The global solution for human resource professionals, combines custom research, strategic white papers, country primers, webinars and OnDemand educational programs, and the expert guidance...
By Madhur Singh
India's parliament has approved a change in the law governing wage payment to make it possible for employers to pay wages online or by check without first seeking an employee's permission.
The upper house of parliament approved the Payment of Wages (Amendment) Bill Feb. 8, a day after lower house approval. The bill must now be signed by the president, a largely ceremonial step that may be completed within this month.
The bill will affect businesses of all kinds and sizes, as nearly all employ at least some workers—such as daily-wage sweepers—who are paid in cash.
The new legislation amends the Payment of Wages Act of 1936, under which all wages must be paid either in coin or in currency and only by check or bank transfer with an employee's written authorization.
The amendment will also allow the central or state governments to specify certain industrial or other establishments that must pay employees only by check or bank transfer.
The Payment of Wages (Amendment) Bill is part of the government's ongoing efforts to encourage cashless transactions following Prime Minister Narendra Modi's Nov. 8 decision to eliminate high-denomination currency notes as legal tender as a means of addressing the issue of unaccounted-for income. The new law is intended to ensure that workers are paid wages due and that employers are unable to tweak account books to evade taxes.
To contact the reporter on this story: Madhur Singh in Chandigarh at email@example.com
To contact the editor responsible for this story: Rick Vollmar at firstname.lastname@example.org
For more information on Indian HR law and regulation, see the India primer.
Copyright © 2017 The Bureau of National Affairs, Inc. All Rights Reserved.
All Bloomberg BNA treatises are available on standing order, which ensures you will always receive the most current edition of the book or supplement of the title you have ordered from Bloomberg BNA’s book division. As soon as a new supplement or edition is published (usually annually) for a title you’ve previously purchased and requested to be placed on standing order, we’ll ship it to you to review for 30 days without any obligation. During this period, you can either (a) honor the invoice and receive a 5% discount (in addition to any other discounts you may qualify for) off the then-current price of the update, plus shipping and handling or (b) return the book(s), in which case, your invoice will be cancelled upon receipt of the book(s). Call us for a prepaid UPS label for your return. It’s as simple and easy as that. Most importantly, standing orders mean you will never have to worry about the timeliness of the information you’re relying on. And, you may discontinue standing orders at any time by contacting us at 1.800.960.1220 or by sending an email to email@example.com.
Put me on standing order at a 5% discount off list price of all future updates, in addition to any other discounts I may quality for. (Returnable within 30 days.)
Notify me when updates are available (No standing order will be created).
This Bloomberg BNA report is available on standing order, which ensures you will all receive the latest edition. This report is updated annually and we will send you the latest edition once it has been published. By signing up for standing order you will never have to worry about the timeliness of the information you need. And, you may discontinue standing orders at any time by contacting us at 1.800.372.1033, option 5, or by sending us an email to firstname.lastname@example.org.
Put me on standing order
Notify me when new releases are available (no standing order will be created)