Payment of Wages Act, 1936

What is the Payment of Wages Act?

  • The Payment of Wages Act, 1936 regulates the payment of wages to employees in India.

Key Provisions

  • Timely payment of wages
  • Payment of wages in cash or other authorized modes
  • Deductions from wages (authorized and unauthorized)
  • Maintenance of wage records and registers

Applicability

  • Establishments with employees earning up to ₹24,000 per month
  • Factories, shops, and other establishments

Benefits

  • Timely payment of wages
  • Protection of employees' rights
  • Improved employee morale and motivation
  • Compliance with labor laws

Responsibilities of Employers

  • Pay wages timely and in authorized modes
  • Maintain accurate wage records and registers
  • Comply with deduction rules
  • Provide wage slips to employees

Penalties for Non-Compliance

  • Fines and imprisonment
  • Other legal consequences

Key Features

  • Regulation of wage payment
  • Protection of employees' rights
  • Improved employee morale and motivation
  • Compliance with labor laws
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