Haryana Government introduces Bill to amend Punjab Labour Welfare Fund Act, 1965 ; proposes to increase the contribution amount for both employers & employees
The Haryana Vidhan Sabha Secretariat (“Secretariat”) has in a gazette notification dated 22nd February, 2019 introduced a bill called the Punjab Labour Welfare Fund (Haryana Amendment) Act, 2019 (“Haryana Amendment”) to amend the Punjab Labour Welfare Fund Act, 1965 (“Principal Act”).
The Principal Act was enacted to create a fund for financing and conducting activities to promote the welfare of labour and their dependent family members. In the recent past however, it was felt that the fund did not serve the required purpose and objects and therefore to make the process easier and to expand the resources of the fund, the Secretariat proposed necessary amendments in the Act through this Bill.
- The Bill proposes that the contribution of the employee to the Labour Welfare Fund (“LWF”) every month, be revised to 0.2% of his/her salary/wage instead of a flat contribution of Rs 10. Along with that, the employer’s contribution to the LWF has also been proposed to be revised from Rs. 20 per month to double the amount contributed by the employee.
- Further, the revised limit is proposed to be indexed annually to the consumer price index beginning from first of January each year.
Source: Haryana Vidhan Sabha Secretariat