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The Payment of Wages Act, 1936
The Payment of Wages Act, 1936
WAGE
Wage includes any remumeration: 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 includes any bonus, pension fund or provident fund, travelling allowance and any gratuity.
WAGES TO BE PAID IN CURRENT COINS OR CURRENCY NOTES a. All wages shall be paid in current coins or currency notes or in both. b. After obtaining the authorization, either by Cheque or by crediting the wages in employees banks Account {Section 6} 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).
COVERAGE OF EMPLOYEES
Drawing average wage upto Rs.6500 pm as amended with effect from 6th September 2005.
Deductions such as, fine, deduction for amenities and services supplied by the employer, advances paid, over payment of wages, loan, granted for house-building or other purposes, income tax payable, in pursuance of the order of the Court, Provident Fund contributions, cooperative societies, premium for Life Insurance, contribution to any fund constituted by employer or a trade union, recovery of losses, Employees State Insurance contribution etc. (Section 7).
Absence for whole or any part of the day If ten or more persons absent without reasonable cause, deduction of wages upto 8 days {Section 9}
For default or negligence of an employee resulting into loss. Show cause notice has to be given to the employee. {Section 10}
When accommodation amenity or service has been accepted by the employee. {Section 11}
Deductions for recovery of Advance. Deduction for recovery of loans. Deductions for payment to co-operative societies and Insurance schemes.
APPEAL
An Appeal may be preferred from the following orders or directions of the Authority:an order directing the employer or the persons responsible for payment of wages, to refund the deductions wrongfully made or to pay the delayed wages; an order directing payment of compensation to the employee under Section 15(3); an order imposing penalty whether on the employee or the employer under Section 15(4). An Appeal can be made within thirty days of the date on which the order or direction was made before the District Court within whose jurisdiction the industrial establishment is situated.
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.