Andhra Pradesh Labour Welfare Fund 2025 Table of Contents
The Andhra Pradesh Labour Welfare Fund provides socio-economic benefits to employees. The fund is established by the Andhra Pradesh Labour Welfare Fund Act, 1987. All employers and employees of the state are required to contribute a certain amount to APLWF. The funds are then used to provide benefits to employees and their families as needed.
Employers can register for APLWF online on the government’s official portal. This blog explores the basics of the Andhra Pradesh Labour Welfare Fund, including the APLW rules, applicability, registration process, and frequently asked questions about the AP Labour Welfare Fund.
Andhra Pradesh Labour Welfare Fund
The AP Labour Welfare Fund is a pool of money that is collected by the state. As mentioned, the fund is used to provide socio-economic benefits to workers. The benefits include medical aid, educational assistance, and vocational training. The fund is also utilized to provide loans and insurance to employees and their dependents.
APLWF is managed by the Andhra Pradesh Labour Welfare Fund Board. The APLWF board governs all the procedures related to the fund, including the collection of contributions and distribution of funds for benefits.
The board also implements welfare schemes to improve the socio-economic conditions of the employees. Lastly, it audits its accounts and submits annual reports to the state government.
These procedures are established by the Andhra Pradesh Labour Welfare Fund Act and governed by the Andhra Pradesh Labour Welfare Fund rules 1988.
Andhra Pradesh Labour Welfare Fund Rules
The Andhra Pradesh Labour Welfare Fund Rules 1988 were adopted under the AP Labour Welfare Fund Act. The rules govern the following procedures.
- Frequency of payment and contribution: Rule three specifies the details related to contribution and payment frequency.
- Purpose: Rule five outlines the specific purposes of the fund. Some of the purposes include educational and vocational training, housing support, medical aid, and recreational initiatives.
- Appointment: Rule 22(A) details the provisions related to appointments with relevant authorities. The authorities collect the funds and oversee their distribution.
- Procedure for Appeal: Rule 22(B) defines the procedure for filing an appeal.
Andhra Pradesh Labour Welfare Fund Applicability
Here are the applicability criteria and exemption cases for AP LWF 2025
Applicability Criteria 2025
- Factories: The act applies to all the factories as defined under the Factories Act 1948. It applies to all the factories regardless of the number of employees.
- Shops and Establishments: All shops and establishments with 20 or more are covered under the fund. *The shops and establishments should be defined under the Andhra Pradesh Shops and Establishments Act 1966.
Exemptions and Edge Cases
- Managerial staff: They are exempt from contributing to the employee labour welfare fund.
- Agriculture Units: Farms and other agricultural operations are exempt from APLWF contributions.
- Government Departments: Organizations directly under government control may be exempt from the fund. Individuals can visit the official website of the Andhra Pradesh Labour Welfare Fund Board to check the applicability/exemption.
Andhra Pradesh Labour Welfare Fund Contributions
The contribution rates for the Andhra Pradesh Labour Welfare Fund have fixed annual amounts and are not based on a percentage of wages. The rates were last updated and fixed at the following amounts.
| Contributor | Annual Rate (per employee) |
|---|---|
| Employee Contribution | ₹30 |
| Employer Contribution | ₹70 |
| Total Annual Contribution | ₹100 |
Andhra Pradesh Labour Welfare Fund Benefits
The Andhra Pradesh Labour Welfare Fund offers a range of financial benefits to employees and their families. The fund’s provisions are designed to improve the quality of life and provide support during key life events.
| Benefit | Eligibility Criteria | Benefit Amount | Application Process |
|---|---|---|---|
| Education Scholarships | Employees must have contributed to the fund for at least 36 months. The dependent child should have completed their degree with a minimum of 60% aggregate and be pursuing higher education. | ₹2,000 to ₹10,000 annually, depending on the course and merit. | Download the scholarship form from the Labour Department website or collect it from the office. Submit the completed form with required documents (contribution proof, academic records) to the Welfare Commissioner. |
| Maternity Benefit | The female employee must have contributed to the fund for at least 12 months. This benefit is provided in addition to statutory maternity leave. | ₹15,000 per delivery. | The female employee must apply with the necessary medical certificates and proof of contribution to the Labour Welfare Board within 60 days of the delivery. |
| Death Benefit | Employees must have contributed for a minimum of 24 months. The benefit is payable to the legal heir upon the death of the contributing employee. | ₹15,000 | A legal heir must submit a written application to the Labour Welfare Board along with the employee’s death certificate, proof of relationship, and contribution records. |
| Marriage Benefit | The employee must have contributed for a minimum of 36 months to receive the benefit for their own marriage. | ₹20,000 | The employee must apply within 90 days of the marriage by submitting a written application to the Board, accompanied by a copy of the marriage certificate and contribution records. |
| Medical Benefit | The employee must have contributed to the fund for a minimum of 24 months. The benefit covers hospitalization expenses, including major surgeries, for the employee and their dependents. | ₹10,000 to ₹50,000 depending on the nature of the illness or surgery. | The employee must submit a claim with all original medical bills, hospital discharge summary, and the doctor’s prescription to the Labour Welfare Board. |
How to Register and What is the Document Checklist for Andhra Pradesh Labour Welfare Fund?
For registering with APLWF, employers must provide the following documents. Here is a concise checklist of the required documents.
Document Checklist for Andhra Pradesh Labour Welfare Fund Registration
Employers are required to submit these five documents to register with the APLWF board:
- Notarized Rent Agreement or Ownership of Property
- Photograph of the Establishment’s Frontage and Signboard, bearing the signature of the Owner and the date.
- Internal Photographs of the Establishment, bearing the signature of the Owner and the date.
- Identity Proof of Entrepreneur (Aadhar card, EPIC, PAN card, driving license, or similar documents as proof of identity.)
- Notarized Partnership deed (*applicable to partnership firms only)
How to Register with the Andhra Pradesh Labour Welfare Fund Online?
Follow this step-by-step process to register for the AP Labour Welfare Fund:
- Visit the official registration site of APLWF and click on “Proceed for Fresh Registration.”
- Fill the online application form (form-A)
- Fill either Form D or Form E, depending on the type of your establishment.
- Upload scanned copies of the mentioned documents.
You will be allotted a Unique Application number from the portal that can be used for tracking the registration status. Lastly, the portal will generate a registration certification after verification.
Importance of Timely Payment of Contributions and Returns
This implies that timely deposition with APLWF ensures resources flow steadily into benefits for your employees. It also monitors the use of funds by authorities and identifies discrepancies during regular return filings.
Penalties for Failure to Comply
- Financial penalties for late or delinquent contributions.
- Possible legal action and criminal prosecution for severe cases of non-compliance.
Return Filing
The specific process of filing APLWF returns may vary. However, you can generally file your return annually within the specified deadlines. The form of these returns (i.e., online or paper-based) also varies.
Staying Compliant
The government recommends the following to ensure that you manage smooth compliance:
- Employees’ records and wages paid shall be accurate and valid, and maintained accurately.
- The contribution shall be deposited within the stipulated time.
- For the latest position on the Andhra Pradesh LWF, refer to the Act or the website of the APLWF board.
FAQs
What is the AP Labour Welfare Fund Act?
The AP Labour Welfare Fund Act is an act passed by the Andhra Pradesh legislative council. It establishes the Andhra Pradesh Labour Welfare Fund and regulates the collection, monitoring, and distribution of the funds.
What is the Due Date for the Labour Welfare Fund in Andhra Pradesh?
The due date for deducting employee contributions is December 31 every year. Additionally, the due date for submitting the joint contribution is January 31 of the succeeding year.
How to Register a Labour Welfare Fund in Andhra Pradesh?
To register for a labour welfare fund in Andhra Pradesh, visit the official site of the AP Labour Welfare Fund portal. Click “proceed for fresh registration” and upload the supporting documents.
Is My Establishment Required to Register under the Andhra Pradesh LWF?
You need to register with the Andhra Pradesh Labour Welfare Fund if your establishment is defined as a factory under the Factories Act 1948. In such cases, you are required to register, regardless of the number of employees. You also need to register if you are an establishment with 20 or more employees under the Andhra Pradesh Shops and Establishments Act 1966.
What Documents are Required for APLWF Registration?
The documents required are a copy of your establishment certificate, documents related to ownership and management, and details of the number of employees working are necessary for registering with the APLWF. Having the PAN card and the Aadhar card of the owner is also necessary.
How Often do I Need to Make APLWF Contributions?
The contributions are typically required annually within a specific timeframe. However, some states might allow for contributions in installments throughout the year.
What Benefits do My Employees Get From APLWF?
APLWF offers several benefits, including medical aid, educational scholarships for children, and housing subsidies. The APLWF Act also provides for financial assistance, maternity benefits, and benefits related to death and old age.
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