Revised Labour Welfare Fund Contribution: Key Updates Effective January 2024
The Government has issued a new notification revising the contribution rates under the Labour Welfare Fund Act, 1974 (as amended). These changes, effective from January 1, 2024 , will impact both employers and employees in registered establishments. What’s New? Employers’ Contribution Revised: The employers' contribution has been increased to ₹30 per employee. Employees’ Contribution Unchanged: The employees’ contribution remains unchanged at ₹3 per employee. Biannual Payment Schedule: Contributions must be paid twice a year for the six-month periods ending: June 30 December 31 What Does This Mean for Employers? Employers need to ensure timely compliance with the revised rates to avoid penalties. The increase in the employer’s contribution highlights the government’s focus on strengthening welfare benefits for the workforce. Effective Date These changes have been in force since January 1, 2024 , and all establishments are required to adher...