The wage limit for payment of wages act increased to 24000 Rs from 18000 Rs i.e this act applicable to employees whose monthly salary is less than 24000 Rs or equal to 24000 Rs. Earlier the ceiling wages limit under payment of wages act is 18000 Rs. As per this latest payment of wages act amendment 2017 now more number of employees will be covered under this act.
Payment Of Wages Act Amendment 2017
The central government of India will enhance the wage limit for the applicability of this act for every 5 years on the basis of the index of consumer expenditure survey brought out by the national sample survey office of ministry of statistics programme implementation, by notification in the official gazette.
So as per this latest payment of wages act amendment 2017 the new wage limit under payment of wages act is 24000 Rs.
What Is Payment Of Wages Act 1936:
The main aim of the Payment of wages act 1936 is to regulate the payment of wages of employees i.e to implement timely wages of employees and to save employees from various types of salary deductions.
As per this act employer has to deduct only authorized deductions like accommodation charges, provident fund deduction, insurance deduction, income tax deduction, deduction due to absence. Loans recovery etc..
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Some Important Points About Payment Of Wages Act 1936
- As per this act employer has to pay salary to their employees through currency or cheque or through credit into the bank accounts of employees.
- Salary must be paid with in the 7th day of the month when there are less than 1000 employees. In other cases, it must be 10th of the month.
- The employer has to maintain registers like the register of wages, register of fines, register of advances and register of wage deductions in case of damage or loss.
- The total salary deduction will not exceed more than 75% of the total wage of the employee.