Hi,
I have one issue with ESI.
Say we run payroll for an employee for the month of April. ESI gets calculated accordingly. Now in the month of May we create 'Leave Without Pay' for this employee for the month of April, say for 2 days. Now we run payroll for May. 2 days of April salary gets deducted in May payroll run. PF for May also gets adjusted accordingly. But ESI Contribution does not get adjusted. It considers May salary and does not consider deduction of 2 days salary only of April. Is there any specific reason behind this behaviour?