Employers to pay wages by cheque or by crediting it in employee’s bank account

THE PAYMENT OF WAGES (AMENDMENT) ORDINANCE, 2016
No. 9 of 2016

Promulgated by the President in the Sixty-seventh Year of the Republic of India.
An Ordinance further to amend the Payment of Wages Act, 1936.
WHEREAS the Payment of Wages (Amendment) Bill, 2016 has been introduced in the House of the People on the 15th December, 2016 and is pending in that House;

AND WHEREAS Parliament is not in session and the President is satisfied that circumstances exist which render it necessary for him to take immediate action;

Now, THEREFORE, in exercise of the powers conferred by clause (1) of Article 123 of the Constitution, the President is pleased to promulgate the following Ordinance:-

1.Short title and commencement.–(1) This Ordinance may be called the Payment of Wages (Amendment) Ordinance, 2016.

(2) It shall come into force at once.

2. Substitution of Section 6 of Act 4 of 1936.– For Section 6 of the Payment of Wages Act, 1936, the following section shall be substituted, namely:-

6. Wages to be paid in current coin or currency notes or by cheque or crediting in bank account.– All wages shall be paid in current coin or currency notes or by cheque or by crediting the wages in the bank account of the employee:

Provided that the appropriate Government may, by notification in the Official Gazette, specify the industrial or other establishment, the employer of which shall pay to every person employed in such industrial or other establishment, the wages only by cheque or by crediting the wages in his bank account.”.

Pranab Mukherjee,
President.

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