The Punjab Labour Welfare Fund Act, 1965 is administered by the Punjab Labour Welfare Board. Punjab has one of the higher LWF contribution rates among Indian states. The Act applies to factories and establishments meeting the prescribed workforce threshold.
Governing Act
Punjab Labour Welfare Fund Act, 1965
Punjab LWF Contributions (Per Employee)
| Contributor | Amount | Frequency | Note |
|---|---|---|---|
| Employee | ₹10 | Monthly (by last day of month) | ₹10 per employee per month (₹60 per half-year). Rate revised; previously ₹5/month. As per Punjab Cabinet amendment June 2025. |
| Employer | ₹40 | Monthly (by last day of month) | ₹40 per employee per month (₹240 per half-year, 4x employee share). Previously ₹20/month. |
Applicability Threshold
Establishments employing 20 or more workers covered under the Punjab Shops & Commercial Establishments Act or the Factories Act.
Due Dates
- April 15 (for October–March half-year returns)
- October 15 (for April–September half-year returns)
- Note: Contributions are remitted MONTHLY by the last day of each month
Exemption Categories
- Apprentices under the Apprentices Act, 1961
- Establishments with fewer than 20 workers
Registration Required: Employers in Punjab must register with the State Labour Welfare Board and remit contributions half-yearly.