basic wages of the
employees as the employer contribution apart from deducting
the same amount from the employees salary. At the same time
an additional 1.61% is to be contributed by the employer
towards Administration charges, inspection charges and DLI
charges.
Regarding ESI employer has to contribute 4.75% of the gross
salary and 1.75% to be deducted from the employees on the
gross salary.
Payroll is nothing but the salary details of the employees
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