The Labour Welfare Fund in Tamil Nadu is a small contribution from employees and employers to the Tamil Nadu Labour Welfare Board, which runs welfare schemes for workers. Here is how much, how often, and who it covers.
Tamil Nadu LWF contribution
| Item | Amount / timing |
|---|---|
| Employee contribution | ₹20 |
| Employer contribution | ₹40 |
| How often | once a year |
| Deducted | in December, for employees on the register on 31 December (and from the last wages of anyone leaving earlier) |
| Paid to the board | before 31 January of the following year, online at lwmis.lwb.tn.gov.in |
Who it covers
Factories, motor transport undertakings, plantations, catering establishments, and shops and establishments employing 5 or more people. An employee is anyone who worked 30 days in the preceding 12 months.
Not covered: Managerial staff, supervisors drawing more than ₹15,000 a month, apprentices and part-time workers.
What employers need to know
- The state government adds ₹20 per employee on top.
- Rates doubled by G.O.(Ms) No. 161 dated 2 December 2022 (Tamil Nadu Gazette Extraordinary No. 538).
- The fund is set up under the Tamil Nadu Labour Welfare Fund Act, 1972 and Rules, 1973.
How HivePayroll handles Tamil Nadu LWF
HivePayroll deducts the employee’s share in the right month for Tamil Nadu, records the employer’s share alongside it, and lists both in the LWF report you use to pay the board.
HivePayroll runs payroll with PF, ESI, professional tax, LWF and TDS for Indian businesses. See pricing or book a free demo.
Sources
Checked against these sources on 26 September 2026. State governments revise these rates from time to time; confirm on the official site before filing.
Other states
Labour welfare fund in Maharashtra · Karnataka · Delhi · Telangana. All states.
Related: statutory compliance in HivePayroll · PF calculator · income tax calculator
