Professional Documents
Culture Documents
This is one of the earlier Labour Laws passed during British Rule and came into force
on 28th March 1937.
(1) Factories,
(3) Mines,
The central and state Governments are empowered to bring any other
industry or establishment under coverage after giving 3 months notice of their
intention to do so.
Wages: ' wages ' cover all payments made to an employee including all allowances or
those in kind capable of being expressed in terms of money but does not include, (a)
Bonus, (b) House Rent, (c) contribution to Provident Fund or Pension Fund of the
employee, (d) Travelling allowance, (e) Gratuity and (f) Special expenses. Wages can
be paid by cheques or credited to the bank accounts of the employees with the consent
of the employees. Employer is hefd responsible for the payment of wages to persons
employed.
Wage Period: Any period fixed by the employer not exceeding one month.
Time of Payment of Wages: Wages are to be paid to the employees after the expiry
of the wage period.
(a) before the expiry of seventh day in establishments employing less than 1000
persons and
(b) before the expiry of tenth day in establishments employing 1000 & more persons.
In the case of employees whose services are terminated by the employer, wages must
be paid before the expiry of the second working day from the day on which the
employment is terminated.
Total amount Of deductions not to exceed Seventy Five per cent of wages where
deductions are made for payments to co-operative societies and not to exceed Fifty
per cent in other cases.
Deduction for loss: The deduction shall not exceed actual amount of loss or damage.
However, it can be made only after the employed person has been given an
opportunity of showing cause against deduction.
Appeal: Appeal against the order of the Authority can be filed before the Court of
Small Causes or a District Court.
Display: Abstracts of the Act and the rules must be displayed by the employer in
English or a language understood by majority of the employees in the factory or
establishment premises.