Contribution of PF & ESI

Question

Accepted Answer

PF & ESI contribute to employee benefits and social security.

PF (Provident Fund) is a retirement savings scheme where both the employee and employer contribute a portion of the employee's salary.
ESI (Employee State Insurance) is a health insurance scheme that provides medical benefits and cash benefits during sickness, maternity, and employment injury.
Both PF and ESI help in ensuring financial security and healthcare support for employees.
Employers deduct PF and ESI contributions from the employee's salary and deposit them with the respective authorities.
Employees can avail the accumulated PF amount at retirement or in case of certain emergencies.
ESI covers medical expenses for employees and their dependents, reducing the financial burden during healthcare needs.

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