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Why do I need to pay CPF and tax for my workers who are on light duty medical leave?

When an employee is on light duty, they are required to report to work unless they are excused by their employer. 

As an employer, you must pay their normal wages, which are not reimbursed by the work injury insurer.  As these are the actual wages paid by the employer, both employer and employee have to contribute CPF under the CPF Act.