Payment of Wages Act 1936-Ankit & Rahul

8/6/2019 Payment of Wages Act 1936-Ankit & Rahul

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Presented By:

Ankit Jaiswal

Rahul Telang


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OBJECTIVE OF THE ACT

To regulate the payment of wages to certain classes

of employed persons. Two fold:-

First the date of payment of wages and

Secondly the deductions from wages whether as

fine or otherwise.


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APPLICABILITY OF THE ACT Persons employed in:- Any factory (a saw mill, ginning factory, godowns ,

yards etc as defined in Factories Act, 1948).

Tramway service or motor transport service engagedin carrying passengers or good or both by road forhire or reward.

Air transport service Dock, Wharf or Jetty, Inlandvessel, mechanically propelled

Mine, quarry or oil-field plantation

Workshop or other establishment etc.


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WAGE

Wage includes any remuneration :- Payable under any award or settlement between

the parties or order of a Court;

Over time work or holiday or any leave period;

Any additional remuneration under the terms of

employment.

Wage does not include any bonus, pension fund orprovident fund, travelling allowance and any

gratuity.


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WAGES TO BE PAID IN CURRENT COINS

OR CURRENCY NOTES

a.

All wages shall be paid in current coins or currency notes orin both.

b. After obtaining the authorization, either by Cheque or by

crediting the wages in employees banks Account.

Andhra Pradesh State Amendment: Provided further that the

State Government may, by notification in the Andhra

Pradesh Gazette, specify the industrial establishments , the

employers of which shall pay to the persons employed

therein, the wages either by cheque or by crediting the

wages in their bank account-[Vide Andhra Pradesh Act 15

of 1982, sec.2 (w.e.f 7-10-1982).


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TIME OF PAYMENT OF

WAGES The wages of every person employed is paid.

When less than 1000 persons are employed shall be

paid before the expiry of the 7th day of the

following month.

When more than 1000 workers, before the expiry of

the 10th day of the following month.


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DEDUCTION FOR ABSENCE FROM DUTIES

FOR UNAUTHORISED ABSENCE

Deductions may be made only on account of the

absence of an employed person from the place or

places where, by the terms of his employment, he isrequired to work, such absence being for the whole or

any part of the period during which he is so required to

work.

Absence for whole or any part of the day If ten or

more persons absent without reasonable cause,

deduction of wages upto 8 days.


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DEDUCTION FOR DAMAGE

OR LOSS For default or negligence of an employee resulting

into loss. Show cause notice has to be given to the

employee.

The total amount of fine which may be imposed in

any one wage-period on any employed person shall

not exceed an amount equal to 3% of the wages

payable to him in respect of that wage-period.


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DEDUCTIONS FOR SERVICE

RENDERED A deduction shall not be made from the wages of

an employed person, unless the house-

accommodation amenity or service has beenaccepted by him, as a term of employment or

otherwise, and such deduction shall not exceed an

amount equivalent to the value of the house-

accommodation amenity or service supplied and,shall be subject to conditions the State Government

may impose.


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Deductions for recovery of Advance.

Deduction for recovery of loans.

Deductions for payment to co-operative

societies and Insurance schemes.

OTHER DEDUCTIONS


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AUTHORITIES UNDER THIS ACT

INSPECTORS.

AUTHORITY TO HEAR CLAIMS.

Any commissioner for Workmens Compensation; or

Any Regional Labour Commissioner.

Any Assistant Labour Commissioner.

Presiding Officer of any Labour Court or Industrial

Tribunal.


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Maintenance of Registers and

Records

Every employer shall maintain such

registers and records giving such particularsof persons employed by him, the work

performed by them, the wages paid to them,

the deductions made from their wages, the

receipts given by them and such other

particulars and in such form as may be

prescribed.


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Single application in respect of

claims from unpaid groupEmployed persons are said to belong to the same

unpaid group if they are borne on the same

establishment and if their wages for the same wage-period or periods have remained unpaid.

The authority may deal with any number of separate

pending applications, presented under section 15 inrespect of persons belonging to the same unpaid group,

as a single application presented.


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Procedure in trial of offences

No Court shall take cognizance of a complaint against anyperson for an offence unless an application in respect of the

facts constituting the offence has been presented and has been

granted wholly or in part and the authority empowered the

appellate Court granting such application has sanctioned the

making of the complaint.

Before sanctioning the making of a complaint against any

person for an offence ,the authority empowered or the

appellate Court, as the case may be, shall give such person anopportunity of showing cause against the granting of such

sanction, and the sanction shall not be granted if such person

satisfies the authority.


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PENALITIES

Makes contravention of Secs.5, 7, 9, 11 and 13 of the Act, by

any person responsible for the payment of wages to an

employed person, punishable with fine which shall not be

less than one thousand five hundred rupees but which may

extend to seven thousand five hundred rupees.


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CASE STUDIES


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Jagardeo Shantaram, an employee of the Modern Mills,who had left the services on 12th March 1948, made an

application for the bonus which had been declared by a

letter dated 18th May 1948, and which letter was received

by the Modern Mills on 24th May 1948, and the

contention of the Modern Mills was that as the claim had

been submitted after 21st May 1948, he was not entitled

to any bonus. Thereupon Jagardeo applied to the

authority under the Payment of Wages Act and that

authority held that Jagardeo was entitled to be paid thebonus declared under the award. It is this order which was

sought to be challenged by a writ of certiorari.

TheModernMillsLtdvsVRMangalvedhekar.docx

The Modern Mills Ltd. vs V.R. Mangalvedhekar on 13/3/1950


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Some Other Cases

Arvind MillsLtdvsKRGadgil.docx

General Motor Owner'S Association.docx

Namdeo Shrawan Lokhande vs Chocks Canning And

Mining Ltd.docx

U.P.S.B Corporation Limited.docx


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THANK YOU!!!

Documents

Payment of Wages Act 1936-Ankit & Rahul