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Kerala Labour Welfare Fund (KLWF) Rates & Compliance Guide (2026)

The Kerala Labour Welfare Fund (KLWF) is governed by The Kerala Labour Welfare Fund Act, 1975 and administered by the Kerala Labour Welfare Fund Board (KLWFB), Thiruvananthapuram.

In Kerala, commercial establishments and shops adhere to a structured deduction cycle remitted through the Board's welfare scheme.

Statutory Act Reference

Governing Statute: The Kerala Labour Welfare Fund Act, 1975
Regulatory Authority: Kerala Labour Welfare Fund Board (KLWFB), Thiruvananthapuram
Official Portal: Kerala Labour Welfare Fund Board Portal

📊 Contribution Rates & Wage Slabs (2026)​

Category / Wage BracketEmployee ContributionEmployer ContributionTotal RemittanceDeduction FrequencyStatutory Remittance Deadline
All Covered Employees (Regardless of wage limit)₹20.00₹20.00₹40.00Half-Yearly / Monthly15th of following month / 15th July & Jan
Contribution Ratio

In Kerala, the contribution ratio is an equal 1:1 match (₹20 deducted from employee and ₹20 contributed by employer).

📅 Deduction Schedule & Cutoff Dates​

  • Frequency: For commercial establishments, deductions are effected bi-annually (or monthly in scheduled factories).
  • Remittance Cutoff Date: Half-yearly payments must be remitted by 15th July and 15th January.
  • Prescribed Return Form: Form D (Statement of Employee and Employer Contributions).

🏢 Applicability & Coverage Scope​

  1. Covered Establishments:
    • Factories registered under Section 2(m) of the Factories Act, 1948.
    • Motor transport undertakings in Kerala.
    • Commercial establishments and shops registered under the Kerala Shops and Commercial Establishments Act, 1960 employing 2 or more workers.
    • Plantations employing 10 or more persons.
  2. Covered Employees:
    • Any person employed directly or through contractors for manual, clerical, technical, or supervisory work.
  3. Exemptions:
    • Managerial and administrative personnel drawing salary above statutory thresholds with executive responsibilities.
    • Apprentices under the Apprentices Act, 1961.

💻 Online Payment & Return Procedure​

  1. Access the official Kerala Labour Welfare Fund Board Portal.
  2. Log in using the establishment's registration credentials.
  3. Submit active covered employee counts.
  4. Pay online via e-Treasury Kerala / SBI gateway.
  5. Generate and download Form D with payment receipt.

⚠️ Penalties for Non-Compliance​

  • Penal Interest: Simple interest at 9% to 18% per annum on delayed payments.
  • Prosecution: Summary recovery through District Revenue Recovery mechanisms.

❓ Frequently Asked Questions (FAQs)​

What is the employer contribution ratio for Kerala LWF?​

In Kerala, the employer contributes an equal matching share of 1:1 (₹20 employee share and ₹20 employer share, totalling ₹40).

Which portal handles Kerala LWF payments?​

Payments and returns are processed via the official Kerala Labour Welfare Fund Board Portal.