Labour Welfare Fund (LWF) in Chandigarh 2026

Employee and employer LWF contribution, filing frequency, collection cycle, and the governing Act for payroll teams in Chandigarh.

Rs.5

Employee share

Rs.20

Employer share

Rs.25

Total / cycle

Monthly

Frequency

Source: Punjab Labour Welfare Fund Act, 1965 (as applicable to Chandigarh). Verify the current rate with the Chandigarh Labour Welfare Board before filing.

Key Takeaway Last reviewed: June 2026

What is the LWF contribution in Chandigarh?

In Chandigarh, LWF is Rs.5 (employee) + Rs.20 (employer) = Rs.25 per employee, collected monthly (every month) under the Punjab Labour Welfare Fund Act, 1965 (as applicable to Chandigarh).

Quick Reference

LWF Rates in Chandigarh

Contribution, frequency, cycle, and governing Act at a glance.

Item	Value	Note
Employee contribution	Rs.5	Deducted from salary, shown on payslip
Employer contribution	Rs.20	Added by employer, not on payslip
Total per employee	Rs.25	Per contribution cycle
Frequency	Monthly	How often LWF is collected
Collection cycle	every month	When the contribution is due
Governing Act	Punjab Labour Welfare Fund Act, 1965 (as applicable to Chandigarh)	State statute that levies LWF
Administered by	Chandigarh Labour Welfare Board	Receives and spends the fund

Source: Punjab Labour Welfare Fund Act, 1965 (as applicable to Chandigarh). Verified as on June 2026. State boards revise rates periodically; confirm with the Chandigarh Labour Welfare Board before filing.

How It Works

LWF Deduction and Filing in Chandigarh

Deduct employee share

Deduct Rs.5 from the employee in the monthly cycle.

Add employer share

Add Rs.20 as employer cost to reach Rs.25 per employee.

Reconcile headcount

Exclude exempt managerial staff and apprentices before totalling.

Deposit to board

Pay the total to the Chandigarh Labour Welfare Board and file the prescribed return.

factoHR India

Automate Chandigarh LWF

factoHR India deducts Chandigarh LWF on the payslip, applies the correct cycle, generates challans, and produces board-ready returns.

Book a Demo

LWF in Other States

All states

Chhattisgarh Delhi Goa Gujarat Haryana Karnataka

FAQ

Chandigarh LWF FAQs

What is the LWF contribution in Chandigarh for 2026?

Chandigarh charges Rs.5 from the employee and Rs.20 from the employer, a total of Rs.25 per employee. It is collected monthly (every month) under the Punjab Labour Welfare Fund Act, 1965 (as applicable to Chandigarh).

How often is LWF paid in Chandigarh?

LWF in Chandigarh is paid monthly. Employers deduct the employee share, add the employer share, and deposit the total to the Chandigarh Labour Welfare Board in the every month cycle. Verify the exact due date with the board.

Who is exempt from LWF in Chandigarh?

Employees in managerial or supervisory roles above the state wage ceiling are usually exempt, along with apprentices under the Apprentices Act, 1961. Check the Punjab Labour Welfare Fund Act, 1965 (as applicable to Chandigarh) for the applicable ceiling and exemption list.

Is LWF shown on the Chandigarh payslip?

Yes. The employee LWF share of Rs.5 appears as a separate deduction on the payslip. The employer share of Rs.20 is not on the payslip but is recorded in payroll registers and the LWF return.

How does factoHR India handle Chandigarh LWF?

factoHR India deducts the Chandigarh LWF share on the payslip, applies the monthly cycle, generates the LWF challan, and produces board-ready returns. Rates update when the Chandigarh Labour Welfare Board revises them.

If you employ staff in Chandigarh, the same workforce is also covered by minimum wage rates in Chandigarh, working-hour and overtime rules in Chandigarh, and the public holiday calendar for Chandigarh. Keep every Chandigarh statutory obligation aligned across your payroll.