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The Telangana Labour Welfare Fund is an employee welfare fund established under the Telangana Labour Welfare Fund Act of 1987. The fund provides socio-economic benefits to employees and their dependents. The TLWF board manages the Telangana LWF. Procedural aspects such as the mode of contribution, recovery of payments, and other administrative elements are governed by this act. Lastly, employers need to register with the state to make contributions that fund employee welfare measures. Let us explore more about contribution rates, applicability, benefits, and the registration process related to the Labour Welfare Fund in Telangana.
What is Telangana Labour Welfare Fund?
The Telangana Labour Welfare Fund is a statutory fund that helps improve the living and working conditions for employees and their dependents in Telangana. Legally, section 3 of the Telangana Labour Welfare Fund Act constitutes the TLWF. The TLWF board collects, manages, and uses the funds to provide benefits. Some notable benefits include educational, financial, vocational, and medical aid.
For context, the Telangana Labour Welfare Fund Board is a statutory body governed by the TLWF Act and its rules.
Telangana Labour Welfare Fund Rules
Section 37 of the Telangana Labour Welfare Fund Act empowers the state government to make rules for the management of the fund. Subsequently, the state enacted the TLWF rules in 1988 to operationalize TLWF. Here are some key rules and their corresponding functions for collecting and managing funds.
- Maintenance of Register: Rule three mandates that employers maintain wage registers and forward them to the welfare commissioner before the 31st of January.
- Mode of Payment: Rule 5 states that employers must pay contributions/fines via a demand draft or money order. Additionally, rule six requires employers to pay employee and employer contributions within the stipulated deadline.
- Remission of Penalty: Rule ten provides for the remission of penalty in accordance with section nine of the TLWF Act.
- Budget and Expenditure of the Board: Rules 16 and 17 cover the procedures related to the budget and expenditure.
- Application for the Grant: Rule 19 forms the basis for applications for grants and benefits in accordance with section 12(3) of the parent act.
Telangana Labour Welfare Fund Applicability
The Telangana Labour Welfare Fund Act applies to the whole state of Telangana, with the following particulars as included in section two. –
- Any factory as defined in section 2 (m) of the Factories Act, 1948, is eligible.
- A motor transport undertaking, as defined in the Motor Transport Workers Act, 1961, is also covered.
- Any other establishment as defined in section 2(10) of the Andhra Pradesh Shops and Establishments Act, 1966, may also receive benefits under the fund.
- All the employees in the mentioned establishments are covered under the act.
- However, supervisory employees earning more than RS 1600 are excluded. Managerial employees and part-time employees are also not covered under the TLWF Act.
Telangana Labour Welfare Fund Contributions
Under the Telangana LWF Act, employees and employers contribute to labour welfare schemes. The employer’s and employee’s annual contributions to the Telangana Labour Welfare Fund are calculated for employees on the register preceding December 31st, and the payment of these contributions, along with the Form-F return, must be remitted to the Welfare Commissioner by January 31st of the succeeding year. The amount of contribution is as follows:
| Category | Employee Contribution | Employer Contribution | Total | Date of Deduction | Due Date for Submission |
|---|---|---|---|---|---|
| All employees (except those in managerial/supervisory roles earning above ₹1,600/month) | ₹2 | ₹5 | ₹7 | December 31 | January 31 (following year) |
Telangana Labour Welfare Fund Benefits
The TLWF board uses the funds to implement many employee benefits, including:
- Labour welfare centers for recreational and sports facilities.
- Tours and holiday homes.
- Subsidiary occupations and home industries for unemployed persons and women.
- Medical assistance, including convalescent homes, and financial assistance up to ₹20,000 for treatment of critical diseases.
- Accidental death assistance of up to ₹30,000 and natural death assistance of up to ₹.10,000.
- Financial assistance in case of disability of up to ₹20,000.
- Marriage assistance of up to ₹10,000 as a fixed deposit.
- Maternity assistance of up to ₹5,000 for a daughter or the wife of a worker for the birth of a child, for up to two children.
- An assistance of up to ₹2,000 under the Adarsh family incentive for family planning.
- Educational scholarships based on eligibility criteria range from ₹1,000 to ₹2,000.
- Special education scholarship of up to ₹4,000 to differently abled students.
Claiming Benefits from the Telangana Labour Welfare Fund
Once registered for the Telangana LWF, workers can claim the benefits for which they are eligible. Here is a breakdown of the general claim process:
Claim Process
- Workers should approach their employers or the designated authority (as per official guidelines) to initiate the claim process for a specific benefit.
- Each benefit might require a dedicated application form.
- The required documents for claiming benefits will vary depending on the specific benefit being sought. These documents typically provide proof of eligibility and support the claim.
- For instance, claiming maternity benefits might require medical and birth certificates, while claiming educational scholarships might require the worker’s child’s academic documents.
Document Requirements
Consult official sources or relevant authorities for the most up-to-date information on the documents required to claim each benefit.
Processing Authority
Each district’s Deputy Commissioners of Labour are generally empowered to settle claims under the TLWF. Depending on the specific benefit and claim amount, they might delegate the authority to lower-level officials within the department.
How to Register for the Telangana Labour Welfare Fund?
Here is a step-by-step process for registering with the Telangana Labour Welfare Fund:
| Action | Steps |
|---|---|
| Establish Applicability | Confirm the establishment meets the criteria (e.g., factory, motor transport undertaking, or other establishment employing 20+ persons). |
| Create Employer Account | Register on the official Telangana Labour Department online portal using the employer’s mobile number, email, and personal/establishment details. |
| File Statutory Notice (Form-A) | Access the online services and submit the Notice of Opening in Form-A to the Welfare Commissioner. |
| Meet Statutory Deadline | Ensure the Form-A submission is completed within thirty days of the date the Act became applicable to the establishment (Rule 3). |
| Begin Ongoing Compliance | Once the notice is filed, commence annual payment of contributions and filing of the Form-F return by January 31st of the succeeding year (Rule 6). |
FAQs
What is the Telangana Labour Welfare Fund?
The Telangana Labour Welfare Fund is a statutory fund established under the Telangana Labour Welfare Act 1987. The primary purpose of the fund is to provide employee welfare, socio-economic benefits to the employees and their dependents.
What is an Employer’s Responsibility under Telangana LWF?
An employer is responsible for registering the establishment and eligible employees with the TLWF, deducting contributions from salaries, maintaining contribution records, and facilitating claim processes.
How Often does an Employer Need to Contribute to the TLWF?
Employers must submit contributions by the 31st of January each year. Additionally, employers must deduct contributions before the 31st of December each year.
What Happens if an Employer Fails to Contribute to the TLWF?
There are several possible consequences in case of failure to comply with the TLWF Act, including recovery of land revenue as an arrear and payment of interest.
How Can I Check My Telangana Labour Welfare Fund Status or Balance?
You can check the status of your TLWF by visiting the online dashboard on the official site of the Telangana Labour Welfare Department.
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