During the suspension time salary should be given or not?

Hi, I want to know, during the suspension time, should salary be given or not?

Thanks,
Naveen

Yes. Subsistence allowance should be given as per the Industrial Disputes Act and not as salary as mentioned by you.

The corrected text with proper spelling, grammar, and paragraph formatting is as follows:

"50% for 90 days, above that 75% till 180 days. After that, it's 100% of salary."

Understanding Suspension in Employment

If we understand the real meaning of the term "suspension" in employment parlance, we will be sure that it is the consequence of an interim decision by an employer to temporarily debar an employee from attending the office and performing their functions. This is usually on the grounds of contemplating an inquiry into grave charges against the employee, its pendency at any stage, or a complaint against them of any criminal offense under investigation, trial, or pending disposal. However, the contract of employment between the employer and the suspended employee remains in effect, albeit in a state of suspended animation.

As no work is done by the employee during their suspension, the question of wages or salary for that period does not arise. However, suspension, being a discretionary act of the employer stemming from their powers of discipline and control based on equity and justice, requires them to pay some money to the employee to enable them to subsist and face the disciplinary proceedings initiated against them. This payment is referred to as "Subsistence Allowance," as mandated by Sec.10-A of the Industrial Establishments (Standing Orders) Act, 1946, or any other special law in this regard, or the Service Regulations of the establishment, depending upon the post held by the suspended employee. It is paid to them at the rates specified therein during the entire period of suspension.

Suspension Allowance and Salary During Suspension

If you have suspended an employee pending an enquiry, the suspension allowance is payable at the rate of 50% of the salary for the first three months and 75% of the salary for the following period. This is the case if the Standing Orders Act is applicable to your company, i.e., if you are engaging more than 50 workers.

If your query pertains to suspension as a form of punishment, then salary is not payable because the suspension itself serves as the punishment, resulting in the employee being suspended without pay for the specified period of the punishment.

Thank you.

Dear DMC123,

While concurring with you on the issue of salary not being payable in case of suspension as a form of punishment, I would like to further add that if an employee is suspended as a penalty without a proper inquiry or without any inquiry at all, such suspension is legally invalid. In such a scenario, the employee would be entitled to receive full wages for the period of suspension that would have been paid if the suspension had not occurred.

Dear Naveen,

If you have a Standing Order or Service Rules in regard to disciplinary proceedings, you have to pay the subsistence allowance at the rate specified therein. In the absence of the above, you are liable to pay the full salary being drawn by the employee.

P. S. Lakshmanan