Is the Labour Welfare Fund Applicable to High CTC Employees in Pune?

Please help me to solve my queries on LWF. We are situated in Pune. Is LWF applicable to higher CTCs too? Please reply fast.

Thanks & Regards,
Smita

It is not required for persons who are earning more than ₹3,500 per month in Maharashtra. I have attached the MLWF Act for your easy understanding. However, other states like Tamil Nadu clearly specify that every employee has to contribute to the fund, with no salary slab given.

Thanks and regards,

Thank you for the quick reply. However, when I spoke with the LWF consultant, they stated that it applies to all employees, even those with higher salaries. We indeed have employees with higher salaries only. Please guide me on this matter.

Thanks & Regards,
Smita

If that is the case, check with the labor welfare board office itself. In many states, they have not mentioned the salary slab, so it is applicable to all. However, in Maharashtra, they have clearly specified the salary slab. Only they can help you out in this issue.

Regards,

Yes, I have the same query. I believe that to decide the applicability of any labor act, it's important to understand and interpret the type of employee, salary, and establishment. If it's clear, then we can deal with labor compliances.

The Maharashtra Labour Welfare Fund does not include managers and supervisors; however, contractual workmen are included.

Regards,
Ms. Sawant
[Phone Number Removed For Privacy Reasons]

Please don't consider the salary slab as it's clearly mentioned, "Managers and persons working as supervisors drawing a salary above Rs. 3500 p.m.," i.e., persons at the manager and supervisor levels are only exempted from LWF. Whereas, you have to pay LWF for normal employees at Rs. 12 (employee) and Rs. 36 (employer).

If you see, the minimum wages for Maharashtra itself are more than Rs. 5000. In that case, none of the employees is liable for LWF if you accept Mr. Shenbagarajan's view. So, please seek clarification from the MLWF board and pay the LWF to applicable employees (who are not in managerial or supervisory positions). The last date for payment is 15th Jan '12.

Regards,
Ram.

People who are included in the decision-making process, such as managers, directors, and supervisors, are NOT required to pay MLWF. Only individuals other than these mentioned roles are obligated to pay MLWF. Please refer to the attached file for the CHALAN of MLWF. Simply read it, fill in the required cells, take a printout, and submit the cheque along with the printout of the chalan.

Thank you.

People who are included in the decision-making process, i.e., Managers, Directors, and Supervisors, are NOT to be included in MLWF. Anyone other than these individuals is required to pay MLWF. Please refer to the attached file as the CHALAN of MLWF. Just read and fill in the required cells, then take a printout and submit the cheque along with the printout of the chalan.

Regards,
[Name Removed For Privacy Reasons]

Update on LWF Contributions

This is to inform you all that as per the new circular issued by the Maharashtra government, LWF contributions should be paid at the end of every quarter and not semi-annually (30 June / 31 Dec).

Regards,
Kamal

Hi K Prasoon, is it true that MLWF should be paid quarterly when it is implemented? Our company is currently paying it semi-annually. Is there a website where we can see the details?

Regards,
Rupalee
HR

LWF Payment Update

From March 2012 (1st quarter), LWF should be paid quarterly. This was notified in Sakal (newspaper) by the LW department, Government of Maharashtra, around 15 days ago.

Regards,
Kamal

Dear Rupali & Mr. Ram, I was wrongly informed by my juniors about the changes in the contribution schedule of LWF. There was some confusion among junior people, and they couldn't understand the contents of the notice. I am attaching the notice as published in Sakal newspaper on 28th Dec 2011.

Regards,
Kamal

As per the Bombay Labour Welfare Act and challan, it's clearly stated that a salary of more than ₹3500/- per month is also eligible for benefits under the BLWF Act. Therefore, it is required to identify a workman in the position of a supervisor to determine if they fall under the workman category for contributions to the BLWF Act.

Please review the challan and the explanation provided in it.

Regards,