Understanding the 2011 Changes in Karnataka Labour Welfare Fund Contributions: What Does It Mean for Your December Salary?

Labour Welfare Fund Contribution Update

Please find attached the Karnataka Government Gazette's extract dated 02/08/2011, regarding the Labour Welfare Fund contribution. The revised Labour Welfare Fund contribution to be deducted from the December salary is as follows:

- To be deducted from employee: Rs. 6/-
- Employer Contribution: Rs. 12/-
- Total of Rs. 18/employee.

Regards

Is there a minimum employee requirement to be eligible for the Karnataka Labour Welfare Board?

Is there any minimum employee requirement to be eligible for the Karnataka Labour Welfare Board?

Regards,
RSN

RSN, you need to submit Form D. If your organization is a factory, it is covered under this act by default. A minimum of 50 employees should be present in the case of shops, commercial establishments, or those registered under the Co-operative Societies Act.

Hi, Vinutha here. Please reply to me regarding who is eligible for this labor welfare fund.

Regards,
Vinutha

Mandatory Contribution to the Welfare Fund

It is mandatory to remit contributions to the Welfare Fund at the rate of Rs. 6:12, which is Rupees eighteen from each employee, including supervisory and management staff, by the employers of all factories, plantations, workshops, motor, and omnibus services coming under the Karnataka Labour Welfare Fund Act, 1965. This compulsory contribution shall be made along with a statement in Form 'D' prescribed under the Karnataka Labour Welfare Fund Act & Rules.

Similarly, employers of all the Shops and Commercial Establishments, Charitable Trusts, and Societies registered under the Karnataka Societies Registration Act, 1960, who employ fifty or more employees during the year, are also required to pay the compulsory contribution as stated above.

Attention is therefore drawn to all concerned, requesting them to pay the compulsory contribution by 15th January 2010, and any unpaid accumulation as per rules to the "Welfare Commissioner, Karnataka Labour Welfare Board, Karmika Kalyana Bhavan, No-48, 2nd floor, Mathikere Main Road, (Near R.T.O. Office) Yeshwanthpur, Bangalore-22." For further clarification, you may contact Phone No. [Phone Number Removed For Privacy Reasons] or visit www.karnatakalabourwelfare.com.