Cap For Applicability Of Payment Of Wages Act 1936 Increased To Rs.18,000 P.m.

Section 1(6) of the payment of wages act, 1936 - Wages payable to an employed person - Specified amount of wages payable under section 1(6)
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).
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Dear Sir,
Please confirm what will be impact of this Cap amount on other Act? Will it affect PF Act also? Please confirm.
Kind Regards,
Narsingh Shukla

Dear Korganokar
Surely it will effect on the form IV under payment of wages act. annual return
till year ending 2012 we show their wages less then 10000 for the writern purpose and now we will replace it by 18000
and All Dear Friends here 18000 mean under the sub section of 6 section 1 of payment of wages act only those employee are covered earning average wages of 18K per month (including all deductions) which effect from OCT. 2012

Dear Mahesh ji,
You are very correct. The Annual Return in Form IV under the POW Act will now be pertaining to persons drawing gross up to Rs. 18000/- p.m.
Thanks and regards.
Keshav Korgaonkar
Shantadurgaent.com,Insurance Advisors,Corporate Advisors,Legal Advise,Wage and salary,Shantadurgaent.com,Labour Compliance Audit,SSI registration,NOC from

The impact is more emoployees will be under the PW Act .More employees will come under the hammer of section 9 of the Act ie,8 days wages deduction for concerted absence.In Factories more workers holding postions of management or supervision or holding confidential positions will be eligible for OT wages.
Varghese Mathew
Labor /HR consultant .TVPM
09961266966

Dear Varghesemathew
Can u tell em plz that in case the absence of employee without notice under section 9 of this act
Employee can deduct salary upto 8 days
But i have a query that is company can take action in the absence of 1 employee
or minimum 10 employees are required

Dear Mahesh,
According to section 9(2) of the POW Act, 1936 we can deduct upto 8 days wages. Relevant portion of this section may be read as under.
Sec 9(2) - Provided that, subject to any rules made in this behalf by [the appropriate Government], if ten or more employed persons acting in concert absent themselves without due notice (that is to say without giving the notice which is required under the terms of their contracts of employment) and without reasonable cause, such deduction from any such person may include such amount not exceeding his wages for eight days as may by any such terms be due to the employer in lieu of due notice.
R.N.KHOLA
(LL&IR)
Welcome Skylark Associates

Dear Member,
Employees drawing more than Rs. 18,000/- per month as gross wages will not be effected by this Act.
Regards,
R.N.KHOLA
Welcome Skylark Associates