HR Info – Human Resources Insights & Updates

EPFO WAGE CEILING REVISED TO ₹25,000 Frequently Asked Questions (FAQ)

2026-09-25T10:40:09.725+05:30

HRINFO.IN

EPFO Wage Ceiling Revised

Frequently Asked Questions on revision of the statutory wage ceiling from ₹15,000 to ₹25,000 per month

EFFECTIVE FROM 17 SEPTEMBER 2026

Earlier Ceiling

₹15,000

Revised Ceiling

₹25,000

Effective Date

17.09.2026

1. General FAQs

The statutory wage ceiling has been increased from ₹15,000 to ₹25,000 per month, effective from 17 September 2026.

The revised ceiling applies to the statutory coverage framework for:

EPF – Employees' Provident Fund
EPS – Employees' Pension Scheme
EDLI – Employees' Deposit Linked Insurance Scheme

This remains subject to applicable statutory and scheme conditions.

Employees whose applicable PF wages are above ₹15,000 and up to ₹25,000 may come within the expanded mandatory coverage, subject to applicable conditions.

No. The ₹25,000 figure is the revised statutory ceiling for mandatory coverage. PF contribution continues to depend on applicable PF wages and statutory provisions.

Where wages are below ₹25,000, contributions are determined with reference to the applicable wages.

Where wages exceed ₹25,000, the statutory contribution may generally be restricted to the prescribed ceiling, subject to applicable provisions and existing higher-wage arrangements.

No. Gross salary and PF wages are not synonymous.

PF contribution is determined with reference to the applicable statutory definition of wages and relevant EPF provisions.

2. Coverage & Membership

From 17 September 2026, an employee falling within the revised mandatory coverage requirements is required to be made a member of EPF, EPS and EDLI, subject to applicable provisions.

No.

The revised statutory ceiling does not require members to submit a separate application. The employer is responsible for enrolment and commencement of compliance for eligible employees.

The employee is covered under EPF, EPS and EDLI because the relevant PF wages are ₹25,000, irrespective of the higher gross salary.

3. September 2026 Transition

01 September – 16 September 2026 Earlier ceiling: ₹15,000

17 September – 30 September 2026 Revised ceiling: ₹25,000

For existing employees, contributions should be calculated separately for the two periods, as applicable.

No. September 2026 is to be reported through a single ECR.

The applicable contribution must be calculated by taking both wage-ceiling periods into account.

The September 2026 return is ordinarily due by 15 October 2026.

Yes. Where the additional employee contribution could not be deducted in the September payroll, recovery may be deferred to the next payroll cycle for take-home salary computation, as stated in the FAQ.

However, the September ECR and full statutory remittance must still be completed within the prescribed timeline.

4. Contribution Examples

Contribution	Rate	Amount
Employee EPF	12%	₹2,400
Employer EPS	8.33%	₹1,666
Employer EPF	3.67%	₹734
Total	24%	₹4,800

PF Wage	Employee EPF 12%	Employer EPS 8.33%	Employer EPF 3.67%	EDLI 0.5%	Admin 0.5%
₹10,000	₹1,200	₹833	₹367	₹50	₹50
₹15,000	₹1,800	₹1,250	₹550	₹75	₹75
₹20,000	₹2,400	₹1,666	₹734	₹100	₹100
₹25,000	₹3,000	₹2,083	₹917	₹125	₹125

5. CTC & Payroll FAQs

CTC itself is not a statutory concept for determining PF liability. PF contributions are determined with reference to the applicable statutory wage definition and relevant provisions.

Where contributions were previously restricted to ₹15,000 despite higher applicable PF wages, the revised ceiling may increase EPF, EPS, EDLI and applicable administrative charges.

Employer and employee contributions are legally distinct.

The employer's statutory contribution cannot simply be treated as an employee deduction merely by describing it as part of CTC.

Where PF contributions are required on the revised applicable PF wage, the employee contribution may increase.

₹15,000 × 12% = ₹1,800

₹20,000 × 12% = ₹2,400

6. EPS & EDLI

The revised ceiling expands the scope for EPS coverage and permits pensionable wages to be considered up to the revised statutory ceiling, subject to applicable EPS provisions.

Actual pension will depend on pensionable salary, pensionable service and other applicable conditions.

The FAQ states that the Government's EPS contribution remains limited to 1.16% of wages up to ₹15,000.

The revision does not by itself increase the Government contribution beyond ₹174 per month per member.

No. The present maximum EDLI assurance benefit remains ₹7 lakh.

Although mathematical calculations based on the higher wage can reach ₹10.50 lakh, the maximum assurance benefit remains ₹7 lakh under the present EDLI framework stated in the FAQ.

7. Employer Compliance Checklist

Identify employees in the ₹15,000–₹25,000 wage band

Identify existing members restricted to ₹15,000

Identify newly covered employees from 17.09.2026

Review statutory PF wage components

Recalculate September 2026 contributions

Review EPS eligibility and membership status

Update payroll and HR systems

Ensure correct September ECR filing

Review contractor compliance

Maintain an audit trail

Monitor EPFO portal instructions and clarifications

The revised ₹25,000 statutory ceiling is effective from 17 September 2026.

IDENTIFY → CALCULATE → ENROL → REPORT → REMIT → RECONCILE

EPFO Wage Ceiling Increased to ₹25,000 Per Month - w.e.f 17th Sep'2026

2026-09-22T22:47:44.055+05:30

OFFICIAL GAZETTE NOTIFICATION

S.O. 5109(E) ● 17 Sep 2026

EPFO Wage Ceiling Increased to ₹25,000 Per Month

The Ministry of Labour & Employment, Government of India has officially notified ₹25,000 per month as the statutory wage ceiling for Chapter III of the Code on Social Security, 2020, replacing the earlier ₹15,000 ceiling.

📜 View Gazette Particulars 📊 HR & Payroll Checklist 📄 Download / View PDF

    ⚡ Key Statutory Update:
    The Ministry of Labour and Employment has notified ₹25,000 per month as the wage ceiling for the purposes of Chapter III of the Code on Social Security, 2020. Issued vide Notification No. S.O. 5109(E) dated 17 September 2026, this revision takes effect immediately from the date of its publication in the Official Gazette.
  

Revised Wage Ceiling ₹25,000 +₹10,000 Increase (+66.7%)

Earlier Wage Ceiling ₹15,000 In effect since 01 Sep 2014

Notification Date 17 Sep 2026 Ministry of Labour & Emp.

Gazette S.O. Number S.O. 5109(E) Supersedes S.O. 2702(E)

📌 Overview of the Wage Ceiling Revision

The Government of India has formally enhanced the statutory wage ceiling from ₹15,000 to ₹25,000 per month under the powers conferred by clause (89) of Section 2 of the Code on Social Security, 2020 (36 of 2020).

This landmark decision comes after over a decade (the previous hike from ₹6,500 to ₹15,000 was notified on 1 September 2014). The revision broadens the net of mandatory social security benefits, bringing millions of formal sector workers under the EPF, EPS, and EDLI umbrellas.

📜 Official Gazette Notification Details

🏛️ Government of India – Extraordinary Gazette Particulars

Particular	Official Details
Administrative Ministry	Ministry of Labour and Employment, Government of India
Notification Number	S.O. 5109(E)
Date of Notification	17 September 2026
Enabling Legal Provision	Clause (89) of Section 2 of the Code on Social Security, 2020 (36 of 2020)
Revised Statutory Wage Ceiling	₹25,000 per month (Rupees Twenty-Five Thousand per month)
Statutory Scope & Purpose	For the purposes of Chapter III of the Code on Social Security, 2020
Earlier Notification Superseded	Notification No. S.O. 2702(E) dated 29 May 2026
Effective Date	Date of publication of notification in the Official Gazette
Ministry File Reference	`R-12025/01/2026-SS-II`
Signatory Authority	Tejaswi S. Naik, Joint Secretary to Government of India
Gazette Identification	Gazette of India – Extraordinary, Part II, Section 3, Sub-section (ii) [CG-DL-E-17092026-276299]

📑 What Does Notification S.O. 5109(E) State?

Statutory Text extract:

"In exercise of the powers conferred by clause (89) of section 2 of the Code on Social Security, 2020 (36 of 2020) and in supersession of the notification of the Government of India in the Ministry of Labour and Employment, published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (ii), vide number S.O. 2702(E), dated the 29th May, 2026... the Central Government hereby notifies twenty-five thousand rupees per month as the wage ceiling for the purposes of Chapter III of the said Code..."

Effective from the date of its publication in the Official Gazette.

📄 Official Gazette Notification – Embedded PDF

The complete, original Government Gazette notification document is embedded below for direct reference, reading, and downloading.

📄 Notification S.O. 5109(E) dated 17 September 2026 Government of India Gazette

⚖️ Earlier vs Revised Wage Ceiling Comparison

Parameter	Earlier Provision	Revised Provision (S.O. 5109(E))	Net Impact
Statutory Wage Ceiling	₹15,000 per month	₹25,000 per month	+₹10,000 (+66.7%)
Max Mandatory Employee PF (12%)	₹1,800 per month	₹3,000 per month	+₹1,200/mo into PF account
Employer Matching PF (3.67%)	₹550 per month	₹918 per month	+₹368/mo towards EPF
EPS-95 Pension Contribution (8.33%)	₹1,250 per month	₹2,083 per month	Substantially higher pension corpus
EDLI Life Insurance Cover Base	Capped at ₹15,000 base	Capped at ₹25,000 base	Enhanced dependent assurance

💡 Key Clarification for HR & Payroll Teams

Important Distinction: Statutory Wage Ceiling vs Actual Wage Base

The Gazette notification notifies ₹25,000 per month as the statutory wage ceiling for the purposes of Chapter III of the Code on Social Security, 2020.

HR and payroll professionals should note that:

Mandatory Coverage: Employees with Basic + DA up to ₹25,000 must now be mandatorily enrolled as PF members upon joining.
Existing Excluded Employees: Employees earning between ₹15,001 and ₹25,000 who were earlier treated as 'excluded employees' will now qualify for mandatory coverage.
Voluntary Higher Contribution: Establishments and employees already contributing on full actual wages (above ₹15,000 or ₹25,000) under joint declaration may continue as per existing rules.

📋 Action Checklist for Employers & Payroll Administrators

Audit Salary Bands: Identify and extract the list of employees earning between ₹15,000 and ₹25,000 (Basic + DA).
Update HRMS & Payroll Software: Reconfigure statutory wage ceiling limits in your ERP/Payroll engines from ₹15,000 to ₹25,000.
ECR Filing Readiness: Ensure electronic challan cum return (ECR) mapping matches EPFO portal validation parameters.
CTC & Net Pay Communication: Inform affected staff about the increase in mandatory retirement savings and the resulting change in monthly take-home salary.
Employer Contribution Budgeting: Factor in the increased matching contribution (up to ₹3,000/employee/month) in company statutory compliance budgets.
Statutory Record Maintenance: Keep documented copies of Gazette S.O. 5109(E) in labor compliance audit files.

❓ Frequently Asked Questions (FAQs)

1. What is the new statutory EPFO wage ceiling?

The revised wage ceiling is ₹25,000 per month for the purposes of Chapter III of the Code on Social Security, 2020, as notified by the Ministry of Labour and Employment on 17 September 2026.

2. What was the previous ceiling and when was it fixed?

The previous ceiling was ₹15,000 per month, which had been in effect since 1 September 2014 (raised from ₹6,500).

3. What is the maximum monthly PF deduction under the ₹25,000 ceiling?

At the standard 12% statutory rate, the maximum monthly employee PF contribution on the ₹25,000 ceiling is ₹3,000 per month (up from ₹1,800/month under the ₹15,000 ceiling).

4. Does this affect EPS-95 pension calculations?

Yes. The pensionable salary ceiling aligns with the statutory wage ceiling (₹25,000), resulting in an increased pension contribution base (8.33% up to ₹2,083/mo) and enhanced future pension benefits upon superannuation.

5. Is ₹25,000 a mandatory maximum cap on PF contribution?

No. ₹25,000 is the statutory threshold for mandatory coverage. Employers and employees can voluntarily choose to contribute on actual higher wages under the applicable provisions of the EPF Scheme.

🏛️ Official Sources & References

1. Official Gazette Notification: S.O. 5109(E) dated 17 September 2026, Ministry of Labour & Employment, New Delhi.

2. Gazette Identification: CG-DL-E-17092026-276299 (Extraordinary, Part II, Section 3, Sub-section (ii)).

3. Ministry File Reference: R-12025/01/2026-SS-II.

4. Press Information Bureau (PIB): Official release by the Ministry of Labour & Employment, Government of India.

⚠️ Disclaimer: This post is published for educational and general statutory awareness purposes. For specific compliance and audit implementation, readers are advised to refer to the official Gazette notification published by the Government of India and subsequent operational guidelines issued by the EPFO.

EPFO PF Interest Calculator

2026-09-15T00:08:17.876+05:30

★ HRINFO.IN • HR & Labour Law Knowledge Hub

EPFO PF Interest Calculator

Comprehensive EPF interest calculator with separate Employee (12%) & Employer (3.67%) contribution ledger, single-field mode, monthly passbook credit timeline, non-refundable advances, and running balance calculation under EPF Scheme Para 60.

1 Account & Interest Details

Opening EPF Balance as on 1 April (₹)

Total accumulated balance (EE Share + ER Share + Past Interest) as of 1st April.

Annual Interest Rate (%) FY 2024-25 & 2023-24

Rate Presets:

2 Monthly Contribution Ledger

💡 EPFO Statutory Contribution Guide:
• Employee PF Share (12%): 100% of employee deduction goes to the EPF account and earns monthly compound interest.
• Employer EPF Share (3.67%): Out of employer's 12% total contribution, 3.67% goes to the EPF account and earns interest. The remaining 8.33% (subject to ₹1,250 max on ₹15,000 ceiling) goes to EPS (Pension Fund), which is accounted separately and does not earn EPF interest.
• Passbook Credit Month: EPFO credits contributions in the following month (e.g. April wage is credited in May) and begins earning interest from the month after credit.

3 Non-Refundable PF Advances & Withdrawals

Transaction Month	Withdrawal Amount (₹)	Purpose / Remarks	Action

Withdrawals reduce the running balance and eligible interest base starting from the transaction month.

4 Annual Passbook Calculation Summary

Calculation Methodology under Para 60 of EPF Scheme:
1. Monthly Eligible Balance: Computed on the running opening balance minus any withdrawals made during or before the month.
2. Monthly Interest: Monthly Interest = (Eligible Balance × Annual Interest Rate) / 1200.
3. Annual Compounding: The sum of 12 monthly interest calculations is rounded off to the nearest rupee and credited to your closing balance on 31st March.

Official EPFO Passbook Note: This calculator provides an exact mathematical computation aligned with EPFO rules. Actual EPFO annual passbook interest credits may vary slightly if employer remittances are delayed beyond statutory due dates or if pending transfer-ins are under process.

5 Reference & Statutory Resources

HRINFO.IN — India's Premier HR, Payroll & Labour Law Resource Hub.
For official EPFO member services, UAN member portal passbook downloads, and statutory ECR guidelines, visit the official government portal at epfindia.gov.in.

The Occupational Safety, Health and Working Conditions (Andhra Pradesh) Rules, 2026 Final Notification

2026-08-07T18:13:05.902+05:30

ANDHRA PRADESH OSH & WC RULES, 2026

Occupational Safety, Health and Working Conditions — Quick HR & Compliance Reference Guide

FINAL NOTIFICATION • 06 AUGUST 2026 • ANDHRA PRADESH

The Government of Andhra Pradesh has issued the final Occupational Safety, Health and Working Conditions (Andhra Pradesh) Rules, 2026 under the Occupational Safety, Health and Working Conditions Code, 2020.

The Rules apply throughout Andhra Pradesh and come into force on the date of their final publication in the Official Gazette.

📜

06 Aug 2026

Final Notification

🇮🇳

Andhra Pradesh

State-wide Applicability

🦺

OSH & WC

Safety • Health • Working Conditions

📅

01 February

Annual Return Due Date

◆ What HR & Compliance Teams Should Know

🏢 Establishment Registration (Rule 4)

Establishments covered by the Rules must hold a valid registration certificate. Applications are made electronically in Form-I within the prescribed period.

🩺 Annual Health Examination (Rule 12)

Employers in specified establishments must arrange free annual medical examination for employees/workers who have completed 40 years of age.

📄 Appointment Letter (Rule 8)

No employee shall be employed without an appointment letter containing the prescribed particulars.

⚠️ Accident Reporting (Rule )

Death, specified injuries, dangerous occurrences and occupational diseases trigger prescribed reporting requirements and timelines.

🦺 Safety Committee (Rule 22)

Specified factories and construction establishments must constitute Safety Committees with equal employer and worker representation.

⏱ Working Hours (Rule 24)

The Rules prescribe a maximum of 48 working hours in a week, together with provisions on daily spread, rest intervals, weekly rest and overtime.

01 Registration of Establishments (Rule 4)

No establishment shall function without holding a valid registration certificate granted by the Registering Officer.

Workers	Registration Fee
10 – 50	₹1,000
51 – 100	₹1,500
101 – 150	₹2,000
151 – 250	₹3,000
251 – 500	₹5,000
501 – 1,000	₹10,000
1,001 – 5,000	₹20,000
Above 5,000	₹30,000

Important: Late registration attracts an additional fee of 10% of the applicable registration fee for each month or fraction thereof of delay.

A complete application is to be issued a registration certificate within seven days. If the certificate is not issued within that period, the establishment is deemed to have been registered and the certificate is auto-generated.

02 Appointment Letter — Mandatory Particulars

No employee shall be employed unless an appointment letter is issued in the prescribed format.

✓ Employee name & date of birth

✓ Father's / Mother's name

✓ Aadhaar number — after obtaining consent

✓ LIN of establishment

✓ UAN / ESIC Insurance Number

✓ OSH & WC registration number

✓ Designation & skill category

✓ Date of joining

✓ Wages, Basic Pay & DA

✓ Other applicable allowances

✓ Social Security applicability

✓ Health check-up details

✓ Broad nature of duties

✓ Other prescribed information

Transition provision: Employees who did not previously receive an appointment letter containing the required particulars are to be issued the prescribed appointment letter within three months from the coming into force of the Rules.

03 Annual Health Examination — 40+ Employees (Rule 12)

Employers of specified establishments including factories, motor transport undertakings, plantations, beedi & cigar, sales promotion, working journalist and building & other construction establishments must arrange free-of-cost annual medical examination for every employee/worker who has completed 40 years of age.

The examination is to be conducted by a qualified medical practitioner in the prescribed Form-V format. The Rules also permit employers to avail the applicable ESIC medical examination facility where available under the relevant Social Security Rules.

04 Accident & Dangerous Occurrence Reporting

Death due to accident

Immediate electronic notice in Form-VI and telephone information to the specified authorities, with written confirmation within 12 hours.

Injury causing 48+ hours inability to work

Form-VI notice is to be sent within 12 hours after completion of the 48-hour period.

Dangerous occurrence

Specified dangerous occurrences require Form-VI reporting within 12 hours, whether or not personal injury occurs.

Fitness before return

An injured person shall not be allowed to return to work without a fitness certificate from a qualified medical practitioner.

HR / EHS Alert: Accident reporting should not be treated merely as an EHS activity. HR, Plant Administration, Security, Medical and Legal teams should have a clearly documented escalation mechanism.

05 Safety Committee — Who Must Constitute?

Establishment / Condition	Threshold
Factory	250 or more persons
Major Accident Hazard Installation	As specified under applicable MSIHC provisions
Factory engaged in hazardous process	50 or more persons
Factory engaged in dangerous operations	50 or more persons
Building & Other Construction Work	250 or more persons

The Safety Committee must have equal representation of employers and employees/workers. Adequate representation of women workers is also prescribed.

Meeting frequency: The Safety Committee shall meet as often as necessary and at least once every quarter.

The employer is required to act on Safety Committee recommendations within 15 days and submit a compliance report to the Inspector-cum-Facilitator.

06 Safety Officer — Applicability & Scale

No. of Safety Officers	Hazardous Process / BOCW	Other Factories
1	250 – 500	500 – 1,000
2	501 – 1,000	1,001 – 2,000
3	1,001 – 1,500	2,001 – 3,000
4	1,501 – 2,000	3,001 – 4,000
Additional	1 for every additional 1,000 or fraction	1 for every additional 2,000 or fraction

The Rules prescribe qualifications, practical experience, industrial safety qualification and language requirements for Safety Officers.

07 Working Hours, Weekly Rest & Overtime

⏱ Weekly Limit

Maximum 48 hours in a week.

☕ Rest Interval

Work should not exceed six hours without an interval of at least half an hour.

🕐 Daily Spread

The period of work including rest intervals should not spread over more than 12 hours in a day.

Overtime — Key Points

Overtime wages are payable at twice the rate of wages for overtime work covered by the Rule.

Overtime Limit	Maximum
Per Day	8 hours
Per Week	24 hours
Per Month	48 hours
Per Quarter	144 hours

08 Annual Leave with Wages

Employers are required to maintain the prescribed leave-with-wages records. On request, a worker must be provided with an abstract showing leave earned, leave allowed and balance standing to credit for the relevant period.

📋 Leave Record

Maintain prescribed leave-with-wages record.

🏥 Medical Certificate

Medical certificate may be required where prescribed.

💰 Exit / Death

Rules prescribe payment of the applicable leave balance in specified situations.

09 Registers, Records & Annual Returns

Record / Register	Prescribed Form
Register of Employees	Form VIII
Attendance / Muster Roll	Form VIII(A)
Workers, Wages, Overtime & Fine	Form IX
Leave with Wages	Form X
Accidents & Dangerous Occurrences	Form XI
Annual Return	Form XII

Record retention: Reports, registers and records are required to be preserved for five calendar years after the date of the last report or entry, subject to the Rules.

Annual Return: The employer's annual return in Form-XII is to be submitted online so as to reach the Inspector-cum-Facilitator not later than 1 February following the end of each calendar year.

10 Employment of Women — Night Work

The Rules prescribe conditions for employment of women during night hours / before 6:00 a.m. and beyond 7:00 p.m.

✓ Written consent of the woman employee

✓ Adequate transportation facility

✓ Well-lit workplace and access routes

✓ Convenient toilet, washroom and drinking facilities

✓ CCTV surveillance on the route to specified facilities

✓ Adequate sanitary napkins and safe disposal arrangements

✓ Safe, secure and healthy working conditions

✓ Emergency contact numbers displayed

✓ POSH Act compliance, wherever applicable

11 Contract Labour — Key Compliance

📄 Licensing

Contract labour / inter-state migrant worker licensing is provided through prescribed electronic applications.

🏭 Principal Employer

Specified welfare facilities at the principal employer's premises are to be provided by the principal employer.

💵 Minimum Wages

Contractors must pay wages in accordance with the applicable Code on Wages provisions.

🏦 Wage Payment

Contract labour wages are to be paid through bank transfer or electronic mode.

🛡 Social Security

EPFO / ESIC coverage applies subject to applicability under the Social Security Code.

📑 Work Order Intimation

Contractors must intimate prescribed work-order details within 15 days of receipt of the work order.

Principal Employer Risk: Where a contractor fails to pay minimum wages to contract labour, the principal employer is liable to make the payment and recover the amount from the contractor as provided under the Rules.

12 Contract Labour Licence — Fee Snapshot

Contract Labour	Licence Fee
Up to 49	Nil
50 – 100	₹5,000
101 – 200	₹10,000
201 – 300	₹15,000
301 – 400	₹20,000
401 – 500	₹25,000
501 – 600	₹30,000
601 – 1,000	₹40,000
Above 1,000	₹50,000

The Rules also prescribe a security deposit of ₹1,000 per contract labour / inter-state migrant worker for the applicable licence.

13 Inter-State Migrant Workers

🚆 Journey Allowance

Eligible inter-state migrant workers who have worked for at least 180 days in the preceding 12 months are entitled to the prescribed lump-sum journey fare once in 12 months.

📊 Data Reporting

Employers are required to submit prescribed statistics and occupational safety and health data relating to inter-state migrant workers through the designated portal.

☎️ Helpline

The Rules provide for a toll-free helpline mechanism for addressing queries and grievances of inter-state migrant workers.

14 HR / EHS Action Checklist

☐ Review establishment registration

☐ Update registration particulars

☐ Audit appointment letters

☐ Identify employees aged 40+

☐ Plan annual health examinations

☐ Review accident reporting SOP

☐ Check Safety Committee applicability

☐ Verify Safety Officer requirement

☐ Review working-hour arrangements

☐ Review overtime controls

☐ Update leave records

☐ Review statutory registers

☐ Review contractor licences

☐ Verify contract labour welfare facilities

☐ Review migrant worker compliance

☐ Prepare annual return calendar

15 HRINFO Quick Reference

Area	Key Requirement
Registration	Valid registration certificate
Appointment Letter	Mandatory prescribed particulars
Health Examination	Annual free medical examination for specified employees/workers aged 40+
Working Hours	Maximum 48 hours/week
Overtime	Twice wages, subject to prescribed conditions and limits
Safety Committee	Specified establishments / thresholds
Annual Return	Form XII — by 1 February
Records	Preserve prescribed records for 5 calendar years
Women Night Work	Written consent + prescribed safety/security conditions
Contract Labour	Licensing, welfare, wage and social security compliance
Migrant Workers	Data, journey allowance and welfare provisions

16 Important Forms — At a Glance

Form I — Registration Form II — Registration Certificate Form IV — Commencement / Cessation Form V — Medical Examination Form VI — Accident / Dangerous Occurrence Form VII — Notice of Work Periods Form VIII — Employee Register Form VIII(A) — Attendance Form IX — Wages / Overtime / Fine Form X — Leave Form XI — Accident Register Form XII — Annual Return Form XIII — Licence Application Form XIV — Contractor Undertaking Form XV — Principal Employer Certificate Form XVI — Licence

17 HRINFO Key Takeaway

OSH compliance is no longer only an EHS responsibility.

HR, Administration, EHS, Plant Operations, Medical, Security, Procurement and Contractor Management teams should jointly review their processes against the Andhra Pradesh OSH & WC Rules, 2026.

The immediate focus should be on: Registration • Appointment Letters • Health Examination • Accident Reporting • Safety Committee • Safety Officer • Working Hours • Overtime • Registers • Annual Return • Contract Labour • Migrant Workers

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Primary Source:
Government of Andhra Pradesh — Labour, Factories, Boilers and Insurance Medical Services Department, G.O.Rt.No.146 dated 06.08.2026 — Final Notification of the Occupational Safety, Health and Working Conditions (Andhra Pradesh) Rules, 2026.

Parent Legislation:
Occupational Safety, Health and Working Conditions Code, 2020 (Central Act No.37 of 2020).

Disclaimer: This HRINFO post is prepared as a quick-reference knowledge resource based on the final Andhra Pradesh Rules, 2026. It is not a substitute for the Gazette notification, the OSH & WC Code, applicable notifications, orders or professional legal advice. Employers should verify the exact applicability, thresholds, forms, procedures, exemptions and subsequent amendments applicable to their establishment.

THE CODE ON SOCIAL SECURITY (ANDHRA PRADESH) RULES, 2026 FINAL FINAL NOTIFICATION • 07 JULY 2026 • G.O.Rt.No. 126

2026-07-12T22:00:00.000+05:30

THE CODE ON SOCIAL SECURITY (ANDHRA PRADESH) RULES, 2026

Gratuity • Maternity Benefits • Social Security Boards • ESI Society — Quick HR & Compliance Reference Guide

FINAL NOTIFICATION • 07 JULY 2026 • G.O.Rt.No. 126

The Government of Andhra Pradesh has issued the final The Code on Social Security (Andhra Pradesh) Rules, 2026 [Rule 1(1)] under the Code on Social Security, 2020 (Central Act No. 36 of 2020). These Rules supersede earlier state rules under the Workmen's / Employees' Compensation Act, Maternity Benefit Act, Payment of Gratuity Act, and Unorganised Social Security Act.

The Rules apply throughout Andhra Pradesh and came into force on the date of their publication in the Official Gazette [Rule 1(2)].

📜

07 Jul 2026

Final Notification

🇮🇳

Andhra Pradesh

State-wide Applicability

🛡️

Social Security

Gratuity • Maternity • Boards

📅

01 February

Annual Return Due Date

📄 Official Gazette Notification PDF

Download the official PDF copy of The Code on Social Security (Andhra Pradesh) Rules, 2026.

📥 Download Gazette Notification (PDF)

◆ What HR & Compliance Teams Should Know

🏢 Common Registration

Registration is integrated electronically using Form-I of AP OSH Rules, 2026 as a common form on the State Labour Portal [Rule 3(1)(a)].

💰 Gratuity Rules & Fixed Term

Fixed-term employees rendering at least 1 year of service are eligible for gratuity [Rule 19(1)(a)]. Nominations submitted in Form-I [Rule 18(1)].

🤱 Maternity & Crèche Rules

Crèche required for establishments with 50+ employees [Rule 24(1)] or crèche allowance (min ₹500/month/child) by agreement [Rule 24(2)(viii)].

🏥 AP ESI Society

Establishes ESI Society chaired by Chief Secretary to oversee ESI healthcare and managerial services [Rule 13(1)-(4)].

🪵 Social Security Boards

Governs Unorganised Workers Board [Rule 4] and Building & Other Construction Workers (BOCW) Welfare Board [Rule 9].

📑 Unified Annual Return

Unified Annual Return in Form-XIII to be filed online on or before 1st February every year [Rule 28(5)(a)].

01 Registration & Cancellation Requirements [Rule 3]

Every employer seeking registration must apply electronically on the Designated Portal of the State Labour Department [Rule 3(1)(a)].

✓ Common Form: Uses Form-I under AP OSH Rules, 2026 as common registration form [Rule 3(1)(a)].

✓ Verification: Online PAN or unique identifier verification required [Rule 3(1)(d)].

✓ Deemed Registration: Issued within 7 days; auto-generated if not processed within timeline [Rule 3(1)(e)].

✓ Expiry & Revocation: Expires after 24 months if no compliance is reported on portal [Rule 3(4)].

✓ Updating Particulars: Existing establishments must update portal details within specified period [Rule 3(3)].

✓ Display: Copy of Registration Certificate must be displayed at conspicuous places [Rule 3(10)].

Cancellation Notice: Applications for cancellation of registration due to business closure are decided within 90 days, provided all returns, dues, and self-certifications are filed [Rule 3(8)-(9)].

02 Payment of Gratuity Rules [Rules 17 – 21]

Specific timelines and operational processes govern nomination, claims, dispute handling, and trustee management for gratuity.

Aspect	Rule & Key Requirement
Nomination Submission	Form-I (in duplicate) submitted within 90 days of completing 1 year of service [Rule 18(1)].
Fixed Term Eligibility	Eligible if service rendered is at least 1 year (excess of 6 months rounded to 1 year) [Rule 19(1)(a)].
Claim Application	Form-II submitted within 30 days (employee/nominee) or 1 year (legal heir) [Rule 19(1)].
Employer Notice	Notice in Form-III issued within 15 days of receiving claim application [Rule 19(2)(a)].
Dispute / Appeals	Apply in Form-IV to Competent Authority within 180 days [Rule 19(4)]. Appeals to Appellate Authority within timelines [Rule 19(12)].
Gratuity Trust	Board of Trustees must have equal employer/employee representation & meet quarterly [Rule 20].
Minor's Gratuity	Invested by competent authority in SBI or nationalised bank term deposit [Rule 17].

Wage Exclusion Clarification [Rule 19(2)(a) Explanation]: Performance/productivity bonuses on an annual basis, medical reimbursements, stock options, crèche allowance, telephone/internet reimbursements, and meal voucher values are excluded from gratuity wage calculations.

03 Maternity Benefits & Provisions [Rules 22 – 27]

Outlines claim documentation, nursing allowances, crèche specifications, and gross misconduct exceptions.

📜 Certificate & Notice

Pregnancy/delivery certified in Form-VIII by RMP, ASHA, or ANM [Rule 22(1)(a)]. Notice given in Form-IX [Rule 22(2)(a)].

☕ Nursing Breaks

Two breaks of 15 minutes each + up to 15 minutes extra journey time to/from crèche [Rule 23(1)].

💵 Tubectomy & Medical Bonus

Tubectomy wages paid within 48 hours of Form-X production [Rule 22(2)(f)]. Medical bonus paid with 2nd installment [Rule 22(2)(d)].

Crèche Facilities [Rule 24]

✓ Mandatory for establishments employing 50 or more employees [Rule 24(1)].

✓ Located within 1 km radius (relaxed for notified industrial parks with common facilities) [Rule 24(2)(i)].

✓ Min 10 sq. ft. floor area per child with fenced play area & kitchen facilities [Rule 24(2)(iii)].

✓ Staffed by trained female attendant; 1 female ayah for every 10 children [Rule 24(2)(v)].

✓ Crèche Allowance: By agreement, min ₹500/month/child (max 2 children) if facility isn't directly provided [Rule 24(2)(viii)].

Gross Misconduct [Rule 25(1)]: Maternity benefit may be withheld under section 68 only for gross misconduct like willful destruction of property, assault, theft/fraud, moral turpitude conviction, or safety interference. Appeal lies in Form-X [Rule 25(2)].

04 AP ESI Society & Social Security Boards [Rules 4 – 16]

Establishes specialized state governance bodies for health insurance administration and unorganised worker welfare.

AP ESI Society [Rule 13]

Registered body serving as managerial and healthcare operator. Governing Body chaired by Chief Secretary [Rule 13(4)], Executive Committee chaired by ACS/Secretary Labour or Health [Rule 13(6)]. Governing Body meets twice a year; Executive Committee meets quarterly [Rule 13(8)].

Unorganised Workers Social Security Board [Rule 4]

Reconstituted with nominated non-official members (max 3-year term, max 2 terms) including representation for SC, ST, Minorities, and Women [Rule 4(1)].

BOCW Welfare Board & Schemes [Rules 9 – 11]

Formulates Group Insurance, Educational Schemes for children, and Major Ailment Medical Expense schemes [Rule 9].

Employees' Insurance Court [Rule 16]

State establishes specialized EI Courts for local areas with Labour Court qualified judges to decide ESI disputes [Rule 16(6)].

05 Registers, Records & Annual Return [Rule 28]

Record / Register	Prescribed Form / Reference
Register of Employees	Form-I (Code on Wages AP Rules, 2026) [Rule 28(1)(a)(i)]
Attendance / Muster Roll	Form-IX (Code on Wages AP Rules, 2026) [Rule 28(1)(a)(ii)]
Wages, Overtime, Fines & Deductions	Form-IV (Code on Wages AP Rules, 2026) [Rule 28(1)(a)(iii)]
Register of Women Employees	Form XX [Rule 28(1)(a)(iv)]
Wage Slips	Form-V (Code on Wages AP Rules, 2026) issued 24 hrs prior to wage payment [Rule 28(2)]
Unified Annual Return	Form XIII (Uploaded online by 1st February) [Rule 28(5)(a)]

Record Retention [Rule 28(1)(e)]: All registers and records (electronic or physical) must be preserved in original for a period of five calendar years from the date of the last entry.

06 Offences & Compounding Procedures [Rule 29]

Framework for compounding offences prior to prosecution under Section 138 of the Code.

✓ Compounding Notice: Issued electronically in Form-XIV (Part I/II) by designated Compounding Officer [Rule 29(1)].

✓ Payment Timeline: Noticee must apply in Part III of Form-XIV and deposit amount within 15 days [Rule 29(2)].

✓ Certificate: Composition Certificate issued in Part IV of Form-XIV within 10 days of payment [Rule 29(3)].

✓ Prosecution: Failure to deposit within specified time results in prosecution in Competent Court [Rule 29(4)].

07 HR Social Security Action Checklist

☐ Update establishment registration on AP Labour Portal using OSH Form-I [Rule 3(1)].

☐ Audit gratuity nominations (Form-I) for all employees completing 1 year of service [Rule 18(1)].

☐ Review fixed-term employment contracts for gratuity eligibility compliance [Rule 19(1)(a)].

☐ Setup/Review Gratuity Board of Trustees with equal employee representation [Rule 20].

☐ Verify crèche availability or execute written agreement for Crèche Allowance [Rule 24].

☐ Maintain Register of Women Employees in Form XX [Rule 28(1)(a)(iv)].

☐ Issue electronic wage slips (Form-V) at least 24 hours before wage payout [Rule 28(2)].

☐ Prepare Annual Return calendar for online submission of Form-XIII by Feb 1st [Rule 28(5)].

08 Important Forms — At a Glance

Form I — Establishment Registration (OSH) / Gratuity Nomination Form II — Application for Gratuity Form III — Employer Gratuity Notice Form IV — Direction Application to Competent Authority Form V — Notice / Summons by Authority Form VI — Notice for Payment of Gratuity Form VII — Application for Recovery of Gratuity Form VIII — Maternity Medical Certificate Form IX — Maternity Benefit Notice & Receipt Form X — Tubectomy Certificate / Misconduct Appeal Form XI — Maternity Complaint / Appeal Form XII — Abstract of Maternity Provisions Form XIII — Unified Annual Return Form XIV — Compounding Notice & Certificate Form XX — Register of Women Employees

09 HRINFO Key Takeaway

Social Security rules establish strict statutory timelines and unified digital reporting.

HR, Payroll, and Legal teams must integrate these rules into operational workflows immediately.

Priority focus items: Portal Registration • Gratuity Form-I Nominations • Fixed-Term Gratuity • Crèche / Allowance Agreements • Form XX Register • Unified Annual Return (Form XIII)

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Primary Source:
Government of Andhra Pradesh — Labour, Factories, Boilers and Insurance Medical Services Department, G.O.Rt.No. 126 dated 07.07.2026 — Final Notification of The Code on Social Security (Andhra Pradesh) Rules, 2026.

Parent Legislation:
Code on Social Security, 2020 (Central Act No. 36 of 2020).

Disclaimer: This HRINFO post is prepared as a quick-reference knowledge resource based on the final Andhra Pradesh Rules, 2026. It is not a substitute for the Gazette notification, the Code on Social Security, 2020, applicable notifications, orders or professional legal advice. Employers should verify exact applicability, thresholds, forms, procedures, and exemptions for their establishment.

Andhra Pradesh Code on Wages Rules, 2026 – Final Notification Issued

2026-07-07T16:45:27.473+05:30

Introduction

This guide explains the provisions of the Code on Wages (Andhra Pradesh) Rules, 2026 in a practical manner for HR Professionals, Employers, Payroll Teams, Contractors, Compliance Officers and Labour Law Practitioners. The content is organised chapter-wise for easy understanding.

📄 Official Gazette Notification PDF

Download the official PDF copy of The Code on Wages (Andhra Pradesh) Rules, 2026.

📥 Download Gazette Notification (PDF)

Overview

Objective

To regulate minimum wages, payment of wages, working hours, overtime, deductions, registers, forms and other wage related compliances under the Code on Wages.

Effective Date

29 June 2026

Applicable State

Andhra Pradesh

Applicable Law

Code on Wages, 2019

Chapter I

Preliminary

Overview

Introduction

The Code on Wages (Andhra Pradesh) Rules, 2026 have been framed by the Government of Andhra Pradesh under the Code on Wages, 2019 to regulate wage-related matters in establishments within the State. These Rules provide the procedural framework for implementation of the Code by prescribing requirements relating to minimum wages, payment of wages, working hours, overtime, deductions, maintenance of registers, wage slips, claims and statutory forms.

The Rules aim to ensure timely payment of wages, fair remuneration, transparent wage administration and protection of employees against unlawful deductions or delayed wage payments.

Objectives

Ensure payment of at least the notified minimum wages.
Standardise wage administration across establishments.
Provide a transparent system for wage payment.
Protect employees against exploitation.
Promote digital maintenance of statutory records.
Strengthen labour law compliance through Inspector-cum-Facilitators.

Applicability

These Rules apply to establishments to which the Code on Wages, 2019 applies within the State of Andhra Pradesh and cover matters relating to wages, minimum wages, payment of wages and associated procedural requirements.

Quick HR Compliance Checklist

✔ Pay at least the notified minimum wages.
✔ Revise wages whenever VDA is revised.
✔ Pay wages within the prescribed time.
✔ Issue wage slips.
✔ Maintain statutory registers.
✔ Record overtime correctly.
✔ Ensure deductions are lawful.

Chapter I

Preliminary

Short Title and Commencement

These Rules may be called the Code on Wages (Andhra Pradesh) Rules, 2026. They come into force on the date notified by the Government, with the final notification published in the Andhra Pradesh Gazette on 29 June 2026.

Purpose of Chapter I

Chapter I lays down the foundation of the Rules by specifying the short title, commencement, application and interpretation of terms used throughout the Rules.

Important Definitions

Unless the context otherwise requires, expressions used in these Rules have the same meanings assigned to them under the Code on Wages, 2019. HR professionals should always refer to the statutory definitions while interpreting obligations under the Rules.

HRINFO Practical Note

Before implementing any wage policy, employers should verify whether the establishment falls within the scope of the Code on Wages and ensure that wage structures, payroll practices and records align with the statutory requirements.

Key Compliance Points

Understand the scope of the Code and the Rules.
Use statutory definitions consistently in HR policies.
Review wage structures for compliance.
Train payroll and HR teams on the new framework.

Key Takeaway

Chapter I establishes the legal framework for interpreting and implementing the Code on Wages (Andhra Pradesh) Rules, 2026. Correct understanding of the definitions and applicability is essential for compliance with all subsequent chapters.

Chapter II

Minimum Wages

Chapter II

Chapter II – Minimum Wages

Introduction

Chapter II prescribes the procedure relating to minimum wages payable to employees in Andhra Pradesh. Every employer shall ensure that no employee receives wages below the minimum rate of wages notified by the Appropriate Government for the scheduled employment, category of skill and geographical area.

Rule 3 – Minimum Rates of Wages

The Government notifies minimum rates of wages for different scheduled employments. Employers are legally bound to pay not less than the applicable minimum wage to every employee covered by the notification.

Skill Categories

Unskilled
Semi-Skilled
Skilled
Highly Skilled

Employees must be classified correctly according to the work actually performed. Incorrect classification may result in underpayment of wages and statutory liability.

Wage Components

The notified minimum wage generally consists of:

Basic Rate of Wages
Variable Dearness Allowance (VDA), wherever notified

The employer shall ensure that the total wages paid are not less than the notified minimum wages applicable to the employee.

Monthly Wage Calculation

Where the Government notifies daily wages, the monthly wages are ordinarily calculated using the prescribed conversion method under the Rules (commonly based on a 26-day wage month where applicable).

Illustration

Daily Minimum Wage = ₹800

Monthly Wage = ₹800 × 26 = ₹20,800

This is only an illustration. Employers should always adopt the method specified in the applicable Government notification.

Variable Dearness Allowance (VDA)

Where VDA forms part of the notified minimum wages, employers shall revise wages in accordance with the Government notification issued from time to time.

HRINFO Practical Note

Maintain a wage master for each scheduled employment and update payroll immediately after every Government notification revising minimum wages or VDA.

Common Compliance Risks

Paying below notified minimum wages.
Wrong skill classification.
Failure to implement revised VDA.
Using outdated wage notifications.
Ignoring area-wise wage notifications.

Employer Compliance Checklist

✔ Obtain the latest Andhra Pradesh minimum wage notification.
✔ Verify scheduled employment classification.
✔ Verify skill category of each employee.
✔ Update payroll whenever wages are revised.
✔ Maintain documentary proof of wage calculations.
✔ Display wage notifications where required.

Compliance Item	Requirement
Minimum Wage	Not less than Government notified rate
Skill Category	Correct classification
VDA	Implement revised rates promptly
Payroll	Reflect revised wages immediately
Records	Maintain wage registers and supporting records

Key Takeaway

The foundation of wage compliance is ensuring that every employee receives at least the applicable minimum wage notified for the relevant scheduled employment, skill category and geographical area. Regular monitoring of Government notifications and timely payroll updates are essential for compliance.

Chapter III

Working Hours & Weekly Rest

Chapter III

Chapter III – Working Hours & Weekly Rest

Introduction

Chapter III outlines the regulatory framework governing normal working hours, spread-over limits, rest intervals, weekly off days, and overtime computation for employees covered under the Code on Wages (Andhra Pradesh) Rules, 2026. These regulations ensure employee health and safety while defining clear operational constraints for employers.

Rule 5 – Normal Daily Working Hours

The normal daily working hours for an adult employee shall be fixed subject to a maximum of 8 hours per day (exclusive of rest intervals). The total daily spread-over—inclusive of rest intervals—shall not exceed 12 hours on any given day.

Rest Intervals

No employee shall be allowed or required to work continuously for more than 5 hours without an interval for rest of at least half an hour (30 minutes).

Shift & Spread-over Calculation

Example Schedule:

Work Start Time: 09:00 AM
Rest Interval: 01:00 PM to 02:00 PM (1 Hour)
Work End Time: 06:00 PM
Total Working Hours: 8 Hours
Total Spread-over: 9 Hours (Well within the 12-hour statutory limit)

Weekly Rest & Compensatory Off

Every employee is entitled to a paid rest day in every period of seven days (normally Sunday or a designated day off). If an employee is required to work on a scheduled weekly rest day:

They must be granted a substitute rest day (compensatory off) within five days immediately before or after the rest day.
Wages for work done on a weekly rest day must be paid at the statutory overtime rate.

Overtime Rates and Hours

Where an employee works in excess of 8 hours on any day or more than 48 hours in any week, the additional hours shall be treated as overtime.

Overtime Rate: Double the ordinary rate of wages (Basic + VDA).
Maximum OT Hours: Aggregate overtime hours must not exceed prescribed threshold limits (e.g., maximum 125 hours per quarter) as specified under state guidelines.

HRINFO Practical Note

Ensure shift rosters are published well in advance. Attendance systems must capture exact punch times (entry, exit, and break duration) to avoid discrepancies when calculating overtime and verifying compliance during statutory inspections.

Common Compliance Risks

Exceeding the 12-hour daily spread-over limit.
Forcing continuous work beyond 5 hours without a formal rest break.
Calculating overtime at single rate instead of double the ordinary wage rate.
Failing to grant a compensatory off within the stipulated timeframe.
Inadequate or inaccurate attendance records.

Employer Compliance Checklist

✔ Fix standard working hours and display shift schedules on notice boards.
✔ Ensure rest intervals of at least 30 minutes for every 5 continuous hours worked.
✔ Track daily spread-over to ensure it stays within 12 hours.
✔ Pay 2x ordinary rate of wages for all overtime hours worked.
✔ Maintain accurate Overtime Registers (Form IV) and attendance logs.
✔ Grant compensatory off for work performed on weekly rest days.

Parameter	Statutory Limit / Requirement
Max Daily Working Hours	8 Hours per day
Max Daily Spread-over	12 Hours (including breaks)
Continuous Work Limit	Maximum 5 hours before mandatory rest break
Rest Interval Duration	Minimum 30 minutes
Overtime Rate	200% (Double) of ordinary rate of wages
Weekly Off Day	1 day of rest per 7 days worked

Key Takeaway

Adherence to Chapter III rules ensures worker well-being while protecting establishments from penal liabilities related to wage disputes and illegal overtime practices. Digitized attendance logging and automated shift management are key to seamless compliance.

Chapter IV

Payment of Wages

Chapter IV

Chapter IV – Payment of Wages

Introduction

Chapter IV governs the mode, time, and procedure for the disbursement of wages to employees in Andhra Pradesh. The primary aim of this chapter is to eliminate wage delays, ensure transparent payment practices through digital modes, and guarantee the timely settlement of dues upon termination or resignation.

Fixation of Wage Period

Every employer shall fix a wage period for employees, which may be on a daily, weekly, fortnightly, or monthly basis. No wage period fixed by an employer shall exceed one month.

Time Limits for Wage Payment

Wages must be disbursed within the strict statutory timelines based on the established wage period:

Daily Basis: At the end of the shift.
Weekly Basis: On the last working day of the week.
Fortnightly Basis: Before the end of the second day after the end of the fortnight.
Monthly Basis: Before the expiry of the 7th day of the succeeding month.

Mode of Payment of Wages

All wages shall be paid in current coin or currency notes, or by cheque, or by crediting the wages directly into the bank account of the employee (electronic bank transfer). Digital payment modes (NEFT/RTGS/UPI) are strongly prioritized for transparency.

Timelines for Final Settlement (Separation / Removal)

Where an employee has been removed, dismissed, retrenched, resigned, or has ceased employment due to closure of the establishment, the wages payable to them must be fully paid within two working days of such removal, dismissal, resignation, or closure.

Final Settlement Timeline

Scenario: An employee submits their resignation and works their final day on Tuesday.

Compliance Obligation: All pending wages and accrued statutory dues must be settled and credited to their bank account by Thursday (within 2 working days).

HRINFO Practical Note

Align your payroll processing cycles so that monthly payouts are completed on or before the 7th of every month. For exiting employees, establish a fast-track full & final (F&F) settlement process to ensure compliance with the mandatory 2-working-day payout window.

Common Compliance Risks

Delaying monthly wage disbursement beyond the 7th day of the month.
Holding final wage settlements beyond the mandatory 2-working-day limit post-resignation or termination.
Making cash payments without proper wage receipts or signatures.
Unilateral delay of wages citing client payment delays or operational issues.

Employer Compliance Checklist

✔ Set a defined wage period not exceeding 30 days.
✔ Complete monthly salary transfers on or before the 7th day of the following month.
✔ Ensure payment is made electronically or via official bank channels.
✔ Process final settlement (F&F) within 2 working days of separation.
✔ Maintain bank transaction logs or signed wage registers as proof of payment.
✔ Issue digital or physical wage slips to all employees on or before the pay date.

Wage Period / Event	Statutory Payment Deadline
Monthly Wage Period	On or before the 7th day of the next month
Weekly Wage Period	Last working day of the week
Fortnightly Wage Period	Within 2 days following the fortnight end
Daily Wage Period	At the end of the shift
Resignation / Termination / Closure	Within 2 working days from separation date
Permissible Payment Modes	Bank Transfer, Cheque, or Currency Notes

Key Takeaway

Chapter IV emphasizes strict adherence to wage payment schedules and electronic transparency. Timely monthly wage payouts and rapid 2-day final settlements post-separation are essential compliance pillars under the Code on Wages (Andhra Pradesh) Rules, 2026.

Chapter V

Deductions

Chapter V

Chapter V – Deductions from Wages

Introduction

Chapter V sets out strict legislative boundaries on permissible deductions that can be made from an employee’s gross wages under the Code on Wages (Andhra Pradesh) Rules, 2026. To safeguard workers against arbitrary or excessive financial penalties, the rules explicitly list authorized deductions and cap the total allowable deductions per wage period.

Authorized Deductions

No employer can make deductions from an employee’s wages except those specifically authorized under the Code. Authorized categories include:

Fines: Imposed for specific acts or omissions approved by the competent authority.
Absence from Duty: Pro-rata deduction for period(s) of absence without authorization.
Damage or Loss: For loss or damage directly attributable to the neglect or default of the employee.
Housing & Amenities: For house accommodation or amenities/services provided by the employer.
Advances & Loans: Recovery of wage advances, interest, or loans granted to the employee.
Statutory Deductions: Provident Fund (PF), Employees' State Insurance (ESI), Professional Tax (PT), Income Tax (TDS), and court orders.

Rule 14 – Imposition of Fines

Fines cannot be levied arbitrarily. Employers must observe the following conditions:

A list of acts/omissions for which fines may be imposed must be displayed on the notice board.
The total fine in a single wage period cannot exceed 3% of the employee’s wages.
No fine shall be imposed on any employee who is under the age of 15 years.
Fines must be recovered in a single installment and within 60 days of the offense.
All fines realized must be recorded in a dedicated Register of Fines and utilized for employee welfare.

Deductions for Damage or Loss

Before making any deduction for damage to or loss of property belonging to the employer:

The employee must be given a reasonable opportunity to show cause why the deduction should not be made.
An opportunity for a formal hearing must be provided.
The deduction shall not exceed the actual amount of damage or loss caused to the establishment.

Overall Ceiling on Deductions (50% Cap)

The total amount of deductions (statutory + non-statutory) which may be made in any wage period from the wages of an employee shall not exceed 50% of such wages. If total deductions exceed 50%, the excess amount must be carried forward and recovered in subsequent wage periods.

50% Deduction Limit Calculation

Gross Monthly Wages: ₹30,000

Maximum Total Deductions Allowed (50% Limit): ₹15,000

If statutory deductions (PF, ESI, PT) sum to ₹4,000 and loan recovery amounts to ₹12,000 (Total ₹16,000), the employer can only recover ₹11,000 towards the loan during that month to keep the total within the ₹15,000 ceiling. The remaining ₹1,000 loan balance must be carried forward.

HRINFO Practical Note

Configure your automated payroll system with a hard lock logic that caps aggregate payroll deductions at 50% of net gross earnings. Ensure all disciplinary fines undergo a formal show-cause process prior to deduction to stand statutory scrutiny during inspections.

Common Compliance Risks

Recovering loans or advances that push net payout below the 50% statutory threshold.
Deducting money for damage or stock loss without issuing a formal written notice/hearing.
Imposing fines exceeding 3% of the monthly gross wage.
Failing to maintain statutory Registers of Fines, Deductions, and Advances.

Employer Compliance Checklist

✔ Display an approved notice listing acts and omissions subject to fines.
✔ Issue formal Show Cause Notice before making deductions for loss or damage.
✔ Enforce the 50% ceiling on aggregate deductions in payroll processing.
✔ Record all fines, damage recoveries, and advances in Form II / Statutory Registers.
✔ Ensure non-statutory recoveries (e.g., transport, canteen, housing) are explicitly authorized in writing by the employee.

Type of Deduction	Statutory Ceiling / Requirement
Overall Maximum Deduction Limit	Cap of 50% of total wages in any wage period
Fines (Max Cap)	Max 3% of total wage; 0% for employees under 15 years
Fine Realization Timeline	Must be recovered within 60 days in a single installment
Deduction for Loss/Damage	Requires prior Show-Cause notice & formal hearing
Absence from Duty	Proportionate to the actual duration of absence
Statutory Recoveries (PF, ESI, PT, TDS)	As prescribed under respective primary Acts

Key Takeaway

Chapter V ensures that employee take-home pay remains protected. Employers must rigidly enforce the 50% overall deduction limit and adhere strictly to natural justice—providing notice and hearing—before penalizing employees through wage deductions for damage or default.

Chapter VI

Claims & Authorities

Chapter VI

Chapter VI – Claims & Authorities

Introduction

Chapter VI establishes the statutory mechanism for dispute resolution, filing of claims, appointment of adjudicating authorities, and the appellate procedure under the Code on Wages (Andhra Pradesh) Rules, 2026. It provides employees, trade unions, and Inspector-cum-Facilitators a streamlined legal recourse for recovering unpaid or delayed wages, unauthorized deductions, and minimum wage shortfalls.

Appointment of Designated Authority

The State Government appoints officers (not below the rank of Assistant Commissioner of Labour or specified gazetted officers) as the Designated Authority to hear and decide claims arising out of non-payment of minimum wages, illegal deductions, or delayed payment of wages within their respective territorial jurisdictions.

Who Can File a Claim Application?

An application for a claim under Chapter VI can be filed before the Designated Authority by:

The affected employee or worker.
Any registered Trade Union of which the employee is a member.
An Inspector-cum-Facilitator.
An official authorized by the State Government.

Prescribed Forms and Time Limits

Claims must be submitted in the prescribed format along with relevant supporting documentation (such as wage slips, attendance records, or bank statements):

Limitation Period: Claims must be filed within 3 years from the date on which the claim arose (extended from 12/24 months under legacy laws).
Condonation of Delay: The Designated Authority may admit an application after the 3-year period if satisfied that the applicant had sufficient cause for the delay.

Compensation & Penalty Orders

Where a claim is admitted and decided in favor of the employee:

Wage Recovery: The employer will be ordered to pay the unpaid or delayed wage amount along with compensation, which may extend up to 10 times the amount of the claim.
Malicious/Vexatious Claims: If a claim is found to be malicious or frivolous, the Authority may penalize the applicant with a fine up to the prescribed limit.

Appeals & Enforcement

Any party aggrieved by an order passed by the Designated Authority may prefer an appeal before the Appellate Authority (typically a Regional Joint Commissioner of Labour) within 90 days from the date of the order.

Pre-deposit Requirement: No appeal by an employer shall be entertained unless the employer deposits the awarded amount with the Appellate Authority prior to filing.
Recovery Mechanism: Unpaid claim amounts awarded by the Authority are recoverable as arrears of land revenue or through distress proceedings.

HRINFO Practical Note

Maintain flawless wage and attendance records for at least 3 years to defend against statutory claims. Ensure all full and final settlements carry signed or digitally acknowledged receipts to prevent post-employment wage dispute applications before the Authority.

Common Compliance Risks

Ignoring notices or hearings issued by the Designated Authority, leading to ex-parte orders.
Failing to maintain supporting payroll registers for the extended 3-year limitation window.
Challenging awards in appeal without pre-depositing the awarded wage amount.
Underestimating heavy financial compensation risk (up to 10x penalty) for willful non-payment of minimum wages.

Employer Compliance Checklist

✔ Maintain full payroll, attendance, and wage records for a minimum of 3 years.
✔ Ensure prompt representation and reply to any notice received from the Claims Authority.
✔ Retain electronic receipts or signed acknowledgments for all wage settlements.
✔ Verify that all wage calculations strictly adhere to the state minimum wage notifications to avoid statutory claims.
✔ Audit sub-contractor wage compliance regularly to mitigate principal employer claim liabilities.

Parameter / Aspect	Statutory Provision / Timeline
Adjudicating Officer	Designated Authority (Assistant Commissioner of Labour or equivalent)
Limitation Period to File Claim	Within 3 years from the date the cause of action arises
Maximum Compensation Awarded	Up to 10 times the claim amount (in addition to unpaid wages)
Appellate Forum	Appellate Authority (Regional Joint Commissioner of Labour)
Time Limit for Filing Appeal	Within 90 days from the date of the order
Pre-Condition for Employer Appeal	Mandatory deposit of 100% of the awarded claim amount

Key Takeaway

Chapter VI significantly strengthens employee protection by expanding the claim limitation period to 3 years and prescribing severe compensation multipliers for default. Meticulous documentation, early dispute resolution, and prompt legal representation before the Designated Authority are critical to managing organizational legal risks.

Chapter VII

Registers & Records

Chapter VII

Chapter VII – Registers, Records & Wage Slips

Introduction

Chapter VII prescribes the statutory maintenance of registers, records, wage slips, and notices by employers under the Code on Wages (Andhra Pradesh) Rules, 2026. The rules focus on digital recordkeeping, standardization of statutory formats, and ensuring complete transparency in wage administration across all establishments.

Rule 19 – Maintenance of Statutory Registers

Every employer shall maintain accurate registers in the prescribed statutory forms covering employee details, wages paid, deductions made, overtime worked, and attendance. Registers may be maintained electronically or physically at the establishment.

Unified Register of Wages, Overtime, Deductions, and Fine (Form I): Combines details of gross wages, allowances, deductions, OT hours, net pay, and payment dates into a single streamlined register.
Register of Attendance & Hours of Work: Must accurately reflect daily entry, exit, rest intervals, and overtime hours for every employee.

Rule 20 – Issuance of Wage Slips (Form V)

Every employer shall issue a wage slip to every employee—either physically or digitally (via email, ESS portal, or messaging services)—at least one day prior to the disbursement of wages.

The wage slip must contain employee details, designation, wage rate, total days/hours worked, itemized earnings, itemized deductions, and net amount payable.
Digital wage slips with electronic authentication or system-generated receipts satisfy legal compliance requirements.

Retention Period & Digital Storage

All registers, records, and wage slips must be preserved for a minimum period of 3 years from the date of the last entry made in them.

Electronic registers must be maintained in a searchable, readable format and backed up regularly.
In case of digital recordkeeping, hard copies are not required unless specifically requested by an Inspector-cum-Facilitator during inspection.

Display of Statutory Notices

Every employer shall display a notice at the main entrance of the establishment or on the company intranet/notice board in English and Telugu containing:

Notified rates of minimum wages applicable for each category of workers.
Abstracts of the Code on Wages and AP Rules.
Name, designation, and official address of the Inspector-cum-Facilitator having jurisdiction.
Designated pay day and shift schedules.

HRINFO Practical Note

Migrate from multiple legacy registers to the consolidated Form I digital layout. Ensure your payroll software generates digital wage slips automatically before payday and maintains an encrypted audit trail/backup for the mandatory 3-year statutory retention window.

Common Compliance Risks

Failing to issue wage slips at least one day before actual wage disbursement.
Discrepancies between physical/digital attendance logs and wage registers.
Incomplete wage slips omitting detailed breakups of earnings or statutory deductions.
Failure to display updated minimum wage notices and Inspector contact details in Telugu.
Purging payroll and attendance data before the end of the mandatory 3-year retention period.

Employer Compliance Checklist

✔ Maintain the consolidated Register of Wages (Form I) digitally or physically.
✔ Issue Form V Wage Slips to all employees at least 1 day prior to payout.
✔ Retain all attendance, payroll, and wage records for a minimum of 3 years.
✔ Display statutory notices (minimum wage rates & abstract of Rules) in English and Telugu.
✔ Ensure electronic records are easily accessible for inspection by Inspector-cum-Facilitators.

Statutory Register / Document	Form / Mode	Mandatory Timeline / Retention
Register of Wages, OT & Deductions	Form I (Consolidated)	Maintain continuously; retain for 3 years
Wage Slip	Form V (Physical or Digital)	Issue at least 1 day prior to wage payment
Attendance Register	Physical / Biometric Log	Daily updates; retain for 3 years
Statutory Notice Board Display	Physical / Intranet Display	Update immediately upon wage rate revision
Record Preservation Period	Digital / Hard Copy	Minimum 3 years from last entry date

Key Takeaway

Chapter VII simplifies recordkeeping by consolidating multiple legacy registers into unified digital formats. Timely distribution of wage slips and digitized retention of payroll data for 3 years form the operational core of statutory audit readiness under the Code on Wages (Andhra Pradesh) Rules, 2026.

Chapter VIII

Miscellaneous

Chapter VIII

Chapter VIII – Miscellaneous Provisions

Introduction

Chapter VIII serves as the closing legal framework of the Code on Wages (Andhra Pradesh) Rules, 2026. It governs supplementary administrative mechanisms, including the composition and functioning of the State Advisory Board, duties of Inspector-cum-Facilitators, compounding of offenses, protection against prosecution, and repeal/savings provisions.

State Advisory Board

The State Government shall constitute the State Advisory Board to advise on setting and revising minimum wages, expanding employment avenues for women, and other wage-related administrative matters.

Composition: Equal representation from employers, employees, independent persons, and statutory representation for women (at least one-third of total members).
Term & Meetings: Board members serve for a specified term, and meetings are convened periodically to review cost-of-living indices and wage trends across Andhra Pradesh.

Role of Inspector-cum-Facilitators

The Rules redefine the traditional "Labour Inspector" as an Inspector-cum-Facilitator, shifting the focus from purely punitive actions to a web-based, transparent compliance advisory model.

Advice & Guidance: Provide guidance to employers and workers regarding statutory compliance requirements.
Inspection Scheme: Conduct randomized, web-based inspections to ensure objective evaluation.
Opportunity to Rectify: Before initiating prosecution for first-time non-compliance (other than severe offenses), the Inspector-cum-Facilitator must give the employer a written opportunity to rectify the defect within a specified timeframe.

Compounding of Offenses

To promote ease of doing business and reduce protracted litigation, specified first-time offenses under the Code may be compounded (settled) upon payment of a prescribed sum:

Compounding is available for non-heinous offenses prior to or after the institution of prosecution.
Once an offense is successfully compounded, no further criminal prosecution shall lie against the employer for that specific default.

Repeal and Savings

With the commencement of the Code on Wages (Andhra Pradesh) Rules, 2026, corresponding state rules under legacy enactments (Minimum Wages Act, Payment of Wages Act, Equal Remuneration Act, and Payment of Bonus Act) stand repealed.

Savings Clause: Any action taken, notification issued, or order passed under the repealed rules shall remain valid and continue in force unless superseded by actions under the new Rules.

HRINFO Practical Note

Leverage the "opportunity to rectify" window offered by Inspector-cum-Facilitators during initial audits. Establish an internal compliance review process so that any procedural lapses identified during an inspection are cured promptly within the stipulated notice period.

Common Compliance Risks

Ignoring written rectification notices issued by Inspector-cum-Facilitators, leading to direct criminal prosecution.
Failing to utilize compounding options for minor first-time statutory breaches.
Obstruction or non-cooperation with Inspector-cum-Facilitators during web-based or physical site visits.
Assuming legacy notifications are automatically void without verifying the savings clause transitions.

Employer Compliance Checklist

✔ Cooperate fully with Inspector-cum-Facilitators during digital/physical inspections.
✔ Act immediately upon receiving statutory notice/rectification letters from compliance officers.
✔ Evaluate compounding options for minor or historical first-time compliance lapses.
✔ Monitor State Advisory Board notifications for upcoming minimum wage and VDA revisions.
✔ Ensure company policies reflect the shift from legacy labor rules to the unified AP Rules format.

Provision / Mechanism	Key Objective / Requirement
State Advisory Board	Advises state government on wage fixation & female employment growth (Min 1/3rd women members)
Inspector-cum-Facilitator	Provides guidance + conducts web-based randomized inspections
Opportunity to Rectify	Mandatory notice period given to cure first-time minor non-compliances
Compounding of Offenses	Monetary settlement mechanism to prevent criminal prosecution for eligible defaults
Repeal and Savings	Repeals legacy state rules while preserving existing notifications until updated

Key Takeaway

Chapter VIII bridges advisory support and statutory enforcement. The introduction of web-based inspections, compounding mechanisms, and mandatory opportunity-to-rectify provisions offers employers a transparent path to maintaining compliance under the Code on Wages (Andhra Pradesh) Rules, 2026.

Forms Prescribed

Statutory Forms Matrix

Forms Schedule

Statutory Forms Matrix & Compliance Guide

Overview of Prescribed Forms

Under the Code on Wages (Andhra Pradesh) Rules, 2026, statutory forms have been consolidated to simplify compliance and support digital recordkeeping. Legacy registers have been merged into unified formats, significantly reducing administrative redundancy while maintaining full audit transparency.

Form No.	Name of the Form	Statutory Purpose & Usage	Frequency / Mode
Form I	Register of Wages, Overtime, Fine & Deductions	Consolidated master register tracking basic pay, allowances, attendance, OT hours, statutory deductions, fine imposition, and net wages paid.	Monthly / Digital or Physical
Form II	Single Integrated Annual Return	Annual compliance return summarizing total employee count, gross wages disbursed, total deductions, fine realization, and OT payment summary.	Annual (On or before 1st February)
Form III	Application for Claim	Formal claim application filed before the Designated Authority for recovery of unpaid/delayed wages, unauthorized deductions, or minimum wage shortfalls.	Event-based (Within 3 years of claim)
Form IV	Register of Overtime & Rest Days	Detailed log recording individual employee overtime hours worked, normal rate vs OT rate calculations, total OT earnings, and compensatory off granted.	Continuous / Real-time
Form V	Wage Slip	Itemized wage statement issued to every employee detailing gross pay, individual allowance components, statutory/non-statutory deductions, and net credit.	Monthly (At least 1 day prior to payday)
Form VI	Notice of Rates of Minimum Wages & Abstract	Statutory notice displayed at establishment premises detailing current notified minimum wages, VDA rates, wage payment dates, and Inspector details.	Permanent Display (Updated upon revision)
Form VII	Application for Compounding of Offense	Formal petition submitted by the employer to compound (settle) eligible first-time compliance defaults and avoid criminal prosecution.	Event-based (Post inspection / notice)

HRINFO Practical Note

Transitioning to Form I eliminates the need to maintain separate legacy registers for fines, deductions, advances, and overtime. Ensure your payroll software vendor updates your system's output template to export Form I and Form V directly in compliance with the AP Rules.

Key Submission & Maintenance Rules

Digital Validity: Forms maintained electronically with valid system audit trails and digital signatures satisfy all statutory requirements during inspections.
Annual Return Deadline: Form II (Integrated Annual Return) must be filed electronically on the state portal on or before the 1st of February every year for the preceding calendar year.
Pre-Payday Wage Slips: Form V Wage Slips must be delivered (via email, ESS portal, or paper) at least 1 day prior to salary credit.

Key Takeaway

The 2026 Rules streamline statutory paperwork into 7 core forms. Adopting automated digital register generation for Forms I, IV, and V ensures full audit readiness and seamless annual filing via Form II.

Frequently Asked Questions

Practical HR & Compliance FAQs

FAQ Knowledge Base

Practical Answers for HR & Compliance Professionals

Overview

This section addresses common real-world compliance queries faced by HR managers, payroll leaders, employers, and legal practitioners under the Code on Wages (Andhra Pradesh) Rules, 2026. Click on any question to view the practical resolution and statutory guidance.

1. When do the Code on Wages (Andhra Pradesh) Rules, 2026 officially take effect?

The Rules come into force on the date notified by the Government, with the final publication in the Andhra Pradesh Gazette occurring on 29 June 2026. Establishments operating in Andhra Pradesh must align their payroll systems, wage structures, and statutory registers with this effective date.

2. What is the maximum limit for salary deductions in a given wage period?

Under Chapter V of the Rules, aggregate deductions (including statutory deductions like PF, ESI, PT, TDS, as well as non-statutory recoveries like loans, advances, or canteen charges) cannot exceed 50% of the employee's total wages in any wage period. Any excess amount must be carried forward to subsequent pay cycles.

3. Within how many days must an employee receive their final settlement (Full & Final) post-resignation or termination?

Where an employee resigns, is dismissed, retrenched, or separated due to establishment closure, all unpaid wages and statutory dues must be settled and credited within 2 working days from the date of removal or separation.

4. Can wage slips be issued digitally, and what is the exact deadline for issuance?

Yes, wage slips (Form V) can be issued digitally via email, Employee Self-Service (ESS) portals, or electronic messaging systems. Statutory compliance mandates that wage slips must be issued to employees at least 1 day prior to the actual wage disbursement date.

5. What is the maximum daily spread-over limit permitted under the AP Rules?

The normal daily working hours are fixed at 8 hours per day (exclusive of rest intervals). The total daily spread-over—inclusive of rest breaks—shall not exceed 12 hours on any given day.

6. How is overtime calculated, and what is the applicable rate?

Any work performed beyond 8 hours a day or 48 hours a week qualifies as overtime. Overtime wages must be calculated at double (200%) the ordinary rate of wages (Basic + Variable Dearness Allowance).

7. What is the time limit (limitation period) for an employee to file a statutory wage claim?

Employees, trade unions, or Inspector-cum-Facilitators can file claim applications before the Designated Authority within 3 years from the date on which the claim arose (extended from the earlier 12/24 month windows under repealed laws).

8. Are physical registers still compulsory, or are electronic records legally valid?

Electronic registers maintained with automated system audit trails are fully recognized and legally valid. Maintaining the unified Form I (Register of Wages, Overtime, Fines, and Deductions) digitally eliminates the need for maintaining separate legacy paper registers, provided records are retained for at least 3 years.

9. What fine can be imposed on an employee for misconduct or failure to perform duties?

Fines can only be levied for acts or omissions previously approved and displayed on the notice board. The total fine in a single wage period cannot exceed 3% of the employee’s monthly wage. Additionally, no fine can be imposed on employees under 15 years of age.

10. When must the Integrated Annual Return (Form II) be submitted?

The Integrated Annual Return (Form II) summarizing workforce details, wage disbursements, OT payouts, and fine realizations must be submitted electronically on or before the 1st day of February every year for the preceding calendar year.

HRINFO Practical Note

Keep this FAQ section updated alongside your internal HR Policy Knowledge Base. Integrating these standard statutory interpretations into your employee handbooks and manager training modules will minimize compliance friction during routine audits.

Key Takeaway

Understanding practical operational thresholds—such as the 50% deduction cap, 2-day separation payouts, 1-day advance wage slip distribution, and 3-year record preservation—enables proactive labor law compliance under the Code on Wages (Andhra Pradesh) Rules, 2026.

The Industrial Relations (Andhra Pradesh) Rules, 2026 came into force on 12 June 2026

2026-06-22T23:08:40.099+05:30

Andhra Pradesh Labour Code Update

Andhra Pradesh Industrial Relations Rules, 2026: Complete HR Compliance Guide

A practical HR-ready summary covering committees, trade unions, standing orders, strikes, lock-outs, retrenchment, closure, forms, timelines and penalties.

Effective Date: The Industrial Relations (Andhra Pradesh) Rules, 2026 came into force on 12 June 2026.

Key Takeaways for HR Professionals

Topic	Requirement
Grievance Redressal Committee	Mandatory for establishments employing 20 or more workers.
Works Committee	To be constituted where ordered by the State Government.
Negotiating Union	Minimum 30% membership required for sole negotiating union recognition.
Standing Orders	Separate Model Standing Orders prescribed for Manufacturing and Service sectors.
Protected Workers	Trade unions must submit protected workers list by 30 April every year.
Worker Re-skilling Fund	15 days wages to be deposited within 10 days of retrenchment.

Chapter-wise Summary

Chapter I – Preliminary

The Rules define important terms such as Code, Commissioner of Labour, Government, Verification Officer and Employer.

Chapter II – Bi-Partite Forums

Works Committee: Maximum 20 members with equal representation of employer and workers.

GRC: Mandatory for establishments with 20 or more workers. Maximum 10 members and tenure of 3 years.

Chapter III – Trade Unions

A registered Trade Union may be recognized as sole negotiating union if it has at least 30% membership of total workers. Recognition is valid for 3 years and may be extended up to 5 years.

Chapter IV – Standing Orders

Model Standing Orders are prescribed separately for Manufacturing Sector and Service Sector. Certified Standing Orders must be maintained and displayed.

Important Compliance Timeline

No	Compliance	Form / Record	Timeline
1	Notice of change in service conditions	Form IV	21 days before change
2	Notice of strike	Form VI	14 to 60 days before strike
3	Notice of lock-out	Form VII	14 to 60 days before lock-out
4	Lay-off permission	Form XII	15 days before lay-off
5	Retrenchment permission	Form XIII	60 days before retrenchment
6	Closure permission	Form XIV	90 days before closure
7	Re-skilling fund contribution	Applicable record	Within 10 days of retrenchment

Statutory Forms Index

Form	Purpose
Form I	Memorandum of Settlement
Form II	Application for adjudication before Industrial Tribunal
Form III	Register of Certified Standing Orders
Form IV	Notice of Change in Conditions of Service
Form V	Arbitration Agreement
Form VI	Notice of Strike
Form VII	Notice of Lock-out
Form XII	Application for Prior Permission for Lay-off
Form XIII	Application for Prior Permission for Retrenchment
Form XIV	Application for Prior Permission for Closure
Form XVI	Compounding of Offences

HR Compliance Checklist

Constitute Grievance Redressal Committee where applicable.

Review Works Committee applicability.

Verify Trade Union recognition status.

Adopt or certify Standing Orders.

Display Standing Orders in English and Telugu.

Issue Form IV before changing service conditions.

Monitor strike and lock-out notice periods.

Track lay-off, retrenchment and closure timelines.

Deposit Worker Re-skilling Fund within 10 days.

Collect Protected Workers list by 30 April every year.

Penalties for Non-Compliance

Violation	Penalty Range
Lay-off / retrenchment without prior permission	₹1,00,000 to ₹10,00,000
Closure without prior permission	₹1,00,000 to ₹10,00,000
Failure to pay retrenchment compensation / re-skilling fund	₹50,000 to ₹2,00,000
Breach of certified Standing Orders	₹50,000 to ₹2,00,000
Unilateral change without Form IV notice	₹10,000 to ₹50,000

Disclaimer: This article is for HR knowledge and compliance awareness only. Employers should verify applicability with the official notification and obtain professional advice before implementation.

Overtime Calculator

2026-06-16T20:47:43.345+05:30

Overtime Payment & Compliance Calculator

Calculate overtime wages using Basic + DA, 1/26 daily wage method, 2x OT rate and rounding checks.

Note: This calculator is for general HR/payroll assistance. Please verify final applicability with the relevant Central/State rules, establishment category and legal advice.

1. Wage & Shift Details

Monthly Basic Salary + DA (₹) Ordinary wage base used for overtime calculation. Standard Work Hours per Day Usually 8 hours; edit as applicable.

2. Overtime Logged

Full OT Hours Enter completed overtime hours. Extra OT Minutes 15–30 minutes = 0.5 hour; above 30 minutes = 1 hour. Quarter-to-Date OT Hours Before This Entry Used for 125 / 144 hours quarterly alert checks.

Maternity Benefit Calculator

2026-06-15T01:16:44.590+05:30

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PF Family Pension Calculator

2026-06-15T00:51:45.541+05:30

EPS Family Pension Calculator

Member Status at Death

Average Monthly Pensionable Salary Basic + DA. Table C is considered up to ₹15,000.

Years of Pensionable Service

Additional Months

Eligible Children

Family Pension Type

Estimated Monthly Family Pension

Widow / Widower Pension ₹0

Child 1 Pension ₹0

Child 2 Pension ₹0

Orphan Pension ₹0

Total Monthly Family Benefit ₹0

Disclaimer: This calculator provides an indicative EPS family pension estimate only. Actual benefit is subject to EPFO records, nominee/family eligibility, age of children, pensionable salary, Table C applicability and prevailing EPFO rules.

PF Interest / EPF Maturity Calculator

2026-06-15T00:12:50.784+05:30

PF Interest / EPF Maturity Calculator

Current EPF Balance

Monthly Basic + DA

Contribution Rule

EPF Interest Rate (%)

Investment Period (Years)

Expected Annual Basic + DA Increment (%) Used for future annual contribution projection.

Projected EPF Accumulation

Total EPF Contributions ₹0

Total Interest Earned ₹0

Estimated EPF Maturity Amount ₹0

Disclaimer: This calculator gives an indicative EPF maturity estimate. Actual EPF balance may vary based on EPFO declared interest rate, monthly contribution dates, wage changes, withdrawals, transfers and passbook records.

EPS Pension Calculator

2026-06-14T23:55:12.825+05:30

EPS Monthly Pension Calculator

Average Monthly Pensionable Salary Average Basic + DA during last 60 months. Standard EPS ceiling is ₹15,000 unless higher pension applies.

Years of Pensionable Service

Additional Months

Pension Type

Pension Salary Basis

Estimated Monthly EPS Pension

₹0

Disclaimer: This calculator provides an indicative estimate only. Actual EPS pension is subject to EPFO records, pensionable salary, pensionable service, higher pension approval, service verification and prevailing EPFO rules.

PF Contribution Calculator

2026-06-14T23:16:01.824+05:30

PF Contribution Calculator

Total Gross Monthly Salary

Basic + DA

Contribution Basis

Employee is eligible for EPS pension contribution

Monthly PF Contribution Summary

Employee PF Contribution ₹0

Employer EPF Contribution ₹0

Employer EPS Contribution ₹0

EDLI Contribution ₹0

EPF Admin Charges ₹0

Total Employer Cost ₹0

Total PF + EPS Monthly Deposit ₹0

Disclaimer: This calculator is for HR reference only. Actual contribution may vary based on EPFO applicability, wage records, establishment category, exemptions, pension eligibility, and official challan rules.

Bonus Calculator

2026-06-14T22:50:51.067+05:30

Bonus Calculator

Monthly Wages (Basic + DA)

State Minimum Wage

Months Worked

Declared Bonus (%)

Advanced Government Notification Settings

Eligibility Limit (₹)

Calculation Ceiling (₹)

✓ Eligible for Bonus

Estimated Annual Bonus Payable

₹0

Disclaimer: This calculator is intended for HR and compliance reference only. Bonus entitlement is subject to the Code on Wages, 2019, applicable government notifications, allocable surplus, set-on/set-off provisions and employer records.

EDLI Calculator

2026-06-14T21:02:34.604+05:30

EDLI Benefit Calculator

Average Monthly Wages Basic + DA. Salary will be capped at ₹15,000 for EDLI calculation.

Average EPF Balance Average PF balance during the preceding 12 months or shorter membership period.

Apply minimum assurance benefit of ₹2,50,000, where statutory continuous service condition is satisfied.

Estimated EDLI Benefit

₹0

Disclaimer: This calculator is for HR reference only. Final EDLI benefit is subject to EPFO rules, member eligibility, service records, nominee/legal heir details, and official claim verification.

Gratuity Calculator 2026 – Calculate Gratuity Online

2026-06-08T19:13:49.000+05:30

Gratuity Calculator

Employee Category

Last Drawn Monthly Wages (Basic + DA) Enter monthly Basic + Dearness Allowance.

Completed Years

Additional Months

Maximum Gratuity Ceiling

Estimated Gratuity Payable

₹0

Disclaimer: This calculator is intended for HR and compliance reference purposes only. Actual gratuity entitlement is subject to the Code on Social Security, 2020, applicable notifications, judicial interpretations, service records and employer policies.

Andhra Pradesh Releases Draft Code on Social Security Rules, 2026

2026-02-25T20:23:00.001+05:30

1. Background & Legal Context

The Government of Andhra Pradesh has published the Draft Code on Social Security (Andhra Pradesh) Rules, 2026 via G.O.Rt.No.43 dated 23.02.2026 from the Labour, Factories, Boilers & Insurance Medical Services (Lab.II) Department.

These draft rules are issued:

Under powers in sections 154 and 156 of the Code on Social Security, 2020 (Central Act 36 of 2020)
In view of:

Central Code on Social Security, 2020 (notified 29.09.2020)
Appointed day 21.11.2025 notified by Central Government (S.O. 5319(E))
Draft Central Social Security Rules, 2025 (GSR 935(E) dated 30.12.2025)

They supersede earlier State rules under:

Employees’ Compensation Act, 1923
Maternity Benefit Act, 1961
Payment of Gratuity Act, 1972
Unorganised Workers’ Social Security Act, 2008

The draft is open for objections & suggestions for 45 days from the date the Gazette copy is made available to the public. Submissions can be made online:

Labour Dept Portal: https://labour.ap.gov.in
Email: aplabourcodes2026@gmail.com

2. Scope & Key Definitions

2.1 Short Title & Commencement

Called “The Code on Social Security (Andhra Pradesh) Rules, 2026”.
Will come into force from the date of publication in the Official Gazette.

2.2 Important Definitions for HR

Some key defined terms that matter for HR & Compliance:

“Assessing Officer” – Gazetted officer appointed by State Government for assessment of building & construction cess.
“Cess collector” – Officer appointed to collect cess under Chapter VIII of the Code.
“Competent authority” – Authority appointed under section 91 (Employees’ Compensation) and section 56 (Gratuity disputes).
“Inspector-cum-Facilitator” – Appointed under section 122; responsible for inspection and guidance.
“Career centre (regional)” – State‑notified career/employment centre for vacancy reporting, returns etc.
“Fund” – AP Building & Other Construction Workers Welfare Fund or Social Security Fund under section 141.
“Register of women employees” – Specific register in Form XX.

Implication: HR teams must be familiar with these authorities and forms—they are the key contact points for disputes, registration, cess, maternity, gratuity etc.

3. Digital Registration & Cancellation of Establishments (Rule 3)

3.1 New Registration Process

Every unregistered establishment must:

Apply electronically using Form-I of the Occupational Safety, Health & Working Conditions (AP) Rules, 2026 via the State Labour Dept portal.
Use this common form for registration under multiple labour codes.
Provide:

Establishment details
Employer identity & address proofs
PAN / other unique IDs, which may be verified online.

Timeline & Deeming Provision

Registration certificate must be issued immediately, and in any case within 7 days of submission of complete application.
If not issued within 7 days, registration is deemed granted and a certificate shall be auto‑generated.

Exceptional Situations

State Government may temporarily dispense with electronic registration (e.g., certain classes/areas) and allow physical submission, via notification.

3.2 For Establishments Already Registered under Other Labour Laws

Employers must update particulars on the State Labour portal within the period specified by a government notification.

3.3 Expiry of Registration

A registration expires automatically if no compliance is reported for 24 months using that registration number.
It can be revived upon application on the portal.

3.4 Cancellation of Registration

If registration obtained by wrong information, it may be cancelled after:

30‑day show cause notice (served electronically or otherwise).

3.5 Employer Obligations

Quote registration number on all documents & correspondence under the Code, schemes, rules and regulations.
Update any change in particulars on the portal within 30 days.
For closure: apply for cancellation of registration online with complete details and status of all contributions & dues.

Application is allowed only if all returns filed, all dues paid, and self‑certification is attached.
Must be decided within 90 days of complete application.

HR Action Point:

✅ Ensure your establishment’s data is fully updated on the AP Labour Portal and monitor compliance activity so that your registration does not lapse after 24 months of inactivity.

4. Unorganised Workers Social Security & BOCW Welfare (Rules 4–12)

4.1 Andhra Pradesh Unorganised Workers Social Security Board (Rule 4–8)

Tenure & Limit on Terms

Non‑ex officio members: 3‑year term, eligible for re‑nomination, but maximum 2 terms total.

Representation Structure

7 members from unorganised workers
7 from employers of unorganised workers
5 eminent persons (labour welfare, management, finance, law, admin)
2 MLAs (nominated via Speaker)
10 from concerned departments

With mandatory representation (within the 7 worker reps) for:

SC, ST, Minorities, and Women.

Vacancy, Resignation & Removal

Members can resign by letter to State Government.
Vacancies filled for the remainder of term through nomination.
Members must abstain from meetings if removal proceedings are pending; Government’s decision on disqualification/removal is final.

4.2 AP Building and Other Construction Workers Welfare Board (Rules 9–10)

The Board must formulate schemes to:

Pay premiums for Group Insurance for beneficiaries.
Provide educational schemes for children of beneficiaries.
Support medical expenses for treatment of major ailments of beneficiaries or dependents.

Central Government may also formulate additional welfare schemes for building workers in a State if required.

4.3 Governance: Meetings, Quorum, Allowances (Rule 11–12)

Minimum 3 meetings per year for both the Unorganised Workers Board and BOCW Board.
15 days’ notice for ordinary meetings (with agenda & brief notes); shorter notice allowed for emergency meetings.
Quorum:

10 members for Unorganised Workers Board
4 members for BOCW Board

Provision to appoint substitutes to attend meetings on behalf of members, subject to:

Written authority
Approval by Chairperson
Member remains liable for any misappropriation or misapplication by substitute.

Minutes to be circulated within 4 weeks and confirmed in next meeting.
Non‑official members entitled to TA/DA at State Government officer rates; MLAs as per MLA rules; Ministers as per their own service rules.

HR Relevance:

For construction‑heavy employers and contractors in AP, these Boards are the primary entities for BOCW registration, cess utilisation and welfare benefits.

5. Employees’ State Insurance Society (Rule 13–16)

5.1 Creation of State ESIS Society

State Government may establish an Employees’ State Insurance Society as a managerial and healthcare body. It will have:

Governing Body
Executive Committee
Chief Executive Officer
Secretariat

Society to be registered under applicable State Societies Registration Act & Public Trust Act.

5.2 Governing Body Composition

Includes:

Chief Secretary – Chairperson
ACS/Principal Secretary/Secretary (Labour/Health) – Vice‑Chairperson
ACS/Principal Secretary/Secretary (Health/Labour) – Member
ACS/Principal Secretary/Secretary (Finance) – Member
Director, ESIS – CEO‑cum‑Member Secretary
ESIC nominees
3 Employers’ reps
3 Employees’ reps
Regional Director, ESIC
State Medical Officer, ESIC

5.3 Executive Committee & Meetings

Executive Committee chaired by ACS/Principal Secretary/Secretary overseeing ESIS.
Quorum: 1/3 or at least 3 of filled posts.
Governing Body: meets at least twice a year.
Executive Committee: at least quarterly.

5.4 Budgeting & Accounts

Budget to be submitted by 10th December every year.
Accounts audited by CAG annually.
Financial year: 1 April – 31 March.
Financial statements to be ready by 31 May, and annual report + accounts to ESIC within 6 months of year‑end.

5.5 Other Key Points

Society may sue or be sued through CEO or appointed member.
Employees will be on deemed deputation from Govt/PSU/ESIC with pension liabilities resting with parent organisation.

HR Angle:

For ESI‑covered establishments, this Society will influence service quality of ESIS hospitals/dispensaries, timelines for reimbursements, and general administration.

6. Gratuity – Detailed Operational Rules (Rules 17–21 + Forms I–VII)

6.1 Gratuity for Minors (Rule 17)

Where gratuity is payable to a minor nominee or heir, the Competent Authority must invest the amount in a term deposit with SBI or any nationalised bank until the minor attains majority.

6.2 Nomination (Rule 18, Form I)

Nomination must be given in Form I, in duplicate, within 90 days:

Existing employees (1+ year service) – within 90 days of commencement of rules.
New employees – within 90 days of completing 1 year.

Employer must:

Verify service particulars
Return one attested copy to employee within 30 days
Retain the other. citeturn3search1

If employee has no family at nomination time, a fresh nomination is mandatory within 90 days of acquiring family status.
Modifications in nomination (e.g., nominee predeceases employee) also through Form I.
Nominations take effect from date of receipt by employer.

6.3 Claiming Gratuity (Rule 19, Forms II–VII)

Application by Employee / Nominee / Legal Heir

Employee: within 30 days of gratuity becoming payable (can apply 30 days before known superannuation/retirement date).
Fixed‑term employees: eligible if they complete 1 year; period > 6 months is rounded off to 1 full year.
Nominee: within 30 days of gratuity becoming payable.
Legal heir: within 1 year.
Delayed applications must be accepted if sufficient cause is shown; delay alone cannot render claim invalid.

Employer’s Decision & Timelines

Within 15 days of application:

If admissible → issue Form III specifying amount & payment date (within 30 days of application).
If not admissible → issue Form III with reasons and copy to Competent Authority.

Gratuity must be paid via Demand Draft or bank transfer.

Disputes & Appeals

If employer:

Refuses nomination,
Disagrees with amount, or
Fails to issue notice in time,
→ Employee/nominee/legal heir may apply to Competent Authority in Form IV within 180 days (extendable).

Competent Authority:

Issues notice in Form V to both parties, conducts hearing, may summon witnesses, and records findings.
If gratuity is payable, issues Form VI to employer directing payment within 30 days.

Appeal:

To Appellate Authority within prescribed time, attaching Competent Authority’s order.
Appellate Authority decision communicated to both parties; Competent Authority modifies its direction accordingly and may issue revised Form VI with modified amount and 15‑day payment timeline.

If employer still doesn’t pay, employee/nominee/legal heir may seek recovery through Form VII, which allows recovery under section 129.

6.4 Management of Gratuity Trust (Rule 20)

For exempted establishments with approved Gratuity Fund (Section 57(2)):

Board of Trustees must be formed with equal representation of employers & employees.
Employer serves as Chairperson but must maintain arm’s length in decisions.
Board meets at least once every three months.
Governance conditions (tenure, elections, quorum, records, etc.) shall be as per the approved Gratuity Fund.

Any interpretation disputes under this rule are to be referred to Government/Commissioner of Labour; their interpretation is binding.

7. Maternity Benefit – Detailed Provisions (Rules 22–27 + Forms VIII–XII, XX)

7.1 Medical Certificates & Proofs (Rule 22, Form VIII)

Pregnancy, delivery, miscarriage, MTP, tubectomy and related illness can be certified by:

Registered Medical Practitioner
Accredited Social Health Activist (ASHA)
Auxiliary Nurse Midwife (ANM)

Additional acceptable documents include:

Birth certificate from municipality/gram panchayat
Extract from birth/death register
Certificate by Gram Pradhan / Village Administrative Officer / Municipal Officer, etc.

7.2 Claim Notice & Payment (Form IX)

Woman must give notice for maternity benefit in Form IX, including nominee details under section 62.
Employer must:

Pay maternity benefit & other amounts to the woman, or if she dies, to her nominee/legal representative.
Deposit payment with Competent Authority within 2 months of death if there is doubt about rightful payee.

Medical bonus to be paid with the second instalment of maternity benefit.
Wages under section 65 (miscarriage/illness etc.) to be paid within 48 hours of producing Form X.

7.3 Nursing Breaks (Rule 23)

Two breaks of 15 minutes each for nursing up to child’s age of 15 months.
Extra travel time of up to 15 minutes to/from creche or place where child is left.
Any dispute over extra time → to Competent Authority.

7.4 Creche Facilities (Rule 24)

Mandatory for establishments with 50+ employees:

To provide and maintain a creche for children under 6 years.
Within 1 km of establishment; relaxation allowed for industrial parks/areas with common creche.
At least 10 sq. ft per child; safe, rainproof building, fenced play area, proper hygiene.
Working hours aligned with employee shift patterns.
Staffed by a woman with midwifery/creche training + 1 ayah per 10 children.
Must provide cots, beds, sheets, blankets, toys, first-aid, kitchen, milk, refreshments, toilets, wash basins, etc.

Creche Allowance (Instead of Physical Creche)

Where there is a sole negotiating union / council, it may agree with employer to give creche allowance instead of on-site creche for eligible employees (women, widowers, single parents with children < 6 years).
Where no such union/council exists, majority of employees may similarly agree.
Amount not less than ₹500 per month per child, or higher as notified by Central Government; applicable for up to 2 children (with exception for multiple births in second childbirth).

7.5 Gross Misconduct & Appeals (Rule 25)

Acts constituting “gross misconduct” (relevant for deprivation of maternity benefit under Section 68):

Wilful destruction of employer’s property
Assault on superior/co‑worker at workplace
Criminal offence involving moral turpitude with conviction
Theft/fraud/dishonesty related to employer’s business or property
Wilful non‑observance of safety measures / interference with safety devices or fire‑fighting equipment

Appeal against deprivation of maternity benefit to Competent Authority in Form X.

7.6 Complaints & Duties of Inspector‑cum‑Facilitator (Rules 26–27)

Complaints regarding withheld benefits or wrongful dismissal: to Inspector‑cum‑Facilitator in Form XI.
Inspector must:

Examine employer records & employees
Issue orders within 45 days if benefit is improperly withheld.

Appeals against Inspector’s decision go to Competent Authority (also Form XI).
Inspector must check compliance with key provisions: sections 59, 62(5),(6), 64–67, 69, 71 and previous irregularities.

Employers must maintain detailed Register of Women Employees capturing: appointment, leave, notices, proofs, payments of maternity benefit, bonus, leave wages, nominee details, etc.

8. Records, Registers & Unified Annual Return (Rule 28, Form XIII)

8.1 Registers to Maintain

Every employer must maintain:

Register of employees – Form I of AP Code on Wages Rules, 2026
Attendance / muster – Form IX of AP Code on Wages Rules, 2026
Wages/overtime/advances/fines/deductions – Form IV of AP Code on Wages Rules, 2026
Register of women employees – Form XX under these rules

Registers may be electronic or physical, in English + Hindi or local majority language, and must be kept updated.

Preserve all registers for 5 calendar years from last entry.
Produce them on demand to Inspector‑cum‑Facilitator.

8.2 Unified Annual Return – Form XIII

Employers to file Unified Annual Return (online) in Form XIII on State portal by 1st February each year for the preceding year.
In case of sale, abandonment or discontinuance of establishment:

File additional unified return within 1 month of sale/abandonment or 4 months of discontinuance, covering period since last calendar year‑end.

The return consolidates requirements under Wages, OSH, IR & Social Security Codes into a single integrated filing.

9. Offences & Compounding (Rule 29, Form XIV)

State Government may authorise a Compounding Officer to handle offences under section 138.
Compounding process:

Compounding notice in Form XIV (Part I) issued electronically.
Employer has 15 days to pay composition amount and submit Part III.
If paid → Compounding Officer issues Composition Certificate (Part IV) within 10 days.
If not paid → Prosecution will be initiated for the offence mentioned in the notice.

10. Employment Information & Monitoring (Rules 32–33, 68–70)

10.1 Career Centres (Rule 32)

State Government may establish or notify career centres or convert existing employment exchanges into career centres; may also partner with institutions, local bodies, or private bodies.
Functions:

Collect job seeker & vacancy data
Provide career counselling & vocational guidance
Organise job fairs/drives
Conduct employment surveys & employability enhancement activities.

10.2 Reporting of Vacancies (Rule 33, Form XV)

Public Sector:

All public sector establishments must report vacancies to career centre before filling them.

Private Sector:

Private establishments (or specific classes) will report from date notified by State Government.

Timelines & Modes:

Use Form XV, via writing/email/digital mode.
To regional Career Centre at least 15 days before last date for applications.
For all‑India or multi‑State recruitment → also report to Central career centre / digital portal.
Career Centre must allot unique vacancy ID and inform employer within 3 working days (or up to 7 days for NE States).

10.3 Employment Information Return – Form XVII

Employer to file Form XVII (EIR) within 30 days of end of financial year with Regional Career Centre.
EIR includes:

Total manpower (including contractual, outsourced)
Vacancies occurred, reported & filled
Manpower shortages and skill gaps
Estimated manpower requirements for next year

11. Employees’ Compensation (Rules 34–48, Forms XVI–XIX)

Key HR‑relevant points:

Interest on delayed compensation – 12% p.a. simple interest if not paid within 30 days (or rate as notified by Central Government).
Funeral expenses amount fixed at ₹20,000, subject to change by State notification.
Claim applications to Competent Authority in Form XVI, can be by post or electronically.
Venue of proceedings: area where accident occurred / employee (or dependants) reside / employer’s registered office.
Transfer of records/money between Competent Authorities handled through Forms XVIII & XIX and electronic/banking modes.
Employer must inform each employee in writing and electronically about their rights under Employee’s Compensation provisions at the time of employment.

12. Exemptions – Eligibility Conditions (Rule 49)

An establishment seeking exemption under Section 143 must:

Provide benefits substantially similar or superior to those under:

Chapter III schemes or
Chapter IV benefits (as applicable).

Apply electronically or otherwise as prescribed.

13. What HR & Employers in AP Should Do Now

Here’s how you can translate the draft into concrete internal steps:

Registration & Portal Readiness

Check if your establishment details on AP Labour Portal are accurate and live.
Map responsibility for timely returns & updates to a specific HR/compliance owner.

Gratuity & PF–Linked Practices

Ensure Form I, II, III, IV–VII workflows for gratuity are built into HRIS or manual SOPs.
For any in‑house gratuity trust, review governance vs. Rule 20 and Board of Trustees structure.

Maternity Policy & Creche

Align your maternity policy, including:

Eligibility checks
Form VIII/IX usage
Payment timelines
Nursing breaks & creche/allowance.

For 50+ employee locations, plan for on‑site creche or creche allowance agreement as per Rule 24.

Registers & Records

Integrate Form XX (Register of Women Employees) and ensure other registers/records are maintained for 5 years.
Prepare to file Unified Annual Return – Form XIII online by 1st February each year.

Vacancy Reporting & Employment Returns

If you fall under public sector/ notified private category, set a process for:

Reporting vacancies in Form XV,
Filing Form XVII yearly to Regional Career Centre.

Safety & Compensation

Inform all employees of their Employee’s Compensation rights in writing and electronically at joining.
Ensure compensation and funeral expense limits are understood by HR and line managers.

Andhra Pradesh Releases Draft Code on Wages Rules, 2026

2026-02-25T20:20:00.004+05:30

As per Draft Notification issued vide G.O.Rt.No.39, dated 13.02.2026 by the Labour, Factories, Boilers & Insurance Medical Services Dept.

🔰 Introduction

With the enforcement of the Code on Wages, 2019 across India, the Government of Andhra Pradesh has issued the Draft Code on Wages (AP) Rules, 2026 to align state‑level wage regulations with the central framework.

These draft rules replace long‑standing provisions under:

AP Payment of Wages Rules, 1937
AP Minimum Wages Rules, 1960

and bring all wage‑related matters under one unified code.

Objections/suggestions may be submitted within 45 days from the date of publication through the official Labour Dept. portal or e‑mail.

1️⃣ Chapter I – Preliminary & Definitions

Scope & Commencement

Applicable across the entire State of Andhra Pradesh.
Comes into force from date of publication in the Official Gazette.

Key Definitions

The Code provides clarity on several operational terms crucial for HR & compliance, including:

Authority (for claims) – appointed under Sec. 45
Appellate Authority – under Sec. 49
Inspector‑cum‑Facilitator – under Sec. 51
Committee – for minimum wage fixation
Family – expanded to include dependent parents & in‑laws
Skill Levels – Unskilled, Semi‑Skilled, Skilled, Highly Skilled

These definitions serve as the foundation for wage categorization, inspections, and dispute resolutions.

2️⃣ Chapter II – Minimum Wages

2.1 Criteria for Fixing Minimum Wages

The state government must use scientifically‑defined parameters:

Standard working‑class family = 1 earner + spouse + 2 children
Caloric requirement = 2700 calories/day per consumption unit
66 meters of cloth per family/year
House rent = 10% of food & clothing
Fuel, electricity, etc. = 20% of minimum wage
Education, medical, contingencies = 25% of minimum wage

These guidelines ensure that wage fixation is rational, transparent, and inflation‑responsive.

2.2 Calculation of Daily, Hourly & Monthly Wages

Daily → Hourly: divide by 8
Daily → Monthly: multiply by 26
Rounding rules: ≥0.5 round up, <0.5 ignore

For 5‑day week organisations (common in corporates), hourly rate becomes the basis for calculating daily wage.

2.3 Skill Categorisation Committee

A technical committee reviews and updates occupational skill levels.

Members include:

Additional Commissioner/Joint Commissioner of Labour (Chairperson)
Labour Department officials
Director of Employment
CEO, AP Skill Development Corporation
Employer/Employee representatives
Technical wage experts

The committee is empowered to modify, add or delete entries in the official “Schedule.”

2.4 Schedule of Occupations

A vast list of over 1000 job roles across unskilled to highly skilled categories is included.

Examples:

Unskilled: Helpers, Mazdoors, Cleaners, Watchmen, Loaders

Semi‑Skilled: Fitters’ helpers, Firemen, Trolley operators

Skilled: Electricians, Carpenters, Welders, Drivers, Masons

Highly Skilled: Foremen, Senior Mechanics, Mining Supervisors

This ensures AP industries have consistent classification for wage payment.

3️⃣ Chapter II – Working Hours, Rest, and Overtime

3.1 Working Hours

Daily working hours and spread‑over will be defined by the Commissioner of Labour through general/special orders.

3.2 Weekly Rest

One day of rest per week (Sunday traditionally).
For less‑than‑6‑day weeks, both Saturday & Sunday become rest days.
Prior notice to employees is mandatory.

3.3 Substituted Rest Day

If an employee works on rest day, a substituted rest day must be given.
Overtime applies.
Must not work for more than 10 consecutive days without a rest day.

3.4 Night Shifts

Day counted from end of the shift, not from midnight.

4️⃣ Chapter III – Payment of Wages

4.1 Wage Period

Monthly wage period is permitted as the “longer wage period.”

4.2 Deductions

Total deductions cannot exceed 50% of wages.
Excess deduction is carried to next wage cycle.

4.3 Fines

Prior approval from Deputy Commissioner of Labour required.
Notice of fines must be displayed in English & Telugu.

4.4 Deductions for Loss/Damage

Employer must explain in writing
Employee must be given opportunity to respond

4.5 Advances &Loans

Recovery installments capped at 50% of wages.

5️⃣ Chapter IV – Advisory Board & Committees

This chapter establishes procedures for:

State Advisory Board composition
Meeting rules, quorum, voting, minutes
Appointment of committees under Section 8
Term of office (2 years), resignation, disqualification

The Board includes:

Employer representatives
Employee representatives
Independent professionals
State Government officials

One‑third of all members must be women.

6️⃣ Chapter V – Payment of Dues & Claims

6.1 Nomination (Form VII)

Employees must nominate family members for receiving dues in case of death.

6.2 Un-disbursed Dues

If dues remain unpaid:

Employer deposits amount with Deputy Commissioner of Labour
Public notice issued for claimants
After 7 years, amount transferred under AP Labour Welfare Fund Act

6.3 Claims Procedure

Claims can be filed in Form II
Authority issues notice via Form VIII
Ex‑parte decision possible if employer does not appear

6.4 Appeals

Filed through Form III
Employer must deposit awarded amount before appeal is admitted

7️⃣ Chapter VI – Registers & Wage Slip

Employers must maintain:

Mandatory Registers (physical or electronic):

Form I – Employee Register
Form IV – Wages, Overtime, Fines & Deductions
Form IX – Attendance & Muster Roll

Registers must be preserved for 5 years.

Wage Slip (Form V)

Must be issued before wage payment
Can be emailed / digitally generated

8️⃣ Chapter VII – Miscellaneous Provisions

8.1 Contract Labour – Principal Employer Responsibility

Principal employer must ensure:

Payment of wages
Payment of minimum bonus if contractor fails

8.2 Annual Returns

Employers must file annual returns electronically through OSHWC Code formats.

📌 Summary – Why These Rules Matter for Employers & HR

These draft rules:

✔ Bring uniform wage standards across AP

✔ Strengthen compliance obligations for employers

✔ Require better record‑keeping & digital documentation

✔ Provide stronger protection to contract labour

✔ Simplify wage claim and appeal processes

✔ Enable updated skill‑based wage structuring

As a Manager–HR, these rules directly impact:

Wage structuring
Payroll compliance
Contract labour management
HR documentation practices
Internal audit & labour inspections

Andhra Pradesh Releases Draft Industrial Relations Rules, 2026

2026-02-25T20:17:00.000+05:30

The Government of Andhra Pradesh has issued the Draft Industrial Relations (AP) Rules, 2026, under the Industrial Relations Code, 2020. These rules modernize the state’s labour governance framework by replacing long‑standing regulations, bringing transparency, digitization, and structured dispute‑resolution mechanisms to the forefront.

These draft rules have been opened for public consultation for 30 days, and stakeholders—including employers, HR leaders, trade unions, and workers—are encouraged to provide feedback via the Labour Department portal.

🔎 Key Highlights at a Glance

Full transition to IR Code, 2020 for industrial relations governance
Digital-first compliance – notices, applications, registers, and records can be filed electronically
Works Committee & Grievance Redressal Committee mandatory in defined establishments
Clear procedures for trade union recognition (including secret ballot verification)
Detailed Model Standing Orders for Manufacturing & Service Sectors
Codified procedures for layoffs, retrenchment & closure
Mandatory Worker Re‑Skilling Fund contributions by employers
Streamlined conciliation, arbitration & dispute resolution

🏛️ 1. Applicability & Legal Foundation

The Rules are framed under Section 99 of the Industrial Relations Code, 2020.

They supersede:

AP Industrial Disputes Rules, 1958
AP Trade Union Regulations, 1927
AP Standing Orders Rules, 1953

The rules take effect upon publication in the Official Gazette.

🤝 2. Settlements & Dispute Resolution

2.1 Settlement Procedures

All settlements must be executed in Form I.
Settlements outside conciliation must be jointly submitted to the Deputy Commissioner of Labour.

2.2 Conciliation

Officers must digitize applications and upload reports within 7 days of conclusion.
All statements and evidence to be filed in affidavit form.

2.3 Arbitration

Voluntary arbitration is formalized via Form V with written consent from arbitrators.
Government may notify the arbitration for wider participation.

🏭 3. Works Committee & Grievance Redressal Committee

3.1 Works Committee (for units where mandated)

Maximum 20 members
Worker representation ≥ employer representation
Mandatory representation of women workers proportional to their workforce presence
Worker representatives chosen by:

Negotiating union / council, OR
Election (electronic mode allowed)

3.2 Grievance Redressal Committee (≥20 workers)

Equal employer & worker members (max 10)
Women representation proportional
3‑year tenure
Applications can be submitted electronically

👥 4. Trade Union Recognition & Negotiation Framework

4.1 Sole Negotiating Union Criteria

A trade union becomes the sole negotiating union if it has ≥30% membership of the total workforce.

4.2 Secret Ballot-Based Verification

Verification Officer appointed by Commissioner of Labour
Employer must provide records, bear expenses
60-day advance scheduling meeting
Secret ballot—digital voting allowed

4.3 Recognition Validity

Recognition valid for 3 years, extendable up to 5 years mutually

4.4 Facilities for Recognized Unions

Notice board
Meeting spaces
Access to establishment
Office space for units with ≥300 workers

📘 5. Standing Orders (Manufacturing & Service Sector)

5.1 Key Elements

The Rules provide Model Standing Orders covering:

Worker classifications (Permanent, Temporary, Apprentice, Badli, Fixed-term, Casual)
Shift changes & notice requirements
Leave entitlements and procedures
Wage payment timelines
Disciplinary procedures & misconduct definitions
Retirement at 58 years (unless otherwise mutually agreed)
Service records & ID card requirements

5.2 Certification Process

Adoption of model orders must be intimated electronically
If certifying officer raises no objection within 30 days, deemed certified

⚠️ 6. Layoff, Retrenchment & Closure Compliance

Timelines Under the Rules

Action	Notice/Application Requirement
Retrenchment	30 days before execution (Form XIII)
Closure	60 days prior
Special Category Establishments (Chap X)	Layoff: 15 days; Retrenchment: 60 days; Closure: 90 days (Form XIV)

Re-employment Priority

Retrenched workers get preference in future vacancies within one year.

📚 7. Worker Re‑Skilling Fund (First Time in AP)

Employer must deposit 15 days’ last drawn wages for every retrenched worker within 10 days.
Payment must be transferred to the worker within 45 days.

⚖️ 8. Offences & Penalties

Compounding of offences allowed via Form XV
Payment within 15 days stops prosecution
Supervised directly by the State Government

🛡️ 9. Protected Workers

Unions must submit names by 30 April every year
Employer must recognize and notify protected workers for a 12‑month term

💻 10. Complete Digital Compliance Framework

Nearly all compliance elements can now be completed electronically, including:

Applications
Notices
Registers
Records
Filing appeals
Submitting Standing Orders

This aligns the State Rules fully with India’s emerging digital labour compliance ecosystem.

Conclusion

The Industrial Relations (AP) Rules, 2026 – Draft represent a major modernization of labour administration in Andhra Pradesh. The rules strengthen:

Worker protection
Employer clarity
Digital compliance
Transparent dispute resolution
Trade union legitimacy
Predictability in layoffs, restructuring & closure processes

HR leaders, employers, and unions should review the draft carefully and submit suggestions within the notified timeline.

The Social Security (Central) Rules, 2026

2026-01-21T23:29:00.000+05:30

HRINFO STATUTORY COMPLIANCE GUIDE

The Social Security (Central) Rules, 2026

Final Notification & Universal Social Security Operational Framework under the Code on Social Security, 2020

🏛️ Authority: Ministry of Labour & Employment

📜 Gazetted Notification: May 2026 Rules (G.S.R. 344(E))

⚡ Status: Active Central Rules

⚖️

9 Acts

Consolidated in One Code

⏳

1 Year

Gratuity Eligibility for FTE

🤱

26 Weeks

Statutory Paid Maternity Leave

🛵

1-2% Cess

Gig/Platform Aggregator Contribution

📋 Overview & Consolidation Framework

Amalgamation of 9 Central Social Security Acts

The Social Security (Central) Rules, 2026 provide the statutory implementation rules for the Code on Social Security, 2020. The Code subsumes 9 legacy statutory acts into a unified social security framework:

1. Provident Fund & ESI

Subsumes EPF Act 1952 and ESI Act 1948, establishing universal social security coverage across India.

2. Gratuity & Maternity

Integrates Payment of Gratuity Act 1972 and Maternity Benefit Act 1961, introducing 1-year gratuity for FTEs.

3. Unorganised & Gig Workers

Consolidates Unorganised Workers Act 2008 and BOCW Welfare Cess Act 1996 to cover gig, platform, and construction workers.

Social Security Governance & Advisory Boards

EPFO & ESIC Boards: Central Board of Trustees (EPFO) and Employees' State Insurance Corporation (ESIC) continue as tripartite statutory bodies to administer provident fund, pension, insurance, and medical benefits.
National Social Security Board: Constituted under Section 6 of the Code to recommend schemes for unorganised, gig, and platform workers.
State Social Security Boards: Formed by State Governments to administer state-level welfare and registration schemes.

💡 Jurisdictional Scope: Central Rules apply to establishments under Central jurisdiction including Railways, Mines, Major Ports, Banking, Insurance, CPSUs, and Aggregators operating in multiple states.

🏦 EPF, ESI & Social Security Coverage (Chapters III & IV)

The 2026 Central Rules streamline provident fund and health insurance administration, extending benefits to small and unorganised sector establishments.

Scheme / Aspect	Applicability Threshold	Central Rules Mandate
Employees' Provident Fund (EPF)	20 or more employees	Mandatory coverage for employees earning up to ₹15,000/month. 12% employee + 12% employer contribution.
Employees' State Insurance (ESI)	10 or more employees	Nationwide expansion. Covers employees earning up to ₹21,000/month (3.25% employer + 0.75% employee).
Voluntary ESI Coverage	Less than 10 employees	Establishments employing under 10 workers can voluntarily opt into ESI scheme by mutual agreement.
Delayed Payment Penalty	Statutory Due Date (15th of next month)	Simple interest of 12% per annum payable for delayed deposit of statutory EPF/ESI dues.

Recognized Medical Practitioners under ESI

The 2026 Central Rules expand the panel of authorized ESI medical practitioners to include qualified practitioners registered under Allopathic, AYUSH (Ayurveda, Yoga, Unani, Siddha), and Homoeopathy systems of medicine.

⚠️ Single Registration Portal: Every establishment covered under the Code must register electronically on the unified Shram Suvidha / EPFO / ESIC web portal to obtain a LIN (Labour Identification Number).

💰 Gratuity Rules & Fixed-Term Employees (Chapter V, Rules 14 to 21)

Landmark Reform: 1-Year Gratuity for Fixed-Term Employees (FTE)

The Code on Social Security 2020 and 2026 Central Rules introduce a historic benefit for Fixed-Term Employees:

Regular Employees

Requires minimum 5 years continuous service with the employer to qualify for gratuity payout upon resignation/retirement.

Fixed-Term Employees (FTE)

Eligible for pro-rata gratuity upon completing 1 year (12 months) of continuous service under employment contract.

Statutory Payout Cap

Maximum statutory tax-free gratuity payable is ₹20 Lakhs (subject to Central Government revision).

Gratuity Calculation Formula

Gratuity is calculated at the rate of 15 days' wages for every completed year of service based on the last drawn basic salary and Dearness Allowance:

Gratuity Payout = (Last Drawn Monthly Basic + DA) × (15 / 26) × Completed Years of Service

Employee Category	Min Service for Gratuity	Calculation Basis	Notice of Payout
Regular Permanent Worker	5 Years continuous service	15 days pay per year of service	Within 30 days of application
Fixed-Term Contract (FTE)	1 Year (12 months) contract	Pro-rata 15 days pay per year	Paid upon contract expiry
Death / Disablement	No minimum service required	Calculated based on tenure length	Paid immediately to nominee

🤱 Maternity Benefits & Crèche Facility Rules (Chapter VI, Rules 22 to 28)

26 Weeks Paid Leave

Female employees with up to 2 surviving children get 26 weeks paid leave (8 weeks pre-delivery, 18 weeks post-delivery).

Medical Bonus

Statutory medical bonus of ₹3,500 payable if pre-natal confinement and post-natal care is not provided free by employer.

Work-From-Home Option

After 26 weeks paid leave, employer may allow WFH if nature of work permits, on mutually agreed terms.

Mandatory Crèche Facility (Establishments with 50+ Employees)

Every industrial establishment employing 50 or more employees must provide a crèche facility:

Distance Threshold: Crèche must be located within establishment premises or within 500 meters distance.
Daily Visits: Female employees are entitled to 4 visits a day to the crèche (including rest intervals).
Shared / Common Crèche: Employers may pool resources to operate a shared common crèche facility.

Maternity Event	Statutory Paid Leave Entitlement	Notice / Documentation
Up to 2 Surviving Children	26 Weeks fully paid maternity leave	Notice in Form M with medical cert.
3rd Child onwards	12 Weeks fully paid maternity leave	Notice in Form M with medical cert.
Miscarriage / Medical Termination	6 Weeks paid leave immediately following date of event	Registered Medical Practitioner Cert.
Adoption (Child < 3 months) / Commissioning Mother	12 Weeks paid leave from date child is handed over	Adoption / Surrogacy legal papers

🛵 Gig Workers, Platform Workers & Aggregator Fund (Chapter IX, Rules 29 to 35)

Historic Statutory Protection for Gig & Platform Economy

The Code on Social Security 2020 is the first statutory law globally to provide formal social security to Gig Workers and Platform Workers:

Aggregator Contribution

Aggregators (delivery, ride-hailing, e-commerce, logistics) must contribute 1% to 2% of annual turnover into Social Security Fund.

5% Payout Cap

Aggregator contribution is capped at 5% of the total amount paid or payable to gig/platform workers.

Aadhaar Portal Registration

Gig workers must register on Aadhaar-linked central portal (e-Shram) to receive a Universal Security ID.

Social Security Benefits for Gig & Platform Workers

Life & Disability Cover: Natural death insurance, accidental death cover, and permanent disability support.
Health & Maternity Benefits: Outpatient medical reimbursement and hospitalization coverage for female gig workers.
Old Age Protection: Pension / annuity schemes funded jointly by Central Govt, State Govts, and Aggregators.

Aggregator Category	Statutory Contribution Basis	Social Security Coverage
Ride-Hailing & Logistics (Cab/Bike)	1-2% of Annual Turnover (Max 5% payout)	Life/Accident Insurance, Medical Cover
Food Delivery & E-Commerce	1-2% of Annual Turnover (Max 5% payout)	Disability Insurance, Pension Scheme
Marketplace & Professional Platforms	1-2% of Annual Turnover (Max 5% payout)	Health & Maternity Support Fund

👷 Construction Cess, Employees' Compensation & Vacancy Reporting (Chapters VIII & X)

Building & Other Construction Workers (BOCW) Welfare Cess

Every employer executing construction work exceeding ₹10 Lakh cost must pay a statutory welfare cess:

Cess Rate: 1% to 2% of the total cost of construction incurred by an employer.
Payment Timeline: Deposited within 30 days of completion of construction or monthly advance billing.

Employees' Compensation for Occupational Injury / Disease

In case of personal injury, occupational disease, or death arising out of and in the course of employment:

Compensation Event	Statutory Compensation Formula	Minimum / Maximum Limits
Death due to Injury	50% of Monthly Wages × Relevant Factor	Min ₹1,20,000 (plus ₹15,000 funeral expenses)
Permanent Total Disablement	60% of Monthly Wages × Relevant Factor	Min ₹1,40,000
Temporary Disablement	Half-monthly payment of 25% of wages	Paid for duration of disablement (up to 5 years)

Mandatory Job Vacancy Reporting to National Career Service (NCS)

Under Chapter X, all public sector and private sector establishments employing 20+ workers must report job vacancies to designated Career Centres (NCS Portal) at least 15 days before filling vacancies (except jobs paying under ₹11,000/month).

📄 Official PDF Notifications & Downloads

Access and download official Central Gazette Notifications for the Social Security (Central) Rules, 2026 published by the Ministry of Labour & Employment, Government of India:

PDF

Social Security (Central) Rules, 2026 — Final Notification

Notification File: 49aa9b62c2125499c37399b90e969d67.pdf | May 2026 Gazette (G.S.R. 344(E))

⬇️ Download PDF

PDF

Social Security (Central) EPF, ESI & Gratuity Rules Schedule

Notification File: b602569a9cd014c49d91472b6a22b24c.pdf | Dec 2025 Release

⬇️ Download PDF

PDF

Social Security (Central) Gig Workers & BOCW Cess Guidelines

Notification File: 499dd17f6bcb3797d511c0f69c20b953.pdf | Jan 2026 Schedule

⬇️ Download PDF

📌 Official Portal Link: For further updates and official circulars, visit the official portal of Ministry of Labour & Employment: www.labour.gov.in

The Occupational Safety, Health and Working Conditions (Central) Rules, 2026

2026-01-09T23:44:00.000+05:30

HRINFO STATUTORY COMPLIANCE GUIDE

The Occupational Safety, Health and Working Conditions (Central) Rules, 2026

Final Notification & Operational Safety Framework under the OSH&WC Code, 2020 (Central Sphere)

🏛️ Authority: Ministry of Labour & Employment

📜 Gazetted Notification: May 2026 Rules (G.S.R. 345(E))

⚡ Status: Active Central Rules

⚖️

13 Acts

Consolidated in One OSH Code

🏥

Age 40+

Mandatory Annual Health Check

📜

Mandatory

Written Appointment Letters

📈

2x Rate

Mandatory Overtime Pay Rate

📋 Overview & Consolidation Framework

Amalgamation of 13 Central Safety & Health Acts

The Occupational Safety, Health and Working Conditions (Central) Rules, 2026 operationalize the OSH Code, 2020, replacing 13 legacy Central labour enactments with a single modern safety code:

1. Factories & Mines Acts

Consolidates Factories Act 1948 and Mines Act 1952, standardizing workplace environmental and operational safety standards.

2. Docks, Construction & Transport

Integrates Dock Workers Act 1986, BOCW Act 1996, and Motor Transport Workers Act 1961 into uniform safety guidelines.

3. Contract & Migrant Workers

Replaces Contract Labour Act 1970 and Inter-State Migrant Workmen Act 1979, introducing single digital contractor licensing.

Applicability & Central Sphere Jurisdiction

Central Sphere Scope: Applies to all establishments under Central jurisdiction including Mines, Major Ports, Dock Work, Railways, Oilfields, Telecom, Banking, and Building & Other Construction Work carried out by Central authorities.
Universal Establishment Coverage: Applies to all establishments employing 10 or more workers (or specified hazardous sectors regardless of worker count).
National OSH Advisory Board: Tripartite body constituted to advise Central Government on framing workplace safety standards and occupational health regulations.

💡 Digital Single Window: The 2026 Central Rules mandate electronic filing for registrations, licenses, accident notifications, and single web-based annual returns via the Shram Suvidha portal.

🏢 Registration of Establishments & Appointment Letters (Chapter II, Rules 3 to 11)

The 2026 Central Rules introduce a streamlined electronic registration process and mandate written employment contracts for all employees.

Compliance Requirement	Statutory Form & Process	Central Rules Mandate
Online Registration	Form I via Shram Suvidha Portal	Mandatory for establishments with 10+ workers. Auto-generated electronic certificate issued upon filing.
Deemed Registration	7 Days Auto-Approval	If registration is not granted or rejected within 7 days, the establishment is deemed registered.
LIN Assignment	Labour Identification Number	Unique LIN allocated to each establishment for single-window compliance tracking.
Appointment Letter	Mandatory for ALL Employees	Employer must issue a written appointment letter within 3 months of commencement specifying designation, wages & terms.

Mandatory Contents of Statutory Appointment Letter

Under Rule 11, every appointment letter issued to an employee must include:

Name, Father's/Spouse's Name, Aadhaar Number, and Permanent Address of the employee.
Designation, Skill Category (Unskilled, Semi-skilled, Skilled, Highly Skilled), and Place of Work.
Wage Rate, Pay Period (Daily/Weekly/Monthly), Allowance breakup, and PF/ESI eligibility.

⚠️ Transition Period for Existing Establishments: Existing registered establishments must update their details electronically on the Shram Suvidha portal within 6 months from commencement of the Rules.

🏥 Free Medical Check-ups, Safety Committees & Safety Officers (Chapters III & IV)

Mandatory Free Annual Medical Check-up (Age 40+)

The 2026 Central Rules mandate that employers provide free annual medical check-ups for specific worker categories:

Target Worker Age

Applies to all employees aged 40 years and above employed in factories, mines, docks, and construction work.

Employer Expense

Check-ups are 100% free of cost for workers. Employer maintains employee medical check-up calendars.

Medical Certificate

Medical Practitioner issues fitness certificate in Form II within 15 days of examination.

Statutory Safety Committees & Safety Officers Thresholds

The 2026 Central Rules prescribe clear employee thresholds for setting up dedicated safety infrastructure:

Establishment Type	Safety Committee Threshold	Safety Officer Threshold
Factories	500 or more workers (or 250+ in hazardous factories)	500 or more workers (or 250+ in hazardous factories)
Mines	100 or more workers	100 or more workers
Building & Construction (BOCW)	250 or more workers	250 or more workers

💡 Safety Committee Composition: Safety Committees must have equal representation of employer and worker representatives. The tenure of committee members is 2 years.

⏰ Working Hours, Rest Intervals & Overtime (Chapter V, Rules 26 to 34)

8-Hour Daily Limit

Maximum 8 hours of work per day (48 hours weekly limit) across all industrial establishments.

12-Hour Spreadover

Maximum daily spreadover (work plus rest intervals) capped at 12 hours on any given day.

Double Overtime Rate

Overtime work beyond 8 hours/day or 48 hours/week paid at double the normal wage rate (200%).

Annual Earned Leave with Wages Rules

Rules regarding leave accumulation and encashment for workers under OSH Rules 2026:

Entitlement: 1 day of paid leave for every 20 days of work performed (for regular workers) / 1 day per 15 days (for underground mines).
Accumulation Limit: Workers can carry forward up to 30 days of earned leave to the succeeding calendar year.
Encashment: Unavailed leave exceeding 30 days must be encashed automatically by employer at the end of the calendar year.

Work Shift Category	Max Hours / Day	Max Spreadover	Mandatory Rest Break
General Factory / Office Shift	8 Hours	12 Hours	30 Minutes mandatory break after 5 hours
Mines (Above Ground)	8 Hours	12 Hours	30 Minutes mandatory break after 5 hours
Mines (Below Ground)	8 Hours	8 Hours (Including transit)	Staggered rest breaks

⚠️ Accident Reporting, Fatalities & Occupational Diseases (Chapter VI, Rules 35 to 42)

Mandatory Timeline for Reporting Fatal & Serious Accidents

In case of accidents or dangerous occurrences in an establishment, strict notice protocols apply:

Fatal Accident Notice

Immediate notice within 12 hours to Inspector-cum-Facilitator, District Magistrate, and Police in Form VI.

Serious Bodily Injury

Notice within 24 hours if injury prevents worker from returning to work for 48 hours or more.

Occupational Diseases

Notice in Form VII within 12 hours if worker contracts notified occupational diseases (e.g. Silicosis, Asbestosis).

Incident Category	Statutory Form	Reporting Deadline	Notified Authorities
Fatal Accident	Form VI	Within 12 Hours	Inspector-cum-Facilitator, DM, Police, Labour Comm.
Serious Bodily Injury (48+ hrs off)	Form VI	Within 24 Hours	Inspector-cum-Facilitator & ESI Authorities
Dangerous Occurrence (Fire/Explosion)	Form VI	Within 12 Hours	Inspector-cum-Facilitator & Chief Inspector
Notified Occupational Disease	Form VII	Within 12 Hours	Inspector-cum-Facilitator & Medical Inspector

⚠️ Site Protection Mandate: In fatal accidents, the place of accident must not be disturbed or altered for 3 days (72 hours) unless authorized by the Inspector-cum-Facilitator or necessary to prevent further danger.

🧳 Contract Labour Licensing & Inter-State Migrant Workers (Chapter VII, Rules 43 to 55)

Single Electronic Contractor License (50+ Workers)

The 2026 Central Rules raise the threshold for contract labour licensing from 20 to 50 or more contract workers:

Single Digital License: Single online license issued to contractors operating in multiple work orders / central sphere establishments.
Validity: Contractor license is valid for 5 years (subject to online renewal).

Statutory Welfare & Rights of Inter-State Migrant Workers

The OSH Rules 2026 introduce groundbreaking statutory protections for inter-state migrant workers:

Annual Journey Allowance

Employer must pay a lump sum annual journey allowance (bus/train fare) to migrant worker for visiting home town.

Toll-Free Helpline

Central Government operates a 24x7 toll-free helpline to register and resolve migrant worker grievances.

Portable Benefits

Inter-state migrant workers registered on portal get portable PDS food security and social security benefits.

Welfare Amenity	Mandatory Threshold	Employer Obligation
Canteen Facility	100 or more workers	Clean, hygienic canteen serving food at subsidized / reasonable rates.
First-Aid Boxes	Every establishment	1 First-aid box per 150 workers, maintained by trained first-aider.
Rest Rooms & Lunch Rooms	50 or more workers	Adequate, ventilated rest rooms separate for male and female workers.

📄 Official PDF Notifications & Downloads

Access and download official Central Gazette Notifications for the Occupational Safety, Health and Working Conditions (Central) Rules, 2026 published by the Ministry of Labour & Employment, Government of India:

PDF

OSH & Working Conditions (Central) Rules, 2026 — Final Notification

Notification File: ee246f790cad0b8e99c3828f34fa09a6.pdf | May 2026 Gazette (G.S.R. 345(E))

⬇️ Download PDF

PDF

OSH (Central) Safety Committees, Medical Check-ups & Standards Schedule

Notification File: 68ed1ca2d97e2849c07e9972370577b6.pdf | Dec 2025 Release

⬇️ Download PDF

PDF

OSH (Central) Contract Labour & Migrant Worker Licensing Forms

Notification File: d7a1038bf00f763484aa27a79a4c6306.pdf | Mar 2026 Schedule

⬇️ Download PDF

📌 Official Portal Link: For further updates and official circulars, visit the official portal of Ministry of Labour & Employment: www.labour.gov.in

FAQs - Code on Wages, 2019

2026-01-07T15:15:00.005+05:30

FAQs - Code on Wages, 2019 official link

The Ministry of Labour & Employment has released official FAQs on the new Labour Codes, and these clarifications are highly relevant for HR, payroll, and leadership teams planning their compliance roadmap. These FAQs reduce interpretation risks and give employers clearer policy direction, but they also signal the need to revisit salary structures, appointment letters, payroll logic, contractor engagement, and HR policies in a time‑bound manner. For HR leaders, this is the right time to move from basic awareness to structured readiness through policy reviews, system changes, and focused communication with employees. FAQs on Labour Codes

FAQs on Labour Codes

Q1. Which rules will be applicable during the transition period?

Ans: As per Section 6 of General Clauses Act, 1897, old rules will remain in force till final notification of new rules under the Code, to the extent these are in line with Codes.

Q2. What does the term “wages” mean?

Ans: Wages include all remuneration payable to an employee such as Basic Pay, Dearness Allowance, and Retaining Allowance. If other allowances exceed 50% of total remuneration, the excess amount is added back to wages.

Q3. Definition of wages and the components it would cover.

Ans: Wages include Basic Pay, Dearness Allowance, and Retaining Allowance. If allowances (except gratuity and retrenchment compensation) exceed 50%, the excess is added back. Performance incentives, ESOPs, and reimbursements are excluded.

Q4. What is the 50% rule for allowances?

Ans: If allowances exceed 50% of total remuneration, the excess is added back to wages for statutory purposes.

Q5. Whether Leave Encashment be part of allowances?

Ans: No. Leave encashment is not part of allowances as per Section 2(y) of Code on Wages, 2019.

Q6. Does this definition of wages apply to all labour laws?

Ans: Yes. This single definition applies across all four Labour Codes uniformly for statutory calculations.

Q7. Explain the allowance rule with a clear illustration.

Ans: Example: Total remuneration ₹76,000; Basic + DA ₹20,000; Allowances ₹40,000; Other components ₹16,000. Max allowance allowed: ₹38,000. Excess ₹2,000 added back to wages for compliance.

Q8. Whether Gratuity calculation will be applicable prospectively or retrospectively?

Ans: Gratuity applies prospectively from 21st Nov, 2025 (date of enforcement of the Code).

Q9. Clarification on gratuity calculation for December year-end companies.

Ans: Gratuity applies from 21st Nov, 2025. Establishments may make provisions as per accounting norms.

Q10. When is gratuity payable to an employee?

Ans: On termination, superannuation, resignation, death, disablement, expiration of fixed-term contract, or other notified events.

Q11. Are there special provisions for gratuity?

Ans: Completion of five years is not required in cases of death, disablement, or fixed-term expiration. For minors, gratuity is deposited with a competent authority.

Q12. How is gratuity calculated?

Ans: 15 days’ wages per completed year based on last drawn wages. Special cases apply for piece-rated, seasonal, and fixed-term employees. Max gratuity: ₹20 lakhs.

Q13. Does gratuity affect other agreements or awards?

Ans: No. Employees retain rights to better gratuity terms under awards, agreements, or contracts.

Q14. Whether a person drawing ₹18,000 or more is covered under OSH & WC Code?

Ans: No. Supervisory employees earning above ₹18,000 are excluded from the definition of worker.

Q15. Clarity on Core and Non-core activities.

Ans: Defined under OSH & WC Code, 2020 [Section 57]. Contract labour may be engaged for intermittent or time-bound core activities.

Q16. Whether Journey Allowance for ISMW within the State may be allowed?

Ans: Yes. Employers must pay to-and-fro journey allowance once a year from native place to place of employment.

Q17. How will ESI coverage be governed until finalisation of Rules?

Ans: The definition of wage applies from 21st Nov, 2025 with Code enforcement.

Industrial Relations code 2020 - FAQ

2026-01-07T15:02:00.012+05:30

Industrial Relations Code 2020 - FAQ official link

FAQs on Industrial Relations (IR) Code, 2020

Q1. Does the IR Code take back workers’ right to form trade unions?

Ans: No. Provisions related to registration of trade unions remain intact under Chapter-III of IR Code 2020.

Q2. Does IR Code ban all strikes?

Ans: No. The right to strike remains intact with a mandatory 14-day notice period before going on strike.

Q3. Does a worker need government permission to strike?

Ans: No permission is required. Only a 14-day prior notice is mandatory to facilitate timely conciliation and reduce conflict.

Q4. Does IR Code allow employers to retrench workers freely?

Ans: No. Mandatory one-month notice and retrenchment compensation continue. Prior permission is required for establishments with 300 or more workers.

Q5. Do trade unions lose their grievance redressal role?

Ans: No. Trade unions gain statutory backing as negotiating unions/councils. Bipartite forums like Works Committees and Grievance Redressal Committees ensure time-bound resolution.

Q6. Does the Code end job security and promote hire-and-fire?

Ans: No. Job security provisions remain with notice and compensation. Retrenchment for 300+ workers needs prior permission.

Q7. Is Fixed-Term Employment (FTE) exploitative?

Ans: No. FTE employees get all benefits equal to permanent employees, including gratuity after one year, appointment letters, and skill enhancement opportunities.

Q8. Can employers with less than 300 workers fire without restriction?

Ans: No. Notice and compensation rules apply. A re-skilling fund for retrenched workers is introduced for welfare.

Q9. Is the conciliation mechanism abolished?

Ans: No. It is streamlined with compulsory conciliation for strike notices, fixed timelines, and digital processes for faster dispute resolution.

Q10. Are Labour Courts abolished?

Ans: Labour Courts and Tribunals are replaced with a simplified two-tier tribunal system with two-member panels for speedy justice.

Q11. Can workers still collectively bargain or protest?

Ans: Yes. Mandatory recognition of negotiating unions/councils strengthens structured bargaining.

Q12. Does industry closure no longer need approval?

Ans: No. Lay-off, retrenchment, and closure are regulated. Industries with 300+ workers need prior government permission.

Q13. Is workers’ participation in management removed?

Ans: No. Workers’ participation is ensured through Works Committees and Grievance Redressal Committees.

Q14. Are penalty provisions removed?

Ans: No. Penalties have been substantially increased and made commensurate with offences.

Q15. Does IR Code centralize all labour powers?

Ans: No. Labour is a concurrent subject. States retain powers as appropriate governments under the Codes.

Q16. Will abolition of Labour Courts delay justice?

Ans: No. Two-member Industrial Tribunals will deliver justice faster.

Q17. Does the Code favor employers only?

Ans: No. It protects workers through negotiating unions, committees, safeguards before retrenchment, and effective dispute resolution.

Q18. Are sales promotion employees excluded?

Ans: No. They are recognized under the definition of ‘worker’ in the IR Code.

Q19. Are journalists excluded as freelancers?

Ans: No. Working journalists employed in newspapers/agencies are included under the definition of worker.

OSH Code 2020 - FAQ

2026-01-07T14:44:00.012+05:30

OHS code 2020 - FAQ official link

FAQs on Occupational Safety, Health and Working Conditions (OSH) Code, 2020

Q1. Whether raising the threshold for definition of “factory” will exclude workers from safety and welfare protections?

Ans: No. The rights of workers regarding health, safety and welfare would be protected as these provisions are applicable for establishments having 10 or more employees.

Q2. Does increased licensing threshold for contract labour from 20 to 50 deprive contract workers of protections?

Ans: No. All establishments having 10 or more employees must comply with safety and welfare measures. The increased licensing threshold is for administrative ease and does not affect workers’ entitlements/protections.

Q3. Will allowing flexibility in working hours up to 12 hours per day exploit workers?

Ans: No. The Code prescribes 8 hours per day and 48 hours per week as standard, with flexibility to extend daily hours with worker consent and payment of overtime at twice the wage rate.

Q4. Is it unsafe to allow women to work at night?

Ans: No. Women have the right to work in any establishment and night shift with safeguards like adequate safety, transport, and security arrangements. Consent of the woman worker is mandatory.

Q5. Will replacing inspectors with inspector-cum-facilitators weaken enforcement?

Ans: No. The new system promotes transparent, technology-based inspections while maintaining accountability and facilitating compliance.

Q6. Are health and welfare facilities limited to large establishments only?

Ans: No. The Code mandates health and safety provisions for all establishments with 10 or more employees.

Q7. Will rationalization of 13 labour laws into one Code dilute workers’ rights?

Ans: No. The Code simplifies and harmonizes provisions without reducing protections. It removes ambiguities and ensures consistency.

Q8. Is portability of migrant worker benefits ineffective?

Ans: No. The Code requires a toll-free helpline for Inter-State Migrant Workers (ISMW) to address grievances.

Q9. Will state rule-making powers dilute worker protections?

Ans: No. Labour is in the Concurrent List, allowing states to make rules responsive to local conditions while maintaining core protections.

Q10. Are employer duties limited to regular workers only?

Ans: No. The Code covers all workers, including contract and inter-state migrant workers.

Q11. Is allowing women in hazardous occupations unsafe?

Ans: No. Women can work in any occupation with adequate safety measures and safeguards.

Q12. Are fixed-term employment workers excluded from protections?

Ans: No. They receive all benefits like appointment letters and annual health check-ups.

Q13. Does OSH & WC Code favour employers by reducing penalties?

Ans: No. Penalties are rationalized, and serious safety breaches attract severe penalties including imprisonment.

Q14. Does the Code provide welfare facilities for transgender workers?

Ans: Yes. The Code mandates separate bathing, toilet, and restrooms for transgender workers, ensuring dignity and privacy.

Q15. Are drivers covered under the OSH Code?

Ans: Yes. Motor Transport Workers, including drivers, are covered for safety, health, welfare, working hours, and rest intervals.

Q16. Are contract workers covered for welfare facilities?

Ans: Yes. Welfare facilities will be provided by the principal employer.

Q17. Are stuntmen and dubbing artists excluded?

Ans: No. They are covered under the definition of audio-visual workers and receive safety and welfare benefits.

Q18. What is the minimum criterion for annual leave with wages?

Ans: A worker must have worked 180 or more days in a calendar year.

Q19. Can contract labour workers get an experience certificate?

Ans: Yes. They can demand an experience certificate from the concerned contractor.

FAQ on Labour Codes

2026-01-07T14:31:00.010+05:30

Labour Codes FAQ official link
The Ministry of Labour & Employment has released official FAQs on the new Labour Codes, and these clarifications are highly relevant for HR, payroll, and leadership teams planning their compliance roadmap. These FAQs reduce interpretation risks and give employers clearer policy direction, but they also signal the need to revisit salary structures, appointment letters, payroll logic, contractor engagement, and HR policies in a time‑bound manner. For HR leaders, this is the right time to move from basic awareness to structured readiness through policy reviews, system changes, and focused communication with employees. FAQs on Labour Codes

Q1. Which rules will be applicable during the transition period?

Ans: As per Section 6 of General Clauses Act, 1897, old rules will remain in force till final notification of new rules under the Code, to the extent these are in line with Codes.

Q2. What does the term “wages” mean?

Q3. Definition of wages and the components it would cover.

Q4. What is the 50% rule for allowances?

Ans: If allowances exceed 50% of total remuneration, the excess is added back to wages for statutory purposes.

Q5. Whether Leave Encashment be part of allowances?

Ans: No. Leave encashment is not part of allowances as per Section 2(y) of Code on Wages, 2019.

Q6. Does this definition of wages apply to all labour laws?

Ans: Yes. This single definition applies across all four Labour Codes uniformly for statutory calculations.

Q7. Explain the allowance rule with a clear illustration.

Q8. Whether Gratuity calculation will be applicable prospectively or retrospectively?

Ans: Gratuity applies prospectively from 21st Nov, 2025 (date of enforcement of the Code).

Q9. Clarification on gratuity calculation for December year-end companies.

Ans: Gratuity applies from 21st Nov, 2025. Establishments may make provisions as per accounting norms.

Q10. When is gratuity payable to an employee?

Ans: On termination, superannuation, resignation, death, disablement, expiration of fixed-term contract, or other notified events.

Q11. Are there special provisions for gratuity?

Ans: Completion of five years is not required in cases of death, disablement, or fixed-term expiration. For minors, gratuity is deposited with a competent authority.

Q12. How is gratuity calculated?

Ans: 15 days’ wages per completed year based on last drawn wages. Special cases apply for piece-rated, seasonal, and fixed-term employees. Max gratuity: ₹20 lakhs.

Q13. Does gratuity affect other agreements or awards?

Ans: No. Employees retain rights to better gratuity terms under awards, agreements, or contracts.

Q14. Whether a person drawing ₹18,000 or more is covered under OSH & WC Code?

Ans: No. Supervisory employees earning above ₹18,000 are excluded from the definition of worker.

Q15. Clarity on Core and Non-core activities.

Ans: Defined under OSH & WC Code, 2020 [Section 57]. Contract labour may be engaged for intermittent or time-bound core activities.

Q16. Whether Journey Allowance for ISMW within the State may be allowed?

Ans: Yes. Employers must pay to-and-fro journey allowance once a year from native place to place of employment.

Q17. How will ESI coverage be governed until finalisation of Rules?

Ans: The definition of wage applies from 21st Nov, 2025 with Code enforcement.

HR Info – Human Resources Insights & Updates

EPFO WAGE CEILING REVISED TO ₹25,000 Frequently Asked Questions (FAQ)

EPFO Wage Ceiling Revised

EPFO Wage Ceiling Increased to ₹25,000 Per Month - w.e.f 17th Sep'2026

EPFO Wage Ceiling Increased to ₹25,000 Per Month

📌 Overview of the Wage Ceiling Revision

📜 Official Gazette Notification Details

📑 What Does Notification S.O. 5109(E) State?

📄 Official Gazette Notification – Embedded PDF

⚖️ Earlier vs Revised Wage Ceiling Comparison

💡 Key Clarification for HR & Payroll Teams

📋 Action Checklist for Employers & Payroll Administrators

❓ Frequently Asked Questions (FAQs)

🏛️ Official Sources & References

EPFO PF Interest Calculator

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The Occupational Safety, Health and Working Conditions (Andhra Pradesh) Rules, 2026 Final Notification

ANDHRA PRADESH OSH & WC RULES, 2026

🏢 Establishment Registration (Rule 4)

🩺 Annual Health Examination (Rule 12)

📄 Appointment Letter (Rule 8)

⚠️ Accident Reporting (Rule )

🦺 Safety Committee (Rule 22)

⏱ Working Hours (Rule 24)

Death due to accident

Injury causing 48+ hours inability to work

Dangerous occurrence

Fitness before return

⏱ Weekly Limit

☕ Rest Interval

🕐 Daily Spread

Overtime — Key Points

📋 Leave Record

🏥 Medical Certificate

💰 Exit / Death

📄 Licensing

🏭 Principal Employer

💵 Minimum Wages

🏦 Wage Payment

🛡 Social Security

📑 Work Order Intimation

🚆 Journey Allowance

📊 Data Reporting

☎️ Helpline

THE CODE ON SOCIAL SECURITY (ANDHRA PRADESH) RULES, 2026 FINAL FINAL NOTIFICATION • 07 JULY 2026 • G.O.Rt.No. 126

THE CODE ON SOCIAL SECURITY (ANDHRA PRADESH) RULES, 2026

📄 Official Gazette Notification PDF

🏢 Common Registration

💰 Gratuity Rules & Fixed Term

🤱 Maternity & Crèche Rules

🏥 AP ESI Society

🪵 Social Security Boards

📑 Unified Annual Return

📜 Certificate & Notice

☕ Nursing Breaks

💵 Tubectomy & Medical Bonus

Crèche Facilities [Rule 24]

AP ESI Society [Rule 13]

Unorganised Workers Social Security Board [Rule 4]

BOCW Welfare Board & Schemes [Rules 9 – 11]

Employees' Insurance Court [Rule 16]

STAY UPDATED WITH HRINFO

Andhra Pradesh Code on Wages Rules, 2026 – Final Notification Issued

Introduction

📄 Official Gazette Notification PDF

Overview

Objective

Effective Date

Applicable State

Applicable Law

Chapter I

Preliminary

Introduction

Objectives

Applicability

Quick HR Compliance Checklist

Preliminary

Short Title and Commencement

Purpose of Chapter I

Important Definitions