Wages & Benefits

Wages & Benefits

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Wages and Benefits

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Definition of wage: „Wages‟ means all
remuneration additional
including remuneration
any other (such as
termination, death, retirement benefit etc.) payable if the terms of employment were fulfilled.
Section 2(45) of BLA’06

Wages and Benefits

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Wages exclude:

• the value of any house accommodation, supply of light, water, medical attendance or other amenities or services excluded by general or special order of the Government
• employer‟s contribution to any pension fund or provident fund
• travel allowance
• any sum paid to the worker for special expenses entitled by the nature of his employment

Section 2 (45) of BLA’06

• bonus or other additional remuneration payable under the terms of employment
• remuneration paid for overtime work, holiday or leave
• remuneration payable under any award or settlement between the parties or under order of any court
• any sum payable under termination of employment, whether by retrenchment, discharge, removal, resignation, retirement, dismissal or otherwise
• any sum payable due to lay off or suspension

Wages include:
Section 120 of BLA’06

Wages and Benefits

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Responsibility for the payment of wages

• every employer is responsible to pay all wages to the workers
• payment of wages if any worker is employed in the establishment through contractor (such as security guards)
• worker employed through contractor is not paid by the contractor: the employer shall pay the wage and adjust the same from the contractor

Section 121 of BLA’06

Wages and Benefits

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• The employer shall pay at least the minimum wage to the workers as per the minimum wage declared by the Minimum Wage Board.
• If under any agreement or award or otherwise a worker is entitled to receive any wages at higher rate, any other amenities or advantages then s/he will continue to enjoy the benefit already given.