The maximum employer contribution rate with respect to pension contributions has been reduced from 20% to 16%. Companies will need to check for specific adjustments and transition plans for each jurisdiction.
Moreover, employer contributions to unemployment insurance and work injury insurance will continue to be reduced through April 2020.
With such a reduction in the social security contribution rate, the employer social security insurance burden will be reduced. The employer should ensure that they are aware of the latest social security contribution rates and implement payroll accordingly.
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