Social Security explained: this guide covers what it means, who it applies to, the step-by-step process, documents required, fees, due dates and penalties in India — so you can stay compliant with confidence and avoid costly mistakes.
The Code on Social Security (Ladakh) Rules, 2026 are the Administration's rules under sections 154 and 156 of the Code on Social Security, 2020. For employers in Ladakh the practical parts are the two Boards, the time limit for building cess, the appeal fee, the registers and unified annual return, compounding and the reporting of vacancies to Career Centres.
Cess on a construction project is payable to the Cess Collector within thirty days of completion or of the finish of assessment, whichever is earlier; for projects over one year, within thirty days of each year's completion. The unified annual return in Form XXII is due online on or before 1 February each year, and records under Chapter V are preserved for three years. Private-sector establishments with ordinarily twenty or more employees report vacancies to the Career Centre from the date the Administration notifies.
The rule set
This article explains the Code on Social Security (Ladakh) Rules, 2026, as notified by S.O.224 dated 20 July 2026 (Gazette Extraordinary of 10 August 2026). Later amendments and State notifications under these rules should be checked in the State Gazette. Rule 1(3) reads: "They shall come into force after the date of their final publication in the Official Gazette." Rule 1(2) extends them to the whole Union Territory.
The preamble records supersession of the Jammu and Kashmir Workmen's Compensation Rules, 1972, Payment of Gratuity Rules, 1973, Maternity Benefit Rules, 1974, the Building and Other Construction Workers rules of 2006 and the Unorganised Workers' Social Security Rules, 2010, "save as respects things done or omitted to be done before such repeal". The draft (S.O. 183 dated 29 April 2026) drew no objections. Gratuity, maternity and compensation rules are in the companion article.
For the Central context see rules 1 and 2 and rule 5 on registration of establishments. Employers wanting a review of obligations in Ladakh can use our labour law compliance service.
The two Boards (rules 3 to 18)
Rule 3 constitutes the Ladakh Unorganised Workers' Social Security Board by Gazette notification under section 6(9). The Administration, in nominating members from unorganised workers, their employers and civil society, considers nominations from those groups. Members other than ex-officio members hold office for a period "not exceeding three years" and not more than two terms (rule 4); of seven persons nominated under the unorganised-workers clause, one each is from the Scheduled Castes, Scheduled Tribes, Minorities and Women. The Board meets at least once a quarter, with two weeks' notice, and a quorum of one-third including at least one non-official member (rules 11 to 13).
Rules 14 to 18 constitute the Ladakh Building and Other Construction Workers' Welfare Board. The term of the Chairperson and members is three years, and the Board, with the Administration's prior approval, notifies schemes and welfare measures, stating eligibility limits, benefits, application procedure, the competent authority and manner of payment (rule 18). Nothing in these rules puts a filing duty on an employer here, but a contractor in the building trade will deal with the Board's schemes through the cess and registration rules below.
Chapter VIII (rules 39 and 40) governs Board finance: property, investment and loans are as the Board decides by resolution with not less than a two-thirds majority, and irrecoverable dues may be written off where, for example, the establishment has been closed for more than five years and the employer cannot be traced.
Cess and the appeal fee (rules 37 and 38)
| Obligation | Rule | As printed |
|---|---|---|
| Cess payment | 37(1) | To the Cess Collector within thirty days of completion of the project or within thirty days of the date assessment is finished, whichever is earlier |
| Long projects | 37(2) | Where the project exceeds one year, within thirty days of completion of one year from commencement and every year thereafter, at the notified rates on the cost of construction incurred in the period |
| Appeal fee | 38 | Non-refundable fee "equivalent to half per cent, but not exceeding rupees twenty five thousand" of the amount in dispute or penalty or both, paid on the portal |
The rules do not print the cess rate: rule 37 speaks of "notified rates". An employer must take the rate from the Administration's notification. The Central posts are rule 41 on collection and refund and rules 42 to 44 on time limit, penalty and appeal.
Authorities, records and returns (rules 41 to 46)
Rule 41 lets the Administration give the Inspector-cum-Facilitator further powers beyond section 122(6). Rule 42 requires every employer of an establishment where women are employed to keep a register of women employees in Form XXI, electronically or in hard copy, available for inspection. Rule 43 requires a register of employees, register of wage period and hours and deductions, register of leave wages and a register of employment, occupational details and vacancies, in such forms as the Administration specifies by general or special order.
Rule 44: records for Chapter V are preserved for three years from the date of their preparation. Rule 45(1): an employer to whom Chapter V applies uploads a unified annual return in Form XXII on the Administration's web portal "on or before the 1st day of February in each year" for the preceding year. On sale, abandonment or discontinuance, a further return in Form XXII for the period to that date is uploaded within one month (sale or abandonment) or four months (discontinuance). Rule 46 requires a notice at or near the main entrance in bold letters in English, Hindi and a language understood by most employees, naming the officer authorised to receive notices under the Code. The Central posts are rule 53 on records and registers and the Forms XXII and XXIII post.
Compounding (rules 47 and 48)
The Administration may appoint, by Gazette notification, a person not below the rank of Assistant Labour Commissioner to compound offences under section 138. That officer issues a compounding notice in Form XXIII electronically; the person applies in Part III and deposits "the entire compounding amount" within fifteen days of receipt. The composition certificate in Part IV is issued within ten days of receiving the amount. If the amount is not deposited in time, prosecution is instituted. After prosecution starts the court may compound, and section 359 of the BNSS, 2023 applies (rule 48(5)). The rules print no compounding sum. See Central rule 54.
Reporting of vacancies (rule 49)
| Point | Rule | As printed |
|---|---|---|
| Public sector | 49(1)(a) | Report before filling any vacancy, to the Career Centre specified by the Administration |
| Private sector | 49(1)(b) | Before filling a vacancy, from such date as the Administration specifies by notification |
| Private-sector size | Explanation (2) | Ordinarily twenty or more employees or such number as the Administration notifies |
| Receipt | 49(1)(c) | Unique vacancy reporting number conveyed not later than three working days from receipt |
| Form | 49(3) | Form XXIV, in writing, by official email or digitally |
| Time limit | 49(4) | At least fifteen days before the last date for receiving applications, or for interview or test |
| Yearly return | 49(6) | Form XXV within thirty days of the due date, 31 March |
| Records | 49(5) | Public sector: employees on 31 March, persons recruited, occupational details, unfilled vacancies, vacancies likely next year; private sector from the date notified |
The Central posts are rules 55 and 56 on career centres and reporting of vacancies. Penalty for failing to report is under section 133 of the Code, with the Director or Deputy Director of Employment as the competent authority to approve institution of the levy (rule 49(8)); the rules print no amount.
The Ladakh Social Security Fund and exemptions (rules 50 to 53)
Rule 50 constitutes the Ladakh Social Security Fund for schemes for unorganised workers, with credits that include Administration grants, registration or renewal amounts and CSR contributions; its accounts are audited by the Comptroller and Auditor General of India or another notified agency. Rules 51 and 52 impose conditions on establishments exempted under section 143, including fresh application on a merger, demerger or sale, and a Board of Trustees that meets at least once every three months with the employer as Chairperson. Rule 53 requires a copy of Form VIII (gratuity notice) to be shared electronically with the designated authority and the Director General, Labour Bureau.
Example. Pangong Builders, an invented contractor in Leh, begins a hotel project that will last eighteen months. Under rule 37(2), cess at the notified rate on the cost incurred is due within thirty days of completing the first year and again each year after. If it files a Form XXII return, it uploads it by 1 February for the previous year.
Common lapses
- Treating cess as due only at completion on a project that runs past a year.
- Missing the 1 February upload date for Form XXII.
- Not maintaining a Form XXI register where women are employed.
- Waiting for a reminder to start vacancy reporting once the Administration has notified the date.
Need help with social security compliance in Ladakh?
If you run a construction firm or a private establishment in Ladakh and want your cess, returns and vacancy reporting checked against these rules, our labour law compliance service can help you set up the calendar.
Key takeaways
- Cess: thirty days from completion or finish of assessment, whichever is earlier; yearly for projects over one year.
- Appeal fee: half per cent of the amount in dispute, capped at rupees twenty five thousand.
- Form XXII annual return by 1 February; Chapter V records kept three years.
- Compounding notice in Form XXIII; deposit within fifteen days.
- Vacancy reports to the Career Centre at least fifteen days before the last date for applications.
Read next
- Code on Social Security (Ladakh) Rules, 2026: gratuity, maternity benefit and employees' compensation
- Code on Wages (Ladakh) Rules, 2026: notification, minimum wages and hours
- Section 154 and 155 of the Social Security Code: power to make rules
Disclaimer: Based on the State or Union territory rules named above, as notified under the Labour Codes and consulted on 4 October 2026. Later amendments, State notifications, fees and forms should be checked in the State Gazette and on the State labour department website. This article is general information, not legal advice; check the official text before acting.