The Government of Maharashtra on 02nd March, 2024 published the Maharashtra Labour Welfare Fund (Amendment) Bill, 2024, which aims to further amend the Maharashtra Labour Welfare Fund Act, 1953. The Bill is designed to address the need for an increase in contributions to the Welfare Fund by employees, employers, and the State Government.
This increase is deemed necessary to support the growing welfare activities for laborers and their dependents, as well as to cover rising administrative expenses. The proposed amendments include a provision for a revised rate of contribution, empowering the State Government to increase the rate of employee’s contribution once every three years, not exceeding thirty percent of the prevailing rates. The financial memorandum estimates the total tripartite contribution to the Labour Welfare Fund to be approximately Rs. 168,54,00,000 per year, with the Government’s recurring expenditure expected to be around Rs. 56,18,00,000 annually from the Consolidated Fund of the State.
The Statement of Objects and Reasons outlines the necessity for increasing the contribution rates due to the substantial expansion of welfare activities conducted by the Maharashtra Labour Welfare Board, as well as the increasing number of workers and their dependents benefiting from these activities. The Board also plans to introduce new welfare-oriented schemes, sports training centers, tournaments, and camps for workers and their dependents.
The memorandum regarding delegated legislation explains the proposal for delegation
of legislative power, specifically the authority given to the State Government to increase the rate of employee’s contribution. Additionally, the financial memorandum highlights the intended use of the increased contributions to enhance welfare activities and maintain the ratio of administrative expenses within the limits set by the Maharashtra Labour Welfare Fund Rules.
