You are on page 1of 1

The Payment of Wages Act is applicable throughout India.

It applies to the payment of wages to persons


employed in any factories, otherwise than in a factory, upon any railway by a railway administration or
either directly or through a sub-contractor, by a person fulfilling a contract with a railway administration
[and to persons employed in any industrial or other establishment specified in sub-clauses (a) to (g) of
clause (ii) of section 2]. Prior to 1st April 1958 employees earning less than Rs. 200 per month were only
covered under the Payment of Wages Act, 1936. With the enforcement of the payment of Wages
(Amendment) Act, 1957 w.e.f. 1st April, 1958, the scope of the Act was extended to cover persons
earning Rs. 200 or more but less than Rs. 400 p.m. The Payment of Wages (Amendment) Act, 1976
extended application of the Act to persons earning less than Rs. 1000 p.m. In 1982, the application of
the Act was further extended to cover persons earning less than Rs. 1600 p.m. Further, it has been
extended to Rs. 6500 w.e.f. 9.11.05 Further it has been extended to Rs. 10000/- p.m. w.e.f 8 th August,
2007 and Rs. 18000/- w.e.f. 11th September,2012. Further it has been extended to Rs 24,000 p.m w.e.f
24th August 2017. Till 1963, the Payment of wages Act was applicable to all the factories as defined
under Section 2(m) of the Factories Act, 1948 i.e. factories which employ 10 or more workers using
power and 20 or more workers not using power. In 1964, the coverage of the Act was also extended to
the factories under Section 85 of the Factories Act, 1948.

You might also like