Understanding Labor Welfare Fund Delays and Leave Policies in Gurgaon: What Are the Rules?

Dear Sir,

Our company is registered under the Shops and Establishment Act in Gurgaon. We have shifted our office from Delhi to Gurgaon in September 2007. As we are now based in Gurgaon, we are required to pay the labor welfare fund applicable in Haryana, which is Rs. 5 per employee and Rs. 10 per employer. We have deposited the same from September 2007 till March 2009 in April 2009. I would like to inquire if there is any interest component to be paid. If so, what is the rate of interest?

Additionally, under the Shops and Establishment Act, what is the leave policy? Is it mandatory for the company to provide three types of leaves - Casual Leave (CL), Privilege Leave (PL), and Sick Leave (SL), or is only PL sufficient?

Thank you & regards,
Rekha

Dear Rekha,

This is to inform you that by virtue of the amendment dated 04.04.2007, an employer who fails to pay the contribution within the period of one month from the date specified under subsection 2 of Section 9A shall be liable to pay interest at 12% per annum from the said date until such time the amount is actually deposited with the Welfare Commissioner.

As far as your query no. 2 is concerned, it is hereby clarified that you are to grant all three types of leaves to your employees under the Punjab Shops & Commercial Establishment Act, 1958, as applicable to the State of Haryana. For more details, you are advised to go through Section 14 of this Act.

Regards,
R.N.Khola
(Labour Law & Legal Consultants)

Our company is registered under the Shops and Establishments Act in Maharashtra. We have not deposited the amount for June 2013. I would like to inquire if there is any interest component to be paid. If so, could you please provide information on the rate of interest?

Thank you.