The Haryana Labour Welfare Board has issued a fresh notification revising the monthly contribution limit under the Haryana Labour Welfare Fund Act, 1965. This update is important for all employers operating in Haryana.
Key Highlights of the Notification
- Notification Date: 08 May 2026
- Effective Date: 01 January 2026
- Employee Contribution: 0.2% of salary/wages/remuneration
- New Maximum Limit: ₹35 per month (increased from ₹34)
- Employer Contribution: Twice the employee’s contribution (i.e., ₹70 per month at the new cap)
- Future Indexing: The limit will continue to be indexed annually to the Consumer Price Index (CPI) every year from 1st January.
This revision replaces the earlier limit of ₹34 that was applicable from 01.01.2025.
Official Excerpt from the Notification
“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-five and each employer in respect of each such employee shall contribute to the Fund every month, twice the amount contributed by such employee.”
Who Needs to Comply?
All industrial and commercial establishments in Haryana covered under the Haryana Labour Welfare Fund Act, 1965 must implement the new contribution rates from January 2026 onwards.
This includes factories, shops, commercial establishments, and other notified entities employing workers in the state.
Impact on Employers
- Slight increase in monthly LWF liability per employee (from ₹68 to ₹70 at the cap).
- Employers must deduct ₹35 (max) from eligible employees’ salaries and contribute ₹70 from their own account.
- Proper records and timely remittance to the Haryana Labour Welfare Board are mandatory.
- Non-compliance may attract penalties under the Act.
Action Points for HR & Compliance Teams
- Update your payroll software/system with the new ceiling of ₹35 w.e.f. January 2026.
- Communicate the change to employees.
- Ensure timely deposit of contributions.
- Maintain proper contribution registers for inspection.
- Review your Labour Welfare Fund compliance as part of your overall statutory audit.
Need Expert Help with Haryana Labour Compliances?
With frequent updates in labour laws, PF, ESIC, LWF, and the new Labour Codes, staying compliant can be challenging for growing businesses. Professional support helps avoid penalties, ensure timely filings, and maintain full regulatory adherence.
At Sankhla & Co., we provide end-to-end labour law compliance services, including LWF registration, monthly contributions, returns, and comprehensive compliance audits across Haryana and PAN India.
→ Read more about our Comprehensive Compliance Audit & Labour Law Services
Conclusion
The increase in the Haryana LWF contribution cap to ₹35 is a small but important update for employers. Implementing this change correctly from January 2026 will help you avoid any last-minute compliance issues.
Stay updated with labour law changes and ensure your business remains fully compliant.
