Salient Features of Payment of Wages Act 1936

Salient Features of Payment of Wages Act 1936 – India’s Payment of Wages Act 1936 guarantees timely payment of wages to workers. The 10 salient features of this Act are:

Salient Features of Payment of Wages Act, 1936

  1. Timely Payment: This Act mandates timely payment of wages to employees, usually before a specified date after the pay period.
  2. Frequency of Payment: This specifies the frequency of wage payments, ensuring that employees are paid at regular intervals, daily, weekly, fortnightly or monthly.
  3. Mode of Payment: This Act outlines the permissible modes of payment of wages, which may be in cash or by cheque, direct bank transfer or electronic methods.
  4. Deductions: It regulates deductions made from wages, ensuring that legal deductions such as taxes, provident fund contributions or official penalties are made within specified limits.
  5. Minimum Wages: Although the Act itself does not prescribe minimum wage rates, it ensures that the wages paid are not less than the minimum rates fixed by the appropriate government authorities.
  6. Maintenance of Records: Employers are required to maintain accurate and up-to-date records of wages, deductions and other relevant details of employees as prescribed under the Act.
  7. Inspecting Authority: The Act empowers labor inspectors or other designated authorities to inspect records, investigate complaints and ensure compliance with its provisions.
  8. EMPLOYEES’ RIGHTS: It provides certain rights to employees, including the right to accurate and timely payment of wages without unauthorized deductions.
  9. Prohibition of Delayed Payments: Employers are prohibited from paying wages late beyond the specified period, failing which they may be liable to penalty.
  10. LEGAL REMEDIES: It provides legal remedies to employees in case of wage related disputes, allowing them to file complaints or claims before appropriate authorities for redressal.

These features together aim to ensure that workers receive their wages on time and are protected from unfair deductions or delays in payment, promoting fair labor practices in the country.

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