Can We Pay Stipend For Trainees As A Daily Wages Baisis

THEJAS SHENAVA
Dear all,
Our company is a food manufacuring industry, can i pay salary to my employees as daily wages basis, because we have a leave benifit, but employees are taking leave without intimation. so we plan to devide regular absent employees to daily wages basis...so here we can pay the amount when they are present...so i am asking that under factories act is there any problem to pay daily wages basis....
Regards
Thejas Prasad
HR-Executive
gautam kar
Section 59/3 in The Factories Act, 1948

Where any workers in a factory are paid on a piece- rate basis, the time rate shall be deemed to be equivalent to the daily average of their full- time earnings for the days on which they actually worked on the same or identical job during the month immediately preceding the calendar month during which the overtime work was done, and such time rates shall be deemed to be the ordinary rates of wages of those workers:

Provided that in the case of a worker who has not worked in the immediately preceding calendar month on the same or identical job, the time rate shall be deemed to be equivalent to the daily average of the earning of the worker for the days on which he actually worked in the week in which the overtime work was done.

Explanation.-- For the purposes of this sub- section in computing the earnings for the days on which the worker actually worked such allowances, including the cash equivalent of the advantage accruing through the concessional sale to workers of foodgrains and other articles, as the worker is for the time being entitled to, shall be included but any bonus or wages for overtime work payable in relation to the period with reference to which the earnings are being computed shall be excluded.

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GAUTAM KAR - 09331148166

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