Time for Payment of Wages

Section 5 of the Payment of Wages Act, 1936 prescribes the specific time limits for paying employees:
  • Establishments with less than 1,000 persons: Wages must be paid before the expiry of the 7th day of the following month.

  • Establishments with 1,000 or more persons: Wages must be paid before the expiry of the 10th day of the following month.

  • Termination: If an employee is discharged by the employer, the wages earned by them must be paid before the expiry of the second working day from the day their employment was terminated.

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