38. Prohibition on deduction of remuneration

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38. Prohibition on deduction of remuneration:

(1) Except in the following circumstance, no amount shall be deducted from the remuneration receivable by the labour:

(a) Any tax, fees leviable under law,

(b) Any amount of contribution required to be made for provident fund or insurance or any other social security,

(c) Any amount required to be deducted pursuant to the order or decision by any judicial or quasi-judicial body or arbitration,

(d) Such amount as prescribed for such service or facility provided by the employer to the labour as prescribed,

(e) Amount of remuneration for the period during which the labour remains absent from the work,

(f) In the event of loss of or damage to cash or in-kind of the employer with ulterior motive or recklessly, such amount as mentioned in the cash or in-kind book or the amount equivalent to the production cost in the case of a manufactured good,

(g) Such amount as specified in the collective agreement to be deductible from remuneration,

(h) Membership fee chargeable by the trade union,

(i) Amount of loan or advance provided or paid to the labour by the employer.

(2) While deducting the amount pursuant to sub-section (c), (d), (e), (f), (g), (h) or (i), it shall be deducted from the monthly remuneration that remains after deducting the amounts set forth in sub-sections (a) and (b).

(3) The limit of, procedure and other provisions relating to the amount deductible under sub-section (2) shall be as prescribed.

(4) Where a labour dies or is relieved of service for any reason whatsoever before the amount deductible pursuant to this Section is deducted, such an amount may be deducted from any amount whatsoever payable to such a labour.

(5) Where the amount to be deducted cannot be recovered even after making deductions pursuant to sub-section (4) and the labour has died, the employer shall give a notice of fifteen days to his or her heir under the law for the payment of such an amount.

(6) Where the amount is not paid even within the period referred to in sub-section (5), the employer may make a petition to the court for the recovery of such an amount within thirty-five days of the expiry of the period.

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38. Prohibition on deduction of remuneration

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