Delhi Labour Welfare Fund: Applicability, Contribution, Rules, Benefits

Table of Contents

Delhi is one of the biggest economic hubs in the country. The number of workers employed here is in the millions. Intending to appreciate the workers’ contribution towards making Delhi prosperous, the government constituted the Delhi Labour Welfare Fund. This board looks at the socio-economic welfare of a vast section of Delhi’s population.

Every HR person needs to understand this fund and have an employee welfare policy. We will explain the eligibility criteria for availing benefits, specific programs under the Board, and how this fund builds a more secure and dignified life for Delhi’s workers.

What is Delhi Labour Welfare Fund?

The Delhi Labour Welfare Fund was created by the Delhi Government in 1998 to improve the social and economic lives of Delhi workers. It applies to most workplaces in the National Capital Territory. Both employers and employees contribute to the fund. The employee and the employer covered by this Act must make their contributions to the fund twice a year, before June 30th and December 31st. The fund is governed by the Delhi Labour Welfare Board, a government body that uses the contributions to support various schemes for workers and their families.

Delhi Labour Welfare Fund Rules

Every employer in Delhi is required to pay a certain percentage of the wage to the Delhi LWF. Contributions are payable on due dates and may be paid in any form. Proper accounts of employees and their respective contributions must be kept. Failure to uphold rules, in terms of late payments and record keeping, is punishable or fined. Some establishments are also exempt from contribution on some conditions. There are many benefits for employees who have contributed to the Fund for a stipulated period. One should always refer to the official DLWF Rules for correct and updated information.

Delhi Labour Welfare Fund Applicability

The Delhi Labour Welfare Fund applies to specific organizations and employees within the National Capital Territory of Delhi. Here’s a breakdown of its applicability:

Applicable Establishments

The Factories Act of 1948 applies to factories that are registered under it.
Motor Transport Employees Act 1961 covers tramways, motor omnibus services, or motor transport undertakings.
Establishments functioning under the Delhi Shops and Establishments Act, 1954.

Important Point

The applicability depends on the number of employees. Only businesses with five or more workers must contribute to the DLWF.

Exempt Employees

Employees in managerial or supervisory roles with a monthly salary exceeding Rs. 2,500.
Under the Apprentice Act of 1961, apprentices are undergoing training.

Delhi Labour Welfare Fund Contribution

This Fund shall be payable by employers and employees of every Delhi establishment covered under the Act twice a year. Contributions are to be paid every year on June 30th and December 31st, and returns are to be filed with the Board on or before July 15th and January 15th.

The amount contribution amount towards the DLWF is as follows:

Employer contribution: Rs.2.25
Employee contribution: Rs.0.75
Total contribution: Rs.3

Delhi Labour Welfare Fund Focused Areas

The Act empowers the Board to cover the following costs:

Community and social education centers, including reading rooms and libraries
Community necessities
Games and sports
Excursions, tours, and holiday homes
Entertainment and other forms of recreation
Home industries and subsidiary occupations for women and unemployed persons
Corporate activities of a social nature

Delhi Labour Welfare Fund: All Welfare Programs For Workers

The Delhi Labour Welfare Board has created 25 labor welfare programs. These programs meet the requirements and expectations of the working population of Delhi. These programs will significantly improve workers’ and their families’ financial situation and living standards. The programs are listed below:

1. Portable Daycares

Mobile daycare centers for children under three are set up at building sites, city slums, and industrial belts. The daycares ensure a proper care system for young children while their parents are at work.

2. Early Child-Care Education (ECCE) Centers

These centers provide a preschool program for 3 to 6-year-old children. Studies have revealed that children who attend such centers do well in formal schools.

3. Maternal and Child Healthcare Services

These services aim to improve workers’ families’ health and wellness. They provide basic maternal and child healthcare facilities in the National Capital Territory of Delhi.

4. Mobile Schools

This category provides primary education to children from ages 6 to 11 years at various construction sites, urban slums, and industrial belts. The objective of this scheme is to ensure continuity in the children’s educational process from migrant workers.

5. Vocational Training Centres

Training is organized for several skills, like tailoring, embroidery, computer courses, and plumbing. These trainings assist the worker and his family learn new skills for better job prospects.

6. Mass Marriages and Community Festivals

The scheme organizes mass marriages and festivals to alleviate families’ financial burden. This prevents them from accumulating debt caused by expensive ceremonies.

7. General Awareness Programs

These programs inform workers about education, job laws, worker welfare, safety, social security, and health. They help people become more knowledgeable and empowered.

8. Communicable Diseases Awareness

This program focuses on preventive and rehabilitative communicable diseases like AIDS and Hepatitis. Awareness campaigns help prevent diseases and maintain health.

9. Gender Sensitization and Legal Awareness

The special training programs sensitize workers and community leaders on gender issues and their rights. This helps to heighten awareness of equality and the rule of law in the workforce.

10. Worker’s Education and Citizenship

These programs educate workers about their rights and duties, encouraging them to participate in the nation’s overall development as responsible citizens.

11. Cultural Awareness

Cultural events, workshops, and exchange programs are offered to actively promote cultural awareness and community engagement. These initiatives aim to preserve Delhi’s rich cultural heritage.

12. Social Justice and Human Rights

Awareness campaigns educate workers and their families about social justice and human rights. They promote understanding and respect for these fundamental principles.

13. Substance Abuse Awareness

These programs underline the evil effects of alcoholism, drug abuse, and gambling. Such programs help workers and employers lead a healthier life.

14. Communal Harmony and Terrorism Prevention

Programs to prevent communal tensions and terrorism help keep society peaceful.

15. Income Generation and Budgeting

Income generation programs and budgeting workshops help workers manage their finances better and plan for financial stability.

16. Self-Help Groups

Self-help groups help workers and their families become self-sufficient. They often create savings and credit societies and housing schemes to support their members.

17. Emergency Medical Services

The board extends emergency medical services through welfare centers and mobile medical units. These include general health checkups and specialized heart, dental, and eye care.

18. Social Security and Insurance

Group insurance schemes provide long-term benefits to organized and unorganized workers. These schemes secure the worker’s and his family’s future.

19. Child Labor Rehabilitation

The board runs programs to rehabilitate child laborers, ensuring they work safely and continue their education. This helps eliminate child labor.

20. Blood Banks

The board operates blood banks with the Indian Red Cross Society and other groups to provide safe blood to needy laborers.

21. Legal Aid Cell

Legal aid cells provide free legal help and advice to workers and their families, ensuring they can access legal services without financial burden.

22. Community/Welfare/Rehabilitation Centers

These centers offer leisure and educational activities and income-generating training to elderly workers and orphans. They help these individuals become self-sufficient and grow in all areas of life.

23. Recreation Centers

Social clubs provide games and sports facilities to help workers relax and unwind. They promote a healthy lifestyle and well-being for the entire family.

24. Reading Room and Library Facilities

Reading rooms and libraries encourage the educational development of workers and their families.

25. Workers’ Housing Scheme

Constructing affordable housing for workers in all industrial areas around Delhi ensures safe and suitable living conditions.

How to Claim Benefits Under the Delhi Labour Welfare Fund

Step 1: Eligibility Verification

First, check the Delhi Labour Welfare Fund’s eligibility criteria to see if you qualify for benefits. Eligibility is primarily based on conditions like employment status, length of service, and contribution paid.

Step 2: Gather Required Documents

Collect all necessary documents to support your benefit claim. This may include:
Employment ID card
Salary slips
Proof of identity (Aadhaar card, passport)
Proof of address
Medical certificates (if applicable)

Step 3: Complete Application Form

Obtain the correct type of application form from the DLWF office or its website.
Correctly fill out the form, providing all the desired information.

Step 4: Submission of Application

Submit the application form and supporting documents to the relevant Delhi LWFs Office. You may also be able to apply online.

Step 5: Verification and Processing

Delhi LWF will scrutinize your application and check the details given.
If your claim is found admissible, the necessary verification will be started.

Step 6: Sanctioning of Benefits and Making Payment

After your claim is admitted, the Delhi LWFs shall pay the benefits.
Benefits may be paid by direct bank transfer, cheque, or any other specified mode.

Conclusion

Delhi Labour Welfare Fund has received a positive response from the state. Yet, fulfilling its larger mission requires a more proactive contribution from employers. For this, employers need to ensure that contributions are made on time. They must help employees who need to be more educated or made aware of the programs get the deserved benefits. Businesses must include a comprehensive employee welfare policy in their HR policies to contribute to the worker’s progress and well-being.

FAQ

Is My Company Liable for Contributing to DLWF?

Yes, provided you have your unit in Delhi and the employee strength is five or more, you are liable to contribute to the DLWF.

How Much Is the Contribution Cost Payable Towards DLWF to Be Borne by My Company?

The amount of contribution is tiny. You will pay Re 2.25 per worker, half-yearly, on 30 June and 31 December. Note that you will also have to deduct the worker’s Re 0.75 contribution from his wages.

How Does the DLWF Benefit My Establishment?

A fit and supported workforce is an effective one. The DLWF’s childcare, healthcare, and skills development programs enhance workers’ well-being, possibly reducing absenteeism at work. Further, good social safety will also improve staff morale and loyalty.

Are There Any Papers Involved in Paying One’s Contribution to the DLWF?

Yes, some record-keeping and reporting will be involved. Do not forget to confirm contribution submission guidelines and associated fees from the Delhi Labour Welfare Board website or a qualified professional for the most up-to-date information.

Where Do I Find Information About the DLWF?

Start at the Delhi Labour Welfare Board website. They may have extraordinary resources and instructions for employers. Alternatively, you can hire a professional in labor laws to help ensure compliance with all contribution requirements.