HighLights
The Punjab Labour Welfare Fund Act,1965
Object
This Act seeks to provide for the constitution of the Labour Welfare Fund for the financing and to carry on various activities conducive to the welfare of labour in the State of Haryana. The sources of receipts of this Fund are the large sums of money realized by employers of establishments from their employees as fines, unpaid wages, bonus or gratuity which are not claimed by the latter remain accumulated with the employers and not properly utilized by them in the best interest of labour. Besides this Act requires
each employee shall contribute to the Fund every month an amount equal to zero point two percent of his salary or wages or any remuneration subject to a limit of rupees thirty one and each employer in respect of each such employee shall contribute to the Fund every month, twice the amount contributed by such employee,
respectively, per month to the Fund.The fund so collected is utilized by the Board to promote the welfare of labourers and their dependents by framing welfare schmes.
Applicability of the Act
This Act is applicable to a factory as defined in clause (m) of section 2 of the Factories Act, 1948 or any place which is deemed to be a factory under sub section (2) of section 85 of that Act includes any premises including the predicts thereof wherein and in any part of which any industry within the meaning of clause (j) of section 2 of the Industrial Dispute Act, 1947, is carried on and also includes a shop or a commercial establishment within the meaning of the Punjab Shops and Commercial Establishment Act, 1958, in which, on any day, ten or more employees are employed or were employed during the preceding twelve months.
Enforcement Machinery
The Welfare Commissioner who is also the Labour Commissioner,Haryana is the Principal Executive Officer to monitor the Act. The Labour Commissioner/ Additional Labour Commissioner/ Joint Labour Commissioners / All Dy. Labour Commissioners in the State/ All Labour Officer-cum-Conciliation Officers in the State/ Welfare Officers (woman) in the state/ All Labour Inspectors in the State/ Labour Welfare Officer All Labour Inspectors (Welfare) of Haryana Labour Welfare Board have also been declared as Inspector within their respective jurisdiction sfor the purposes of the Act rules framed thereunder.
What should A Factory owner know about the Punjab Labour Welfare Fund Act, 1965
Every employer of an establishment shall maintain a register of wages in Form-A(LW)
and a consolidated register of unclaimed wages and fines in Form-B(LW)(Rule-22)
Every employer shall by the 31st January , every year forward to the Welfare Commissioner, a copy of the abstract from the register in Form-B(LW) pertaining to the previous year. (Rule-22)
Every employer shall pay, all fines realized from the employees remaining unutilized and all unpaid accumulations held by the employer, in cash or by money order or by postal order or by demand draft or cheque drawn on any scheduled Bank duly crossed in favour of the 'Welfare Commissioner, Haryana(section-3, 9) and send it to
Welfare Commissioner, Haryana
Bays No. 29-30 (Pocket-II),
Sector-04, Panchkula.
All fines realized from the employees and unpaid accumulations during the quarters, ending the 31st March, the 30th June, the 30th September and the 31st December shall be paid by the employer by the 1st May, the 1st August, the 1st November and the 1st Feburary, succeeding such quarter and a statement giving particulars of the amounts so paid shall be submitted by him alongwith such payment to the Welfare Commissioner. Besides, this Act requires
each employee shall contribute to the Fund every month an amount equal to zero point two percent of his salary or wages or any remuneration subject to a limit of rupees thirty one and each employer in respect of each such employee shall contribute to the Fund every month, twice the amount contributed by such employee,
respectively, per month to the Fund. This amount is required to be deposited by 31st December of every year (section-3,9,9A).
If an employer held the unpaid accumulation or any portion of fines realized from the employees and has not paid in accordance with rule 3, the Welfare Commissioner may serve a notice and the employer shall comply with the notice within 14 days of the receipt thereof. (Rule-4)
Every employer should give full assistance to the Inspector declared under the Act at the time of inspection produce records or documents and supply him a copy thereof or to give him a statement in writing (section-15 Rule-19).
Any sums payable into the Fund under this Act, shall be recoverable on behalf of the Board as an arrear of land revenue. (section-20)
Any person, who contravernes any of the provisions of the Act or any rule made thereunder or who willfully obstructs an Inspector in the exercise of his powers or fails to produce records or other documents, shall, on conviction, for the first offence be fined upto five thousand rupees but not less than two thousand rupees for a second or subsequent offences the imprisonment for a term of three months, or with fine upto ten thousand rupees but not less than three thousand rupees or with both, be punished (section- 26A).
The employer shall be required to pay interest at the rate of twelve per cent per annum on the amount of unpaid accumulations in case he fails to deposit the same within a period of one year from the prescribed date. The rate of interest thereafter shall be twenty per cent per annum (section-3).
Any employer who fails to pay the contribution amount within a period of one month from the date specified under sub-section (2), shall be liable to pay interest at the rate of twelve percent per annum until such time the amount is actually deposited with the Welfare Commissioners (section-9A(4)).
