The Haryana Labour Welfare Board has officially announced a revision in the Labour Welfare Fund (LWF) contribution rates. Per Notification No. HLWB/REV/2026/3436, issued on May 8, 2026, the new caps are effective retrospectively from January 1, 2026.
This update is a critical priority for HR and Payroll departments. Because the change is backdated, businesses must not only implement the new rates immediately but also calculate and remit arrears for the period of January to April 2026 to avoid penalties.
This change is critical for payroll as it applies retrospectively from January 1, 2026. Here’s a quick summary of the revised structure:
- Employee Contribution: Remains 0.2% of monthly wages, but the maximum cap is now Rs.35 (up from Rs.34).
- Employer Contribution: Still double the employee’s contribution, which means the new maximum cap is Rs.70 per employee per month.
- Total Monthly Contribution: The combined maximum is now Rs.105 per employee.
Since the update is retrospective, employers will need to calculate the arrears for the months of January through April 2026 to stay compliant.
Thank you for reading. We hope the information was helpful to you!
Team SGC Services
NOIDA | DELHI | MUMBAI | BANGALORE
#TeamSGC #SGCSERVICES #PayrollOutsourcing
Visit us: www.sgcservices.com
HARYANA LWF NOTIFCATION EFFECTIVE 01-01-2026 CONTRIBUTION CAPPED AT Rs. 35.pdf
Discover more from Payroll and Compliance Blog
Subscribe to get the latest posts sent to your email.
