Dear Experts: May I request your views that the wages payable to the workman/employee under section 17B of the I.D Act would attract compliance of statutory liability by the employer i.e. contribution to ESI, PF, Bonus, etc. ? If not, please provide any court ruling in this matter.
Request your views, please.
Thanks & regards
From India, Mumbai
Request your views, please.
Thanks & regards
From India, Mumbai
Dear Sridharan,
For the sake of ready-reference, let me give an extract of the main provision of Sec.17-B of the ID Act,1947:
" 17-B. Payment of full wages to workman pending proceedings in higher Courts- When in any case, a Labor Court, Tribunal or National Tribunal by its award directs reinstatement of any workman and the employer prefers any proceedings against such award in a High Court or the Supreme Court, the employer shall be liable to pay such workman, during the period of pendency of such proceedings in the High Court or the Supreme Court, full wages last drawn by him, inclusive of any maintenance allowance admissible to him under any rule if the workman had not been employed in any establishment during such period and an affidavit by such workman had been filed to that effect in such Court: "
If you analyse the words of the above conditional provision, you will agree exactly what is ordered to be paid is " full wages last drawn " by the concerned workman who got an award of reinstatement only. Therefore, all the statutory deductions are to be complied with.
From India, Salem
For the sake of ready-reference, let me give an extract of the main provision of Sec.17-B of the ID Act,1947:
" 17-B. Payment of full wages to workman pending proceedings in higher Courts- When in any case, a Labor Court, Tribunal or National Tribunal by its award directs reinstatement of any workman and the employer prefers any proceedings against such award in a High Court or the Supreme Court, the employer shall be liable to pay such workman, during the period of pendency of such proceedings in the High Court or the Supreme Court, full wages last drawn by him, inclusive of any maintenance allowance admissible to him under any rule if the workman had not been employed in any establishment during such period and an affidavit by such workman had been filed to that effect in such Court: "
If you analyse the words of the above conditional provision, you will agree exactly what is ordered to be paid is " full wages last drawn " by the concerned workman who got an award of reinstatement only. Therefore, all the statutory deductions are to be complied with.
From India, Salem
Dear Sridharan,
I also agree with the opinion of Umakanthanji.
This provision 17 B is there in ID Act because to provide relief to an employee in financial matter against the award passed to reinstate of employee but employer wants to challenge the award in higher court. The employer needs to pay the employee till they received an award from the higher courts.
This is also a fact that most employer do not pay till they get an award from the higher court. This is not a good practice but their explanation is that an ample scope is there to receive award in their favour, if paid then how to get back the paid amount. It is always good to go as per law and act accordingly.
From India, Mumbai
I also agree with the opinion of Umakanthanji.
This provision 17 B is there in ID Act because to provide relief to an employee in financial matter against the award passed to reinstate of employee but employer wants to challenge the award in higher court. The employer needs to pay the employee till they received an award from the higher courts.
This is also a fact that most employer do not pay till they get an award from the higher court. This is not a good practice but their explanation is that an ample scope is there to receive award in their favour, if paid then how to get back the paid amount. It is always good to go as per law and act accordingly.
From India, Mumbai
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