(1) The Fund shall vest in and be held and applied by the Board as trustees subject to the provisions and for the purposes of this Act. The moneys therein shall be utilized by the Board to defray the cost of carrying out measures which may be specified by the Government, from time to time, for promoting the welfare of labour and of their dependents.
(2) Without prejudice to the generality of the provisions in sub section (1), the money in the Fund may be utilized by the Board to defray expenditure on the following:
(a) labour welfare centres under the control of the Labour Department of the Government;
(b) reading rooms and libraries;
(c) games and sports;
(d) community necessities;
(e) excursions tours and holiday homes;
(f) entertainment and other forms of recreation;
(g) home industries and subsidiary occupations for women and unemployed persons;
(h) corporate activities of social nature;
(i) vocational training;
(j) convalescent homes for tuberculosis patients;
(k) pre schools;
(l) nutritious food to children of employees;
(m) construction and maintenance of the labour welfare centre buildings;
(n) cost of administering the Act including the salaries and allowances of the staff appointed for the purposes of the Act;
(o) medical aid to employees for specialised treatment in deserving cases; and
(p) such other objects as would in the opinion of the Government improve the standard of living and ameliorate the social conditions of labour; Provided that the Fund shall not be utilized in financing any measure which the employer is required under any law for the time being in force to carry out;
Provided further that unpaid accumulations and fines shall be paid to the Board and be expended by it under this Act, notwithstanding anything in the Payment of wages Act, 1936, or any other law for the time being in force..
(3) The Board may, with the approval of the Government make a grant out of the Fund to any employer, any local authority or any other body in aid of any activity for the welfare or labour approved by the Government.
(4) If any question arises whether any particular expenditure is or is not debitable to the Fund, the matter shall be referred to the Government, whose decision thereon shall be final.
(5) It shall be lawful for the Board to continue any activity financed from the labour welfare fund of any establishment, if the said fund is duty transferred to the Board.