Labour Welfare Fund (LWF)
Labour Welfare Fund basics: a small state contribution by employees and employers, paid half-yearly or yearly depending on the state.
What it is
Labour Welfare Fund is a state scheme that funds housing, education and health facilities for workers. Both the employee and the employer pay a small fixed amount. Many states run it, including Karnataka, Maharashtra, Tamil Nadu, Kerala, Gujarat and Andhra Pradesh.
What employers do
- Check whether your state has LWF and which employees it covers.
- Deduct the employee share from salary in the month the state specifies.
- Add the employer share and pay the welfare board by the due date, with the return the state asks for.
Free tools for this
Do it in USR One. USR HRMS runs leave and attendance, and USR Payroll (add-on, India, by invitation) handles PF, ESI, PT, LWF and TDS on salary on the same employee record. Payroll software · USR HRMS