WAGES AND BENEFITS (Section 120-137)

120. Special definition of wages: Unless there is anything repugnant in the subject or context, in

this Chapter, "wages" means the wages as defined in section 2 (45), and also includes the

following dues, namely:

(a) any bonus or other additional remuneration payable under the terms of employment;

(b) any remuneration payable for leave, holiday or overtime work;

(c) any remuneration payable under order of any Court or any award or settlement between the

parties;

(d) any sum payable under any agreement or this Act for the reason of termination of

employment, whether by way of retrenchment, discharge, removal, resignation, retirement,

dismissal or by whatever means; and

(e) any sum payable due to lay-off or suspension.

121. Responsibility for payment of wages. Every employer shall be liable to pay to workers

employed by him all wages required to be paid under this Act: Provided that in the case of all

other workers, except any worker employed by a contractor, the Chief Executive Officer, the

manager or any other person responsible to the employer for the supervision and control of an

establishment shall also be liable for such payment:

Provided further that if the wages of a worker employed by the contractor is not paid by the

contractor, the wages of such worker shall be paid by the employer of the establishment, and the

same shall be adjusted from the contractor.

122. Fixation of wage-periods.(1) Every person liable for the payment of wages under section

121 shall fix wage periods in respect of such payment.

(2) No wage period shall exceed 1 (one) month.

123. Time of payment of wages.(1) The wages of a worker shall be paid before the expiry of the

seventh working day following the last day of the wage period in respect of which the wages is

payable.

(3) All wages shall be paid on the working day.

124. Wages to be paid in current coin or currency notes, etc.3[(1)] All

wages shall be paid in current coin or currency notes or bank cheque. where applicable, as per

demand of a worker the wages may be paid directly through electronic transfer or any other

digital manner to the bank account of such worker.]

(2) Deductions from the 2[basic wages of a worker] may be made only in

accordance with the provisions of this Act, and such deduction shall be of the

following kinds only, namely:

(a) fines imposed under section 25;

(b) deductions for unauthorized absence from duty;

(c) deductions for damage to or loss of any goods given under the custody of a worker or for loss

of money for which he is liable to account, where such damage or loss is directly attributable to

his neglect or default;

(d) deductions for house-accommodation provided by the employer;

(e) deductions for facilities and service approved by the Government and provided by the

employer, other than the raw materials and equipments used for the requirement of employment;

(f) deductions for recovery of advances or loans or adjustment of

overpayments of wages;

(g) deductions of income-tax payable by the worker;

(h) deductions by order of a Court or deduction by order of any authority

competent to make such order of deduction;

(i) deductions for subscriptions to and for payment of advances from any provident fund to

which the Provident Funds Act, 1925

(l) deduction of subscription for the CBA Union through check-off

system.

126. Deductions from wages for absence from duty.(1) Deductions from wages of a worker

for absence from the place of worker under section 125(2)

(b)may be made only, when he, by the terms of his employment, is required to work, but he is

absent for the whole or any part thereof.

(2) The amount of such deduction shall, in no case, be more than the amount of wages payable to

him for the period of absence:

127. Deductions from wages for damage or loss.(1) Any deduction under section 125(2) (c)

shall not exceed the amount of the damage or loss caused to the employer by neglect or default

of the concerned worker, and such deduction shall not be made until the worker is found guilty

through proper enquiry in compliance with the principles of natural justice.

(2) All such deductions and all realizations relating thereto shall be recorded in such register as

may be prescribed by rules by the person responsible for the payment of wages.

128. Deductions from wages for services rendered. No deduction shall be made from the

wages of a worker under section 125(2)(d) and (e) unless the house accommodation, facilities or

services provided are accepted by the concerned worker according to the terms of employment or

otherwise