Labour Hub › Social Security Code › Sections › Section 110

Code on Social Security, 2020 · 9

Section 110: Funding of State Government schemes

Reviewed by Finin2min Editorial Desk · Last reviewed 30 August 2026

Section 110 — Governs funding of state government schemes and the rights, duties, powers or procedure expressly stated in this section. Key operative text: (1) Any scheme notified by the State Government under sub-section (2) of section 109 may be— (a) wholly funded by the State Government; or (b) partly funded by the State Government, partly funded through contributions…

Full official textSource checked: 20 August 20260 direct Central Rule link(s)

Current-law status

The Code was commenced in stages: section 142 had earlier commencement, S.O. 5319(E) brought the specified provisions into force from 21 November 2025, and later commencement instruments must be read with the current India Code footnotes for the remaining clauses.

Primary sources

Provision / India Code ↗ · Official Act PDF ↗ · 2026 Central Rules ↗

Finin2min analysis — what the section actually does

Operative clauses

(1) Any scheme notified by the State Government under sub-section (2) of section 109 may be— (a) wholly funded by the State Government; or (b) partly funded by the State Government, partly funded through contributions collected from the beneficiaries of the scheme or the employers as may be specified in the scheme by the State Government; or (c) funded from any source including corporate social responsibility…
(2) The State Government may seek financial assistance from the Central Government for the schemes framed by it.
(3) The Central Government may provide such financial assistance to the State Governments for the purpose of schemes for such period and on such terms and conditions as it may deem fit.

Provisos, explanations & qualifications

No proviso/explanation was separately extracted from this section text.

Thresholds and timelines in the text

No explicit day/month/year/hour/percentage/rupee expression was detected in this section text.

Actors expressly appearing in the text

Employer, Central Government, State Government

Full statutory text — Section 110

Official English text transcribed from the current India Code consolidation; page headers/line breaks are normalised for web reading. The Gazette/India Code PDF remains authoritative for typography, amendment footnotes and schedules.

110. Funding of State Government schemes.— (1) Any scheme notified by the State Government
under sub-section (2) of section 109 may be—
        (a) wholly funded by the State Government; or
       (b) partly funded by the State Government, partly funded through contributions collected from the
    beneficiaries of the scheme or the employers as may be specified in the scheme by the State
    Government; or
        (c) funded from any source including corporate social responsibility fund referred to in clause (iv)
    of sub-section (3) of section 109 or any other such source as may be specified in the scheme.
    (2) The State Government may seek financial assistance from the Central Government for the schemes
framed by it.
    (3) The Central Government may provide such financial assistance to the State Governments for the
purpose of schemes for such period and on such terms and conditions as it may deem fit.

How to apply this provision

Primary statutory test — (1) Any scheme notified by the State Government under sub-section (2) of section 109 may be— (a) wholly funded by the State Government; or (b) partly funded by the State Government, partly funded through contributions collected from the beneficiaries of the scheme or the employers as may be specified in the scheme by the State Government; or (c) funded from any source including corporate social responsibility…
Additional operative limb — (2) The State Government may seek financial assistance from the Central Government for the schemes framed by it.
Evidence file — retain facts and records proving the role/status of: Employer, Central Government, State Government.

Why this is section-specific: the operative-clause, exception, threshold and cross-reference panels above are extracted from Section 110 itself rather than a generic “trigger/control/evidence” template.

Rules, forms and cross-references

Direct 2026 Central Rule mapping

None expressly mapped in the current concordance.

Forms mapped

No prescribed form is directly mapped in the current concordance.

Other sections cited in this text

Section 109

Related Labour Hub resources

EPFO Schemes ESIC Gratuity hub

A direct concordance is not exhaustive. Central/State jurisdiction, schemes, authority appointments, saved instruments and later notifications may change the practical route without changing the section wording.

Worked example

For a worker/member seeking a benefit connected with funding of state government schemes, the file should show coverage, service/contribution facts, the rule/scheme and prescribed form, and the calculation/payment. One statutory point to test is: “(1) Any scheme notified by the State Government under sub-section (2) of section 109 may be— (a) wholly funded by the State Government; or (b) partly funded by the State Government, partly funded through contributions collected from the beneficiaries of the scheme or the employer”

Illustration only; it is not statutory text or a substitute for applying the actual facts, jurisdiction, current rule/scheme and official instrument.

Q&A — Section 110

What does Section 110 of the Social Security Code cover?

What is the main legal requirement or power in Section 110?

The first operative clause identified from the official text is: “(1) Any scheme notified by the State Government under sub-section (2) of section 109 may be— (a) wholly funded by the State Government; or (b) partly funded by the State Government, partly funded through contributions collected from the beneficiaries of the scheme or the employers as may be specified in the scheme by the State Government; or (c) funded from any source including corporate social responsibility…” Read it with the remaining subsections and any proviso below.

Does Section 110 contain a proviso or explanation?

No standalone proviso or explanation was extracted from this section text. Check the full text below for clause-level qualifications.

What time limit, percentage or amount appears in Section 110?

No explicit day/month/year/hour/percentage/rupee expression was detected in the official section text.

Which 2026 Central Rules are linked to Section 110?

No direct Central Rule is recorded in the current concordance. That does not exclude a relevant scheme, notification, State rule or enabling provision.

Is Section 110 currently operative?

Source & verification trail

Act: Code on Social Security, 2020 — official India Code PDF ↗

Central Rules: Social Security (Central) Rules, 2026 — G.S.R. 344(E), 8 May 2026 ↗

Official library: Ministry of Labour & Employment — Labour Codes ↗

Source check: 20 August 2026. Individual professional interpretation should be re-reviewed when the section, rules, notification, scheme, State overlay or controlling judgment changes.

Reliance note: This page is an educational legal-reference layer. Verify the current official text, the applicable Central/State rules, notifications, schemes and judicial decisions before acting on a live matter.