Labour Code Advisor

Ministry of Labour and Employment

Code on Social Security, 2020 →

Section 127 regarding simple interest

Ministry of Labour and Employment published this gazette notification (Gazette ID: CG-DL-E-30052026-272998) on 30 May 2026 (issued 29-May-2026), filed under Extra Ordinary, related to the Code on Social Security, 2020. The purpose of this notification is to ensure employers comply with the Code on Social Security 2020 by imposing a simple interest penalty for delayed payments.

Issue Date
Published
Gazette ID CG-DL-E-30052026-272998
Category Extra Ordinary
Part & Section Part II-Section 3-Sub-Section (ii)
Related Code Code on Social Security, 2020
Download PDF View Original on egazette.gov.in
Statutory Compliance Summary

Action Required

Employers must ensure timely payment of contributions and due amounts to avoid the 12% simple interest per annum. They should review their payment schedules and adjust them accordingly to comply with the Code on Social Security 2020.

Target Roles:
HR DirectorPayroll ManagerCompliance OfficerEmployer
Industries Impacted:
All

Statutory Penalty Risk

12% simple interest per annum as per Section 127 of the Code on Social Security 2020

Statutes & Rules Amended

  • Code on Social Security 2020
  • Section 127

Purpose

The purpose of this notification is to ensure employers comply with the Code on Social Security 2020 by imposing a simple interest penalty for delayed payments.

Summary

The Ministry of Labour and Employment has issued a gazette notification specifying that employers are liable to pay 12% simple interest per annum on delayed contributions or due amounts under the Code on Social Security 2020. This interest is calculated from the due date until the actual payment date, emphasizing the importance of timely payments.

Frequently Asked Questions

Which ministry issued this gazette notification (CG-DL-E-30052026-272998)?
Ministry of Labour and Employment issued this notification, published on 30-May-2026.
What is Gazette Notification CG-DL-E-30052026-272998 about?
The purpose of this notification is to ensure employers comply with the Code on Social Security 2020 by imposing a simple interest penalty for delayed payments.
Where can I find the official PDF for this notification?
The official gazette PDF is published on egazette.gov.in. An archived copy is also available for download directly from this page, in case the official portal is temporarily unavailable.
Which Labour Code does this notification relate to?
This notification relates to the Code on Social Security, 2020.
What compliance action is required under Gazette Notification CG-DL-E-30052026-272998?
Employers must ensure timely payment of contributions and due amounts to avoid the 12% simple interest per annum. They should review their payment schedules and adjust them accordingly to comply with the Code on Social Security 2020. No specific compliance deadline is specified in this notification.
Who is impacted by Gazette Notification CG-DL-E-30052026-272998?
This notification primarily targets HR Director, Payroll Manager, Compliance Officer, Employer across the All sector(s).
What are the statutory penalties for non-compliance with Gazette Notification CG-DL-E-30052026-272998?
Non-compliance with the provisions of this notification may attract: 12% simple interest per annum as per Section 127 of the Code on Social Security 2020.

Source: egazette.gov.in ·