What is Labour Welfare Fund, Benefits and Contributions


What are benefits of the Labour Welfare Fund and how are contributions made?


Hi Manjunath,

The Labour Welfare Fund is managed by the Labour Board to provide welfare schemes for workers in order to:

  1. improve the workers’ standard of living, such as providing nutritious food, educational facilities, and scholarships to the children of employees, medical facilities to the private and public sector workers and their families, housing facilities at concessional schemes and rates.
  2. offer better work conditions such as facilities for workers and employees commuting to work (transport), reading rooms, libraries, vocational training programs, excursions and tours, recreational facilities at the workplace, etc.
  3. provide Social Security by arranging medical treatments, schemes for certain industries and subsidiary occupations for women, unemployed persons, etc.

The amount of fund, rate, and periodicity of contribution is decided by the respective State Labour Welfare Board. The contribution may be made every month or once in six months (half-yearly) or once in a year (annually) as per the prescribed quantum and remitted to the appropriate Labor Welfare Fund Board in prescribed Form before the due date specified under the Act.

Recommend you to refer to this link that will be useful and informative - Labour Welfare Fund Act (LWF) in India | greytHR

Hope the above helps.

Bhuvana Anand

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