Re: How To Calculate Labour Welfare Fund - PDF Download

Sir,

Please, can you tell me how to calculate the labor welfare fund?

Thanks,
Bipin

It is state-wise - e.g., in Haryana, employee contribution is Rs. 5 per month, and employer contribution is Rs. 10 per month. It should be deposited once in 6 months.

Regards, Amol

Dear Amol,

This is to inform you that the rate of labor welfare fund contribution has been raised to Rs. 10 in the case of the employee and Rs. 20 per month against the employer's contribution wef 01.04.2012 onward. As per the requirement of the Punjab Labour Welfare Fund Act, 1965, as applicable to the state of Haryana, this amount of contribution is to be deposited yearly.

R.N. KHOLA
Welcome Skylark Associates

Dear Bipin,

There is no formula for LWF calculation. If any employee works for one day in a month and receives salary for that day, LWF contribution must be paid by both the employee and employer at the rates of Rs.10 and Rs.20 respectively. LWF contribution is based on a per-employee rate of Rs.10.

Regards,
Devinder

Dear Bipin,

For Gujarat, each employee will contribute 3 Rs, and the employer will contribute 6 Rs (Directors and higher positions will not contribute to the employee's contribution).

The payment will be deposited to the concerned labor office in the months of June and December, twice a year.

For more details, please visit your concerned labor office.

Thank you,
With regards,
Ashish

Dear Ankit Ji,

This is to inform you that the rate of Labour Welfare Fund contribution has been raised to Rs 10 in the case of employees and Rs 20 per month for the employer's contribution wef 01.04.2012 onwards. As per the requirement of the Punjab Labour Welfare Fund Act, 1965, as applicable to the state of Haryana, this amount of contribution is to be deposited yearly.

Regards,
Ajay Sharma (HR)
09812001894

Dear Bipin,

Please find attached herewith a copy of the LWF applicable rules for contributions to employees and employers in some states. I hope this information is helpful to you.

With regards,
Amit

Dear Member,

As requested, please find attached herewith the amendment notification copy for your information and record.

R.N.KHOLA (LL&IR)
Welcome Skylark Associates

As per the latest amendments in Kerala, all establishments that come under the Shops and Commercial Establishment Act have to be enrolled under the Kerala Shops and Commercial Establishment Workers Welfare Fund Scheme. In Kerala, the Labour Welfare Fund is now the Workers Welfare Fund. Each employee has to contribute Rs. 40 per month.

I have a query for states where gross earnings need to be checked with the earning range given in LWF, especially states like Maharashtra.

For states where LWF calculation is done 'Half Yearly', do we need to first sum 6 months of gross earnings and then match with the LWF earning range to determine the employee and employer contributions?

Please note that LWF has two types of funds:

1. Unpaid wages/bonus/EL encashment, etc., which will be deposited to the Commissioner of LWF after two years if unpaid and not claimed by employees quarterly basis.

2. Employees' contribution per month @ 5/-, 10/-, or 25/- as per state rules, and the same is to be deposited with the employer's contribution as per state rules. The same fund is to be submitted/deposited to LWF yearly or subject to state rules.

Please refer to the state rules.