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Question

Which of the following deductions from wages can be made under the Payment of Wages Act, 1936?
1. Deductions for amenities and services supplied by the employer
2. Deductions for recovery of advances
3. Deductions for payments to co-operative societies
Select the answer using the codes given below :

The correct answer is
1, 2 and 3

The question is about the deductions from wages permissible under the Payment of Wages Act, 1936. We need to identify which deductions from the given options are allowed under this Act.

Understanding the Act: Payment of Wages Act, 1936

The Payment of Wages Act, 1936, governs the payment of wages to certain classes of individuals employed in industry and its governing provisions allow the following relevant deductions:

  • Deductions for amenities and services supplied by the employer: This is permitted under Section 7(2)(iv) of the Act, which allows deductions for house accommodation provided by the employer, or for amenities and services supplied by the employer, such as supply of water, light, etc., consented to by the employed person.
  • Deductions for recovery of advances: Section 7(2)(vi) allows deductions that may be made for the recovery of advances or for adjustment of overpayment of wages.
  • Deductions for payments to co-operative societies: As per Section 7(2)(k), deductions can also be made for payments to co-operative societies approved by the employer and with the consent of the worker.

Step-by-Step Analysis

  1. Option 1 refers to deductions for amenities and services, which is allowed under the Act.
  2. Option 2 refers to deductions for recovery of advances, which is also allowed under the Act.
  3. Option 3 allows deductions for contributions to co-operative societies, which is permitted as well.

Based on the provisions outlined, all three deductions mentioned in the options are permissible under the Payment of Wages Act, 1936.

Conclusion

Therefore, the correct answer is:

1, 2 and 3

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