PROJECT which the messages are created or presented. In

PROJECT OBJECTIVE

 

1.     To
know Authorised Deductions which can be made under “The Payment Of Wages
Act-1936”.

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2.     To
study in brief the Section 7, 8, 9, 10, 11, 12, 12-A, 13 of the above mentioned
Act.

 

 

 

 

 

 

 

 

 

 

 

 

 

                          

                         
    RESEARCH QUESTION

In this
assignment researcher wants to discuss about Authorised Deductions which can be
made under “The Payment Of Wages Act -1936”.

                             RESEARCH 
METHODOLOGY

The
method adopted for the research is basically content analysis of the available
secondary data.

Content
analysis is a methodology in the social sciences by which text are studied as
to authorship, authencity, or meaning. Content analysis is a summarizing, quantitative
analysis of messages that relies on the scientific method (including attention
to objectivity, inter- subjectivity, a priori design, reliability, validity,
generalizability, replicability, and hypothesis and is not limited as to the
types of variables that may be measured or the context in which the messages
are created or presented.

In
this research the methodology of content analysis is used for analysing
internet data comprising of various articles, news articles, reports of various
institution etc. & books on the relevant topic to bring forth useful &
appropriate information as it is the doctrinal type of research.   

 

 

 

 

                                                                                                                                        

 

 

 

                                          

                                                   ABSTRACT

 

The
Payment of Wages Act regulates the payment of wages to certain classes of
persons employed in industry and its importance cannot be under-estimated. The
Act guarantees payment of wages on time and without any deductions except those
authorised under the Act. The Act provides for the responsibility for payment
of wages, fixation of wage period, time and mode of payment of wages,
permissible deduction as also casts upon the employer a duty to seek the
approval of the Government for the acts and permission for which fines may be
imposed by him and also sealing of the fines, and also for a machinery to hear
and decide complaints regarding the deduction from wages or in delay in payment
of wages, penalty for malicious and vexatious claims. The Act does not apply to
persons whose wage is Rs. 10,000 or more per month. The Act also provides to
the effect that a worker cannot contract out of any right conferred upon him
under the Act.

 

 

 

 

 

 

 

 

 

 

 

                                    

                                       INTRODUCTION

Prior to 1936,
there was no law regarding the regulation of payment to workmen. It was as
early as 1925 that a Private Bill called the “Weekly Payment Bill”
was for the first time introduced in the Legislative Assembly. The Bill was,
however withdrawn on an assurance from the Government that the matter was under
active consideration of the Government at that time. This was an attempt to
remedy some of the evils like delay in payment of wages, non-payment of wages1,
deductions made from wages on account of fines imposed by the employer. etc.

 

During that
period the Royal Commission on Labour in India draw attention to the abuses in
the system of wage payment, and made valuable advise as under:

1.      Children should be exempted from fines
imposed by the employer.

2.      The minimum amount which could be
deducted by way of fine should not exceed, in any month, half an Anna in the
rupee of the worker’s earnings.

3.      The sum realized as fine should be utilized
for some purpose beneficial to the employees as a class and should be approved
by some recognized authority.

4.      A notice specifying the acts and
omissions in respect of which fines. may be imposed should be posted and any
other fine should deemed to be illegal.

5.       Any deduction made for goods having been
damaged should not exceed      the
wholesale price of the goods damaged.

6.      Deductions may be made on account of
provision for housing accommodation and of tools and raw materials.

7.       Imposition of any fine and deduction made which
is not permitted by law should be made penal.

Based on these recommendations of Royal Commission on labour in India, a
Bill of Payment of Wages Act was introduced in the Legislative Assembly in
1933. It was passed in 1936 and came into force on 21st March 1936. The Payment
of Wages Act was amended in the year 1937, 1957, and 1964 and in 1976 according
to the needs of the situation prevailing at that time. The Payment of Wages
(Amendment) Act, 1976 extends the Act to the whole of India.

 

 

                                    OBJECT OF THE ACT

To
ensure regular and prompt payment of wages and to prevent the exploitation of a
wage earner by prohibiting fines and deductions from his wages. To regulate the
payment of wages of certain classes of employed persons.

The
Payment of Wages Act 2regulates
the payment of wages to certain classes of persons employed in industry and its
importance cannot be under-estimated. The Act guarantees payment of wages on
time and without any deductions except those authorised under the Act. The Act
provides for the responsibility for payment of wages, fixation of wage period,
time and mode of payment of wages, permissible deduction as also casts upon the
employer a duty to seek the approval of the Government for the acts and
permission for which fines may be imposed by him and also sealing of the fines,
and also for a machinery to hear and decide complaints regarding the deduction
from wages or in delay in payment of wages, penalty for malicious and vexatious
claims. The Act does not apply to persons whose wage is Rs. 10,000 or more per
month. The Act also provides to the effect that a worker cannot contract out of
any right conferred upon him under the Act.

APPLICATION:

The
Act applies to the whole of India. It came into operation on 28th March, 1937.
Under the Act, following categories of workers are covered:

a.       Persons
employed in any factory;

b.      Persons
employed (otherwise than in a factory) upon any railways or by a person
fulfilling a contract with a railway administration.

 

 

 

 

 

                                 WHAT IS A
DEDUCTION?

A
deduction occurs in any payment of wages that is less than the total amount
properly payable. This is the case even where there has been a 100% deduction and
nothing of what is owed is paid at all. In other words, non-payment can be a
deduction.

The
money deducted is recoverable through the employment tribunals. This can
include statutory sick pay, maternity pay and accrued holiday pay.

  

1 S.
N. MISHRA, INTRODUCTION, pg. no. 745(27th ed. 2013)

2 S.
N. MISHRA, OBJECT, Pg. no. 446(27th ed. 2013)