Wage Ceiling Under The Payment Of Wages Act Increased From 18,000 To 24,000

Nischinth Das
As per notification number S.O. 2806 (E) published on 29th August 2017, the Ministry of Labour and Employment has notified that in exercise of the powers conferred by sub-section (6) of section 1 of the Payment of Wages Act, 1936, the Central Government, on the basis of figures of the Consumer Expenditure Survey published by the National Sample Survey Organization, hereby specifies rupees twenty four thousand per month as the wages under said sub-section (6).
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MINISTRY OF LABOUR AND EMPLOYMENT
NOTIFICATION
New Delhi, the 28th August, 2017
S.O. 2806(E).—In exercise of the powers conferred by sub-section (6) of section 1 of the 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 Organization, hereby specifies rupees twenty four thousand per month as the wages under said sub-section (6).
[F. No. S-31018/3/2007-WC]
N. K. SANTOSHI, Dy. Director General
Source:
http://egazette.nic.in/WriteReadData/2017/178375.pdf
gajendra_hv
As per below notification, should employer increase the salary of employees to Rs.24,000/- per month whose salary is less than Rs.24,000/-. Pls clarify the doubt.
Notification: The Payment of Wages Act, 1936 (the Act) was enacted with a view to ensuring that wages payable to employed persons covered by the Act were disbursed by the employers within the prescribed time limit and that no deductions other than those authorised by law were made by them.
As per sub-section (6) of section 1 of the Act, it applies to wages payable to an employed person in respect of a a wage period if such wages for that wage period do not exceed six thousand five hundred rupees per month or such other higher sum which, on the basis of figures of the Consumer Expenditure Survey published by the National Sample Survey Organisation, the Central Government may, after every five years, by notification in the Official Gazette, specify.
The Government has raised the monetary limit of wages to Rs. 24000/- per months for the applicability of the Act. The relevant notification in this regard is as under:
MINISTRY OF LABOUR AND EMPLOYMENT
NOTIFICATION
New Delhi, the 28th August, 2017
S.O. 2806(E).—In exercise of the powers conferred by sub-section (6) of section 1 of the 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 Organization, hereby specifies rupees twenty four thousand per month as the wages under said sub-section (6).
[F. No. S-31018/3/2007-WC]
N. K. SANTOSHI, Dy. Director General
Kiran_ani
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. 18,000/- 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. 24,000/- per month."
svramana88
Dear All,
Can any one give bit clarity on this issue like .
1.whome all the Act is applicable , if so , what should we do for working factories .
2. should we follow the same VDA Points released by respective stats.
3. is it applicable for private industries .
grs472
Which employees comes under this???
Mahesh hmm
Hi All
Please do not confuse this with minimum wages act. It is not necessary that a person who is getting salary less than 24000 should be now paid Rs.24000/-
thanks
Mahesh.H.M.M
adv-bhojrajpatil
The Payment of wages act does not specify as to the wages to be paid to an employee. It only lays down the conditions which are required to be followed while making monthly payment of wages by an employer to his employees. Increase in wage limit is to cover more employees within its ambit and it should not be misconstrued as increase in amount of monthly wages payable to an employee.
Regards
valluvann
Wage ceiling under Sec1, sub sec 6 means that those who get wages upto the ceiling are covered by the Payment of Wages Act, i.e., the provisions of this Act applies to those employees. The Government periodically raises this ceiling because the wages of employees are increased periodically in line with inflation and cost of living.
If the wage ceiling under the Act is not increased in line with increase in wages, most of the employees would go out of coverage of the Act and would lose all the benefits that are conferred on them by the Act. Hope this clarifies many queries.
svramana88
this is applicable for the below said sectors only Central Government as per the S.O.1316-E
1.Railway;
2 air transport services;
3.mines;
4.oil fields.
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