Date Of Disbursement Of Salary To The Employees On Contract - CiteHR
Labour Law & Hr Consultant
Assistant Engineer, Indian Telephone Industries,
Retired State Government Employee

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I am a retired State Government Servant. I retired voluntarily during the year 2003. Now I am working as Consultant on contractual basis in an Autonomous organisation under the Ministry of Culture, Government of India since July 2014. I am getting a consolidated salary every month. My salary is being credited directly to my bank account every month. But, the administration disbursing the salary on different dates every month. Kindly let me know is there any Government guidelines stipulating a specific date for disbursement of Salary to the employees engaged on contractual basis. If so please inform the details of government orders if any in this regard.
Thanking you
Sundaram. K
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Dear Mr. Sundaram. K,
I shall quote the respective section of the Payment of Wages Act as under.
5. Time of payment of wages.—
(1) The wages of every person employed upon or in—
(a) any railway, factory or 1
[industrial or other establishment] upon or in
which less than one thousand persons are employed, shall be paid
before the expiry of the seventh day,
(b) any other railway, factory or ‘[industrial or other establishment], shall
be paid before the expiry of the tenth day,
after the last day of the wage-period in respect of which the wages are
But the above protection will be extended to the employees with a salary upto Rs. 18000/- (w.e.f 11.09.2012)
Mr. Ram guru is not an employee eiher regular or contractual as per his post; on the contrary he is a consultant and what is being paid for his services can only be termed either as honororium or retainer fee. Therefore, he is certainly out of the purview of the Payment of Wages Act or any other Labour Law for this purpose. The issue in question has to be decided as per the terms of the contract only as suggested by Mr.Nathrao.
Mr. Nathrao, thanks for your reply. There is no specific clause regarding date of disbursement of salary in the contract between me and the administration. I hope there must be some guidelines by the Central Government. I am searching for that. Any way thank you very much for kind response.
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