kprasoon Started The Discussion:
Central Govt specifies wages of Rs. 18000pm. u/s.1(6) of Payment of Wages Act,1936

NOTIFICATION NO. SO 2260(E), DATED 11-9-2012

In exercise of the powers conferred by sub-section (6) of section 1 of Payment of Wages Act, 1936 (4 of 1936), the Central Government, on the basis of figures of the Consumer Expenditure Survey published by the National Sample Survey Organisation, hereby specifies Rupees eighteen thousand per month as the wages under said sub-section (6).

Where we found the attached notification or some details in this. please share if any clerification are there. need more detail. Regards, ajay Sharma
Dear Ajay Attached here is the copy of notification, hope this will suffice you. Regards,
Attached FilesProvided by community member skgiridhar. Register to join your network of peers.
File Type: doc S.O. 2260(E), 11.09.2012.doc (32.5 KB, 846 views)
Dear All, Pls clarify whether this notification will supercede the respective State/s prescribed Minimum Wages ? Awaits response pls. Thks, AK Sharma
Have the same question on applicability ? Could you please give a details brief on the same. Thanks ..Subroto 9932317292
Dear All, The said notification will only result in ceiling of ESI contribution and facilities. This is no where connected with minimum wages or any kind of salary.
Dear Mr. S. K. Giridhar,

How we will consider the same only i.e. "The said notification will only result in ceiling of ESI contribution and facilities. This is no where connected with minimum wages or any kind of salary"


Subroto Mukherjee
Lets not confuse Payment of Wages Act with Minimum Wages Act or ESIC Act.

All these act are separate from each other having separate set of objectives. These acts provides separate set of obligations/compliances of the employers.

The objective of the Payment of Wages Act, 1936 is to (1) regulate payment of wages, imposition of fines and deductions from wages, and (2) eliminate all malpractices by laying downwage periods and time and mode of payment of wages etc.

This Act ensures payment of wages in a particular form at regular intervals without unauthorized deductions. The compliance of the Payment of Wages act is applicable to the employees getting wages upto 18,000/- per month

Obligations of Employers as per Payment of Pages Act:-

Every employer is primarily responsible for payment of wages to his employees.

a.) Every employer should fix the wage-period, which may be per day, per week or per month, etc., but in no case it should exceed one month.

b.) Employer should make timely payment of wages. If the number of employees is less than 1000, then wages must be paid within 7 days of the expiry of the wage period, and in other case within 10 days of the expiry of the wage period. Besides, all payments of wages should be made only on a working day.

c.) Wages should be paid in cash or by cheque or by crediting in employee’s bank account, after obtaining his written consent.

d.) The employer should not make any unauthorized deductions from wages.Employer can make permissible deductions such as for income tax, recovery of loans and advances, employee’s subscription to provident fund, and with his written consent for payment of life insurance premium, purchase of Government securities, deposits in any Post Office Savings Bank, contributions to any labor welfare fund and fees for membership of any trade union, etc. etc.

e.) In case of death of an employee, all amounts payable to him as wages should be paid to his nominee or legal heir.

Hope doubts of you guys are clear now.

Dear All,

The below is a proper and simple explanation:

"The payment of Wages Act applies to all the employees whose wages is less than Rs. 10,000/- per month. The Government of India, Ministry of Labour and Employment in exercise of the powers conferred by sub-section (6) if Section 1 of the Payment of Wages Act has amended the relevant Section and the wages limit for the coverage has been enhanced to Rs. 18,000/- per month."

A copy of the notification is attached by Mr. S K Giridhar in the thread.

Hope this has made it more clear to all of them.

If an employee salary is 10000.00 per month then can he suit a case in labor court against employer about any compensation or not?

I think now employee having 18000.00 per month salary can also suit a case in labor court

Please justify


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