Labour Welfare Fund :
Punjab
The Punjab Labour Welfare Fund Act mandates factories and commercial establishments to process welfare fund deductions every month for any employee earning up to ₹10,000 a month. Each eligible worker on your payroll is required to contribute a total of ₹25.00 per month. This includes a flat deduction of ₹5.00 from the employee’s salary, and a ₹20.00 contribution from the employer directly. Such liabilities are calculated and held for each monthly payroll cycle, but actual returns are accumulated and filed only semi-annually. You just need to clear these payments on 15th April and 15th October through half-yearly filing deadlines to keep your corporate compliance intact and not in penalty with the state.
Act Information
Act:The Punjab Labour Welfare Fund Act, 1965.
Rule:The Punjab Labour Welfare Fund Rules, 1966
Applicability:Any commercial establishment, factories and shops employing more than 1 or more employees fall under this act. Its enforcement is overseen by the Labour Commissioner.
Exemption:Part timers or apprentices and Managerial staff
Autority:Labour Welfare Fund Commissioner
Interest:10% on every late payment
Penalty:13% per annum on every late payment
Labour Welfare Fund Contribution
Category:To all Employees except part timers or apprentices and Managerial staff.
Employee:5
Employer:20
Total:25
Deduction Date:—
Return Date:—