The Government of Maharashtra issued the Maharashtra Labour Welfare Fund (Amendment) Bill, 2024, on 1st March, 2024 which aims to further amend the Maharashtra Labour Welfare Fund Act, 1953. The Bill is introduced to increase the rates of tripartite contributions to the Labour Welfare Fund, emphasizing the need to finance welfare activities for laborers and their dependents.
It is stated that the main source of income for the Maharashtra Labour Welfare Board comes from the contributions made by employees, employers, and the State Government. The proposed amendment seeks to substitute the rates of contribution payable every six months by employees and employers, with provisions for periodic increases in the contribution rates, not exceeding thirty per cent.
The Statement of Objects and Reasons highlights the substantial increase in welfare activities and the number of workers benefiting from these activities, necessitating an increase in the contribution rates. The Bill aims to enable the Board to finance new welfare-oriented schemes, activities, and programs, including sports training centers and tournaments for workers and their dependents.
Additionally, the Bill includes provisions for delegated legislation, granting the State Government the power to increase the rate of employee’s contribution by notification in the Official Gazette once every three years. Furthermore, the Financial Memorandum estimates the total tripartite contribution to be approximately Rs. 168,54,00,000 per year, with the Government’s recurring expenditure estimated at Rs. 56,18,00,000 per year, to be paid from the Consolidated Fund of the State.
