The Government of Maharashtra has issued the revised minimum wages notification effective from 1st July 2025 to 31st December 2025. The Special Allowance (VDA) has been updated, while Basic wages remain unchanged.
💼 Wage Compliance Alert If employee count exceeds 50, then an additional 5% HRA must be added on Basic + Special Allowance. 📍 Zone Classification Zone I: Areas under all Municipal Corporations, Cantonment areas, and industrial areas within 20 km of Municipal Corporation limits. Zone II: Areas under all “A” and “B” grade Municipal Councils. Zone III: All remaining areas in the state not covered under Zone I or II.
Published by: Prakash Consultancy Services (PCS) Category: Odisha Labour Law | Night Shift Policy | Factory Act Compliance | ESIC Updates
📰 Breaking Labour Law Reform: Odisha Enables Night Shift for Women in Registered Factories
In a landmark move to boost gender parity in industrial employment, the Government of Odisha, Labour & E.S.I. Department has officially permitted engagement of women employees during night shifts (7:00 PM to 6:00 AM). The notification is issued under the amended Section 66(1)(b) of the Factories Act, 1948, aligning with the Factories (Odisha Amendment) Act, 2020.
This reform is a major boost to women employment opportunities, ESIC coverage expansion, and compliance reforms under Ease of Doing Business.
🏛️ Legal Backbone: Odisha Amendment to Factories Act
The state-specific amendment enables the State Government to allow night shifts for women provided the employer ensures safety, security, and dignity of the workforce, with written consent and prescribed facilities in place.
This move reflects progressive implementation of gender-neutral industrial policies while keeping the welfare and safety mandates intact.
📋 10-Point Mandatory Compliance Checklist for Employers
All factories opting to employ women during night shifts must strictly comply with the following legal conditions:
🔢
Compliance Condition
Legal/Operational Requirement
1️⃣
Written Consent
Must obtain individual written consent from women workers before assigning night shift duties.
2️⃣
Maternity Protection
No night shift work for pregnant or postpartum women; comply with Maternity Benefit Act, 1961.
3️⃣
Safe Transport
Provide GPS-enabled transportation (pick & drop) near the worker’s residence.
4️⃣
Sanitary Provisions
Ensure separate toilets, washrooms for women near workplace and fully hygienic.
5️⃣
Crèche Facility
Required for factories employing 30 or more women. Crèche must be managed or outsourced to NGOs.
6️⃣
Well-lit Campus & CCTV
Install lighting and CCTV surveillance along entry, exit, toilets, water points, etc.
7️⃣
Dedicated Lodging
If accommodation is provided, it must be exclusively for women, under female wardens.
8️⃣
Emergency Helpline Display
Display ESIC Women Helpline (181) and Odisha Labour Helpline (18003456703) clearly.
9️⃣
Self-Certification Filing
Occupier/Manager must submit electronic self-certification on Odisha Labour Department portal.
🔟
Non-Compliance Penalty
Failure to comply leads to penal action under Section 92 of the Factories Act, 1948.
📄 Format for Self-Certification (To Be Submitted Online)
The Factory Manager/Occupier must file a digital declaration, confirming:
Factory registration details and location.
Written consents obtained.
Infrastructure and safety compliance.
Awareness of legal liability for false statements.
This certification must be filed on the designated Odisha Labour Department portal.
🚨 Importance for Factory Owners, HR Heads, and Compliance Officers
Avoid legal scrutiny and penalties under the Factories Act, 1948.
Retain talent by building a gender-inclusive work culture.
Satisfy ESG & CSR benchmarks related to women workforce welfare.
Stay ESIC-compliant with GPS and infrastructure norms.
Align with Occupational Safety, Health & Working Conditions Code (OSH Code) for future-readiness.
🧠 Expert Commentary
“This move is a great blend of women empowerment and industrial development. However, the responsibility on occupiers is significant. Factories must proactively ensure safety and welfare or risk serious legal consequences.” — Compliance Head, Prakash Consultancy Services
Published on: 1st July 2025 Category: Labour Law Updates | Gujarat | Factories Act | Compliance
📌 Introduction
The Government of Gujarat has ushered in a transformative change in industrial labour policy with the promulgation of the Factories (Gujarat Amendment) Ordinance, 2025, notified on 1st July 2025. This ordinance temporarily amends the Factories Act, 1948 to boost industrial productivity, attract new investments, generate employment, and enable flexibility in working hours.
Let’s break down the key amendments and understand their impact on employers, HR professionals, factory managers, and compliance consultants.
⚖️ Legal Basis
This amendment has been promulgated by the Governor of Gujarat under Article 213 of the Indian Constitution.
Presidential assent was obtained since the Gujarat Legislative Assembly was not in session.
🔍 Summary of Key Amendments
Section
Amendment Summary
Impact
Section 54
Daily working hours extended to 12 hours/day (inclusive of rest), with a weekly cap of 48 hours
Allows longer shifts with worker consent, creating more production flexibility
Section 55
Workers can work up to 6 continuous hours without a break
Provides better shift structuring for continuous processes
Section 56
Spread-over can now be up to 12 hours including rest
Supports flexibility in staggered shift planning
Section 59
Revised overtime rates for varying schedules:
• 9 hrs/day (6-day week)
• 10 hrs/day (5-day week)
• 11.5 hrs/day (4-day week)
• 2x Wages for extra work
Encourages multiple shift patterns with fair compensation
Section 65
Quarterly overtime limit increased to 125 hours
Written consent mandatory for overtime
Extended seasonal or urgent operations support
Section 66
Women permitted to work night shifts (7 PM – 6 AM) with safety conditions
Empowers women workers, with a comprehensive workplace safety framework
👩🏭 Night Shift for Women: Stringent Safety Protocols
The most significant change is the provision for employing women during night shifts, a move towards gender inclusion. However, the ordinance enforces strict conditions to ensure women’s safety and dignity:
✅ Minimum 10 women workers per batch
✅ Proper lighting and 45-day CCTV footage storage
✅ Transport with GPS & CCTV, female guards
✅ No first pick-up or last drop for women
✅ Grievance redressal committees & counsellors
✅ No compulsion – Night shift only with written consent
✅ Minimum 12-hour rest between shift changes
📈 Objective Behind the Ordinance
The Gujarat Government aims to:
Attract national & international investments
Create more employment opportunities
Allow flexible shift models for continuous production industries
Promote gender diversity in the workforce
Support Make in India and Ease of Doing Business initiatives
🔄 Applicability & Enforcement
Effective Date: 1st July 2025
Applicable To: All factories registered under the Factories Act, 1948 in Gujarat
Operative Period: Till it is ratified or replaced by legislation in the Gujarat Assembly
✅ Action Points for Employers & HR
Update shift rosters as per new daily/weekly work hour norms
Ensure written consent for overtime and night shift work
Implement or upgrade grievance redressal mechanisms
Review factory safety protocols and transport arrangements
Conduct orientation for all women employees opting for night shift
Maintain documentary compliance for inspections and audits
📞 Need Help with Factory Compliance?
At Prakash Consultancy Services (PCS), we assist factories in compliance audits, shift policy restructuring, overtime registers, and POSH protocols.
Published on: July 2025 Tags: #POSHActIndia #MaternityBenefitCompliance #CompaniesAct2025 #BoardReportFiling #MCARulesUpdate #LegalComplianceIndia
🏛️ Introduction
In a move to enhance workplace accountability and promote gender-sensitive governance, the Ministry of Corporate Affairs (MCA) has notified the Companies (Accounts) Second Amendment Rules, 2025. This amendment, published under GSR 357(E) dated 30th May 2025, becomes effective from 14th July 2025, and mandates quantitative disclosures related to the POSH Act, 2013 and Maternity Benefit Act, 1961 in the Board’s Report of companies.
This update is a game-changer for corporate India, bringing employee-centric reporting, gender diversity tracking, and real-time POSH compliance into the mainstream of annual disclosures.
📌 What’s New in the 2025 Amendment?
1️⃣ POSH Act Mandatory Disclosures in Board’s Report
For the financial year ending March 31, 2025 and thereafter, every company must disclose:
📥 Number of sexual harassment complaints received
🗂️ Number of complaints disposed of within the same year
⏳ Number of complaints pending for more than 90 days
This makes compliance with the POSH Act measurable, auditable, and visible to stakeholders.
2️⃣ Maternity Benefit Act Compliance Statement
Companies must now formally confirm adherence to the Maternity Benefit Act, 1961, ensuring that maternity leave benefits, workplace facilities, and related provisions are duly followed.
3️⃣ Gender-wise Employee Strength
Filing formats now require companies to disclose:
👨 Total Male Employees
👩 Total Female Employees
⚧️ Total Transgender Employees
This aligns with India’s push towards inclusive workplaces and diversity reporting.
🧾 New e-Filing Requirements via MCA Portal
Companies are now required to upload the following PDF attachments along with e-Form AOC-4 / AOC-4 XBRL / AOC-4 CFS:
📑 Extract of the Board’s Report
📑 Extract of the Auditor’s Report (Standalone and Consolidated)
These attachments must be digitally signed and submitted through the MCA V3 filing system, streamlining corporate compliance workflows.
⚠️ Legal Penalties for Non-Compliance
Failure to comply with the above disclosure mandates will attract serious legal consequences:
Non-Compliance Area
Penalty – Company
Penalty – Officer-in-Default
Omission in Board’s Report
₹3,00,000
₹50,000
Breach of POSH Act Sections 21–22
₹50,000–₹1,00,000
Possible deregistration or prosecution
⛔ Repeat offences under the POSH Act may lead to cancellation of business licenses or government contract disqualification.
🧠 Who Is Affected?
This amendment applies to all companies registered under the Companies Act, including:
🏢 Public Limited Companies
🧾 Private Limited Companies
🏭 Manufacturing Firms
🏨 Hospitality, IT, Retail, and Service Sector Employers
Exceptions: Certain OPCs and small companies may be granted limited compliance relaxation, but only to a minimal extent under Section 446B of the Companies Act.
🛠️ Action Points for Compliance Teams
To avoid penalties and ensure smooth filing, companies must immediately:
🔄 Update their Board’s Report template for FY 2024–25
📊 Implement dashboards to track POSH complaint timelines
🧾 Review maternity policy compliance and documentation
👨💻 Train HR, Legal, and Secretarial departments on gender data collection
📂 Ensure accurate attachment and submission of e-Form AOC‑4 with required extracts
📍 Strategic Benefits of Timely Compliance
✅ Enhance your company’s reputation for workplace ethics
✅ Improve audit readiness and regulatory standing
✅ Boost investor confidence through transparent disclosures
✅ Reduce risk of litigation, penalties, and regulatory inspections
✅ Foster a safe, inclusive, and gender-sensitive workplace
🤝 Need Professional Assistance?
At Prakash Consultancy Services (PCS), we help you stay ahead of regulatory deadlines. Our team of legal and compliance experts can support you with:
Drafting POSH-compliant Board’s Reports
Conducting internal audits on POSH and maternity compliance
Filing AOC-4 and associated forms on the MCA portal
Designing HR dashboards for real-time POSH case tracking
📎 Conclusion
The Companies (Accounts) Second Amendment Rules, 2025 is a significant reform towards fostering gender equality, transparency, and corporate integrity in India. This amendment is not just a filing requirement — it’s a cultural shift towards safer workplaces and proactive governance.
Companies should act now to align with the changes, avoid heavy penalties, and demonstrate a strong commitment to gender justice and labour law compliance.
🔔 Single Authority, Faster Timelines, Stricter Accountability 🔔
📅 Notification Date: 19th June 2025
📑 Notification Number: 18643-740
🛂 Applicable Law: Punjab Shops and Commercial Establishments Act, 1958
📍 Jurisdiction: State of Haryana
🔍 Overview:
In a major administrative reform, the Government of Haryana has introduced a simplified and time-bound process for registration under the Punjab Shops and Commercial Establishments Act, 1958, effective June 19, 2025.
The latest directive revokes the earlier order dated 6th December 2024 and brings in a centralised registration authority by empowering Labour Inspectors as the sole approving authority, regardless of the number of workers employed.
This move is expected to reduce red tape, speed up business compliance, and increase accountability at the grassroots level.
🧾 Key Provisions of the Notification
🔸 Provision
🔍 Description
👨💼 Single Approval Authority
All shop and commercial establishment registrations will now be processed and approved only by the concerned Labour Inspector. No need for Deputy Labour Commissioner (DLC) intervention based on employee count.
⏱️ Time-Bound Action
Labour Inspectors must begin processing applications within 24 hours of submission on the portal.
⚠️ First Objection Timeline
Any objections must be raised within 4 days of application submission.
🛑 Second Objection Timeline
If necessary, a second objection must be issued within 3 days of the first.
✅ Final Decision Deadline
All applications must be fully settled within 10 days, ensuring a transparent and efficient process.
📋 Monitoring Authorities
Assistant Labour Commissioners (ALCs) and Deputy Labour Commissioners (DLCs) are now responsible for monitoring application disposals and performance of Labour Inspectors.
👮♂️ Escalation & Disciplinary Action Framework
🚨 Situation
👨⚖️ Action Taken
Labour Inspector fails to act within stipulated time
Assistant Labour Commissioner (ALC) will recommend action to the Deputy Labour Commissioner (DLC).
Labour Inspector remains inactive despite instructions
The DLC will: 1️⃣ Process the application directly after 10 days and 2️⃣ Recommend disciplinary action to the Labour Commissioner, Haryana.
This layered framework is designed to ensure no application gets stuck due to officer inaction or intentional delay.
🎯 Objectives Behind the Notification
✅ Ease of Doing Business in Haryana
✅ Decentralised and Transparent Registration Mechanism
✅ Time-bound Application Processing
✅ Increased Officer Accountability
✅ Elimination of Bureaucratic Layers for Faster Approvals
👷 Impact on Employers and Establishments
💡 What You Need to Do:
Submit your Shop & Establishment registration application directly to the Labour Inspector via the official labour portal.
Ensure all documents are correct and complete to avoid delays or objections.
Track the application timeline and follow up immediately if the 10-day limit is breached.
🧾 Documentation Checklist:
✔️ Aadhaar & PAN Card of Employer
✔️ Proof of Establishment (Electricity Bill/Rent Agreement)
✔️ Employee Details (if any)
✔️ Photographs of the premises
✔️ Trade name and nature of business
🧠 Expert Insight:
The move aligns with India’s larger “Digital India” and “Ease of Doing Business” goals. By bringing accountability to the lowest administrative level, Haryana is creating a model structure that may be replicated in other states.
From a compliance standpoint, this development is significant for HR Managers, Compliance Officers, and SMEs, particularly those expanding operations in Haryana.
📞 Need Help With Registration?
Prakash Consultancy Services (PCS) offers end-to-end support for Shop Act registrations across India.
📌 From documentation to online portal filing to objection resolution – we ensure 100% compliance, on time.
Published Date: 26 June 2025 Issued By: Department of Labour & Employment, UT Administration of DNH & DD
🚨 Labour Law Reform Alert!
The Union Territory Administration of Dadra and Nagar Haveli and Daman and Diu (DNH & DD) has taken a significant step towards progressive labor reforms and ease of doing business. On 26th June 2025, a draft amendment to the Gujarat Shops and Establishments (Regulation of Employment and Conditions of Service) Act, 2019 (as extended to DNH & DD), was released, inviting comments from all stakeholders. This draft aims to balance worker welfare with industrial flexibility while aligning with the broader reforms led by the Government of India.
📜 What Is Being Amended?
Below is a comparison table of key changes proposed:
Section
Existing Provision (2019 Act)
Proposed Amendment (2025)
Implication
1(3)
Applicable to establishments with 10+ workers
Applicability raised to 20+ workers
✅ Compliance relief to small businesses
12
Max 9 hours/day, 5 hours continuous work
Max 10 hours/day, 6 hours continuous work
⏰ Longer work hours with rest
13(2)
Women allowed to work only between 6 AM – 9 PM, with conditional approval
Women allowed before 6 AM & beyond 9 PM with consent & safety norms
👩 Empowerment through extended shift options
14
Spread-over: 10.5 hrs/day (up to 12 hrs for urgent work)
Unified spread-over: 12 hrs/day
📅 Simplified work span rule
15
OT limit: 125 hrs in 3 months
OT limit raised to 144 hrs in 3 months
💼 Increased overtime capacity
⚖️ Why This Matters
This reform has been introduced in light of:
Rapid industrialisation and growth of DNH & DD as a manufacturing and service hub.
The need to simplify compliance for small businesses.
Ensuring gender equality in employment by legally enabling flexible shift timings for women with safeguards.
🧾 Official Details
📅 Date of Circular: 26 June 2025
🏛️ Department: Labour & Employment, UT Administration
📬 Where to send feedback:
Commissioner-cum-Secretary (Labour)
Secretariat, Vidyut Bhawan, Kachigam, Nani Daman
⏳ Deadline: Within 30 days i.e., on or before 26th July 2025
📝 Who Should Respond?
🔹 Factory owners
🔹 Retail & service sector businesses
🔹 Compliance professionals
🔹 Labour unions & worker groups
🔹 Women working in late/night shifts
🔹 HR managers & legal experts
📢 PCS Recommendations
All employers must review their internal policies on working hours, shift timings (especially for women), and overtime.
Small businesses with <20 workers may now benefit from reduced compliance requirements.
Companies must ensure consent, security, and facilities are in place before engaging women in late-night shifts.
Keep records ready for possible compliance updates once the final amendment is notified.
📣 Final Words
This draft amendment reflects the UT’s intent to foster a pro-worker yet industry-friendly environment. Stakeholders must take this opportunity to review, suggest, and prepare for the eventual enforcement of the revised act.
📩 For professional assistance with labour compliance, registration, and policy drafting under the proposed changes, contact:
🚨 Mandatory Compliance Alert: Rajasthan Mandates Strict Enforcement of Sexual Harassment Act and Women Support Services – Notification Dated 23rd June 2025
The Government of Rajasthan, through its notification dated 23rd June 2025, has issued strong compliance directives to ensure the safety and dignity of women in workplaces across the state. This move reinforces the enforcement of the Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013, along with support measures for women facing violence.
🔍 Key Highlights of the Notification
📌 1. Mandatory Formation & Display of Internal Committee (IC)
Every workplace, public or private, with 10 or more employees is mandated to:
Constitute an Internal Committee (IC).
Display IC details prominently within the office premises.
Register the IC on the SHe-Box Portalwithin 15 days from the date of notification.
Non-compliance with IC formation or portal registration will be viewed seriously and attract penal action as per the Act.
📌 2. Awareness & Training Obligations
Employers must conduct the following activities at regular intervals:
Workshops and Seminars to sensitise employees.
Training programs for Internal Committee members.
Awareness campaigns to ensure women know their rights and grievance redressal channels.
Annual reports of awareness and complaint redressal are to be submitted to the Local District Officer.
📌 3. Support Services Available for Women
Women facing harassment or violence can now access 24/7 support services through government-backed channels:
Support Service
Details
One Stop Centre
Emergency response & support including shelter, police help, and legal aid
Women Helpline – 181
Toll-free, 24/7 support for any form of harassment or violence
Panna Dhay Safety & Respect Centre
Offers counselling, shelter, and medical/legal assistance
All services are free of cost and designed to provide a holistic response to women’s safety needs.
⚠️ Penalty for Non-Compliance
Failure to comply with provisions under the POSH Act, including failure to constitute an IC, submit annual reports, or implement awareness measures, can result in:
A fine up to ₹50,000 for first-time non-compliance
Repeated violations may lead to cancellation of business licence
✅ Employers – Immediate Action Points
Compliance Task
Timeline / Frequency
Form Internal Committee (IC)
Within 15 days
Register IC on She-Box Portal
Within 15 days
Display IC composition at all workplaces
Immediate
Conduct POSH awareness training
Quarterly / Half-Yearly (recommended)
Submit annual POSH compliance report
By 31st January every year
Provide support to women in need
Ongoing (via referral to govt. services)
📢 Conclusion
This notification serves as a strong reminder to all employers in Rajasthan to implement and institutionalise a gender-safe work culture. Beyond being a legal obligation, it is a social responsibility to ensure women feel safe, respected, and empowered in every workplace.
For complete access to the official notification, refer to the document below 👇.
Government of Bihar Notification—Election Paid Holiday
In a move to facilitate voter participation, the Government of Bihar has declared Saturday, June 28, 2025, as a paid holiday for employees working in establishments, factories, and other organizations situated within the jurisdiction of areas going to the Municipal General/Sub-Elections, 2025.
📌 Key Highlights:
Notification Date: 18 June 2025
Election Day: Saturday, 28 June 2025
Applies To:
All categories of workers, including casual and contract employees
Employees of private establishments, factories, shops, and industrial undertakings in the concerned election areas
Objective: To ensure that every eligible voter is able to exercise their right to vote without any employment-related hindrance.
⚖️ Legal Backing:
This paid holiday is declared in accordance with Section 135B of the Representation of the People Act, 1951, which mandates that all employers must grant paid leave to employees on the day of voting in their respective constituencies.
❌ Non-Compliance Warning:
Employers who fail to comply with this directive may face legal consequences as per the relevant provisions of the Act.
In its bid to reach every corner of India, the Employees’ Provident Fund Organisation (EPFO) continues its highly successful campaign—Nidhi Aapke Nikat 2.0. On 27th June 2025, this monthly district-level outreach programme will again connect directly with members, employers, and pensioners in every district across the country.
🎯 Theme:Your PF, Your Rights, At Your District
📅 Date: Friday, 27th June 2025 🌐 Reach: All districts of India 📍 Venue: District Collectorates, Industrial Halls, ITIs—final list to be notified locally by each Regional Office
🔍 What is Nidhi Aapke Nikat 2.0?
Launched as an upgraded version of the original Nidhi Aapke Nikat programme, Nidhi Aapke Nikat 2.0 (NAN 2.0) is EPFO’s flagship monthly outreach initiative. It is conducted on the 27th of every month in all districts simultaneously, making EPFO services accessible to even the remotest locations.
This programme is designed to:
📌 Address grievances on the spot.
📌 Offer real-time support for PF-related issues
📌 Improve transparency and accessibility
📌 Educate stakeholders about recent EPFO reforms and benefits
Spot grievance redressal and tracking with printed acknowledgements
📣 Awareness Desk
Info on reforms like auto-claim settlement, higher pension, centralised pension
📂 What to Carry?
For a hassle-free experience, please bring the following documents:
For Members/Pensioners:
UAN number & Aadhaar card
Cancelled cheque or bank passbook
Photographs (2 copies)
Digital Life Certificate (if submitting offline)
For Employers:
Establishment ID & DSC token
Latest challans and UAN list
Authorisation letter (if sending a representative)
💡 Did You Know?
🟢 In the May 2025 edition of NAN 2.0, over 32,000 grievances were resolved on the spot! 🟢 EPFO also distributed over 4,000 PPOs and enabled 10,000+ KYC updates in a single day across India. 🟢 Senior citizens appreciated the pensioner-only counters, reducing wait times and improving services.
📍 Venue Details
Venues vary by district, typically located at:
Collectorate Conference Halls
Govt. ITI Auditoriums
District Employment Offices
Industrial Area Community Halls
👁️🗨️ To know your district’s exact location, visit https://epfindia.gov.in or check updates on the EPFO’s social media pages.
✅ Register your grievance on EPFiGMS Portal before the event ✅ Carry multiple photocopies of documents ✅ Reach early to get your token number ✅ Note the grievance ID for tracking after the event ✅ Join awareness sessions to stay updated on new digital services
📞 Still Have Questions?
📬 Email your local EPFO Regional Office 📞 Call the EPFO helpline at 14470 🌐 Or comment below, and we’ll guide you!
📌 Final Thoughts
Nidhi Aapke Nikat 2.0 is not just an event—it’s a citizen-centric revolution in how government services are delivered. It bridges the last mile, bringing the PF office right to your doorstep. Whether you’re a new member, long-time employee, employer, or pensioner—this is your chance to connect directly with EPFO without any intermediaries.
✅ Mark your calendars: 27th June 2025 ✅ Bookmark this blog: blog.pcsmgmt.com for regular updates ✅ Share this article with your team, clients, or factory workers!
📅 Introduction: Why June Payroll is Crucial for LWF
As part of statutory compliance obligations under various State Labour Welfare Fund Acts, establishments are mandated to deduct LWF contributions from employees and deposit them along with the employer’s share within specific timelines. For most states, this happens twice a year — and the first cycle (January to June) culminates in July 2025.
To remain compliant, LWF must be deducted in June 2025 payroll and remitted by or before 15th July 2025, along with the filing of relevant returns.
🧾 What is Labour Welfare Fund (LWF)?
Labour Welfare Fund is a statutory welfare contribution collected under individual State Labour Welfare Fund Acts, meant to provide:
Medical facilities for workers and their families
Support for children’s education
Maternity and retirement benefits
Vocational training
Marriage assistance
Recreational amenities
Emergency relief (e.g., during disasters or pandemics)
📌 June 2025 Payroll Deduction – States Where It Is Mandatory
Below is a state-wise summary for the July 2025 LWF remittance cycle (based on the January–June 2025 contribution period):
State
Employee Contribution (₹)
Employer Contribution (₹)
Total per Employee (₹)
Payment Due Date
Filing Requirement
Maharashtra
₹25
₹75
₹100
15 July 2025
Online return mandatory
Gujarat
₹6
₹12
₹18
15 July 2025
Form A + challan
Goa
₹60
₹180
₹240
15 July 2025
Challan + register
West Bengal
₹3
₹30
₹33
15 July 2025
Return in prescribed format
Madhya Pradesh
₹10
₹30
₹40
15 July 2025
Online return mandatory
Odisha
₹10
₹20
₹30
15 July 2025
Form F submission
Delhi (NCT)
₹0.75
₹2.25
₹3
15 July 2025
Online return submission
✅ Note: Karnataka, Tamil Nadu, Andhra Pradesh, Telangana, Haryana, and Punjab have either monthly or annual contribution cycles and are not covered in the July remittance period.
🔍 Detailed Employer Checklist for June 2025 LWF Deduction
1. Payroll Processing
Ensure that employee LWF deduction is included in the June 2025 salary register for all eligible employees.
Apply deduction state-wise, based on location of the establishment (not employee residence).
For employees who joined or left during June 2025, apply full amount, unless the relevant state law allows proration (currently, none of the above do).
2. Budgeting Employer Contributions
Employer contributions are significantly higher (3x in states like Goa and Maharashtra).
Budget and process these as part of statutory payables before finalising June salary payout.
3. Documentation
Maintain:
Deduction register
Employer contribution sheet
Payment challan
Filed return acknowledgement
4. Remittance & Return Filing
Payment must be made to the respective Labour Welfare Board account through authorised payment gateways/bank challans.
Returns must be filed in the respective online portal or state-specified form.
5. System Readiness
In states like Maharashtra, Gujarat, and MP, state LWF portals have undergone updates.
Ensure:
Valid login credentials
Establishment registration
DSC activation (if applicable)
💡 Best Practices to Avoid Penalties
Risk
Mitigation
Missed LWF deduction
Lock June payroll only after statutory deduction review
Incorrect employee headcount
Reconcile active employees with muster roll
Missed remittance
Set internal deadline of 10 July 2025 to allow buffer time
Failure to file return
Track due date reminders and assign responsibility within payroll team
Old login credentials not working
Verify portal access well in advance
🔍 Frequently Asked Questions (FAQs)
❓ Is LWF applicable to all employees?
No. It is generally applicable to non-managerial employees drawing wages below a certain threshold. The definition varies by state. However, many employers deduct it uniformly to avoid compliance gaps.
❓ What if LWF is not deducted in June payroll?
You may have to deduct it later or remit the employer’s entire share yourself. This may also attract penalties under the applicable state rules.
❓ Are LWF contributions tax-deductible?
Yes. The employer contribution is a deductible business expense under Section 37(1) of the Income Tax Act, provided it is paid before the due date.
📢 Conclusion: Compliance is Culture
The Labour Welfare Fund is not just a legal obligation, but a reflection of employer responsibility towards worker well-being.
Ensuring timely deduction in June 2025 payroll, and remitting it on or before 15th July 2025, ensures:
No late fees or penalties
Peace of mind during audits
Continued trust with your employees
Financial compliance discipline
🔧 Need Assistance with LWF Compliance?
At Prakash Consultancy Services, we provide end-to-end payroll compliance solutions, including:
LWF calculation
State-wise challan generation
Online return filing
Record maintenance and audit support
📞 Contact us today to streamline your statutory compliance across all states.
➡️ Visit blog.pcsmgmt.com for more such compliance insights.
