Page 109 - DCOM207_LABOUR_LAWS

Labour Laws

Notes 6.6.5 Deductions for Absence from Duty

Deductions may be made under clause (b) of sub-section (2) of section 7 only on account of the
absence of an employed person from the place or places where, by the terms of his employment,
he is required to work, such absence being for the whole or any part of the period during which
he is so required to work. The amount of such deduction shall in no case bear to the wages
payable to the employed person in respect of the wage period for which the deduction is made a
larger proportion than the period for which he was absent bears to the total period, within such
wage period, during which by the terms of his employment, he was required to work:
Provided that, subject to any rules made in this behalf by the Provincial Government, if ten or
more employed persons acting in concert absent themselves without due notice (that is to say
without giving the notice which is required under the terms of their contracts of employment)
and without reasonable cause, such deduction from any such person may include such amount
not exceeding his wages for eight days as may by any such terms be due to the employer in lieu
of due notice.

Notes Deductions for absence from duty. Deductions from wages on account of
absence of an employed person should be proportionate to the period of absence from
work. If a man is absent for one day out of 8, he can only lose 1/8 of his wages and the
employer cannot make a greater deduction because of the inconvenience occasioned to
him by such absence (Arvind Mills Ltd. vs. K. R. Gadgil, A.I.R. 1941, Bom. 26). Also as
per sub-section (2) of this section, if the duration of his wage period is one month, the
total number of working days being 25, and the employed person is absent from duty for
four days, the maximum deduction allowed is 4/25th of the wages for the month. This
is so because the amount of deduction is to be proportionate to the period for which a
person is required to work which is 25 days in the present case. This section lays down the
maximum amount of deduction. It may be less if the employer so wills.

!

Caution As an exception to what is said in the above paragraph, the employer is entitled to
make deduction upto 8 days of wages where ten or more employed persons acting under
concert absent themselves without due notice and without reasonable cause. It may be
noted that the legislature has not used the word ‘strike’ though this proviso relates to strike
so called. The reason seems to be that the word ‘strike’ is used in different senses and has
no accepted connotation.

6.6.6 Deductions for Damage of Loss (Sec. 10)

A deduction for damage to or loss or goods expressly entrusted to the employed person for
custody, or for loss of money which he is required to account can be made where such loss is
directly attributable to his neglect or default. A deduction for damage or loss shall not exceed
the amount of damage or loss caused to the employer by his neglect or default. A deduction for
damage or loss shall not be made until the employed person has been given an opportunity of
showing cause against the deduction. All deductions and realisations in respect of damage or loss
shall be recorded in a register to be kept by the person responsible for the payment of wages.

104 LOVELY PROFESSIONAL UNIVERSITY