Understanding MLWF Contribution Rates: What Are the Employer and Employee Shares?

Hi all, please let me know the MLWF contribution rates for both employers and employees.

If an employee contributes Rs. 6, then the employer contributes Rs. 18.

If an employee contributes Rs. 12, then the employer contributes Rs. 36.

Thank you.

The Mumbai Labour Welfare Fund Act, 1953

Applicability:
The Act is applicable to factories and establishments covered under the Shop & Establishment Act employing 5 or more employees.

Contribution:
Contribution is to be deducted from the salary of employees twice a year, i.e., in June and December, at the following rates:

- Employee's contribution: Rs. 6.00 per employee to be deducted once in six months for those drawing up to Rs. 3000/- and Rs. 12.00 for those above Rs. 3000/-.
- Employer's contribution: Rs. 18.00 per employee to be paid by the employer once in six months for those drawing up to Rs. 3000/- and Rs. 36.00 for those above Rs. 3000/-. (Excluding managers and persons working as supervisors drawing a salary above Rs. 3500/- per month.)

(The above new rates are effective from December 2000 onwards as per a circular dated 7/1/2002 issued by the MLWF Dept.) Both the above contributions are to be remitted to the Welfare Commissioner, Kamgar Krida Maidan, Mumbai.

Due Dates for Payment:
- For 30th June: Payment is due on or before 15th July.
- For 31st December: Payment is due on or before 15th January.

Other Payments Payable to MLWF:
Any dues payable to any employee(s) remaining unpaid for more than 3 years have to be deposited to the Maharashtra Labour Welfare Board within the time prescribed under the Act.

Dear Sir/Madam,

I would like to know if the deduction of MLWF is applicable to company directors as well.

Hi,

Please help us understand MLWF. We have staff with salaries above 15K gross, yet we are eligible for MLWF. I am raising this question because in every article we find, gross salaries above 3k-3.5k are deemed not applicable for the same.

Thanks in advance and awaiting a prompt response.

Sandeep A

The Mumbai Labour Welfare Fund Act, 1953

Applicability

The Act is applicable to factories and establishments covered under the Shop and Establishment Act employing 5 or more employees.

Contribution

Contribution is to be deducted from the salary of employees twice a year, i.e., in June and December, at the following rates:

Employee's contribution | Employer's contribution

- Up to Rs. 3000/- Gross Salary: Employee Contribution Rs. 06 and Employer Rs. 18.00 for each employee.
- Above Rs. 3000/- Gross Salary: Employee Contribution Rs. 12 and Employer Rs. 36.00 for each employee.

(Excluding managers and persons working as supervisors drawing a salary above Rs. 3500/- p.m.)

(The above new rates are effective from December 2000 onwards as per the circular dated 7/1/2002 issued by the MLWF Department.) Both the above contributions are to be remitted to the Welfare Commissioner, Kamgar Krida Maidan, Mumbai.

Due Dates for Payment

- For June 30th, ending on or before July 15th
- For December 31st, ending on or before January 15th

Other Payments Payable to MLWF

Santosh G. Waghe (Director) Best Manpower Services Pvt Ltd [Phone Number Removed For Privacy-Reasons]