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Test: Payment of Wages Act(1936) - B Com MCQ


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10 Questions MCQ Test - Test: Payment of Wages Act(1936)

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Test: Payment of Wages Act(1936) - Question 1

What is the definition of "Employed person" under the Payment of Wages Act?

Detailed Solution for Test: Payment of Wages Act(1936) - Question 1
An "employed person" under the Payment of Wages Act includes the legal representative of a deceased employed person, as per Section 2(i) of the Act. This definition expands the scope of individuals covered under the Act beyond those actively engaged in employment.
Test: Payment of Wages Act(1936) - Question 2

In which type of establishment can the payment of wages be made on a daily, weekly, fortnightly, or monthly basis?

Detailed Solution for Test: Payment of Wages Act(1936) - Question 2
According to the Act, the payment of wages can be made on a daily, weekly, fortnightly, or monthly basis in industrial or other establishments where less than one thousand persons are employed, as specified in Section 4.
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Test: Payment of Wages Act(1936) - Question 3

What is the maximum percentage of wages that can be deducted from an employed person's wages under authorized deductions?

Detailed Solution for Test: Payment of Wages Act(1936) - Question 3
As per Section 7(3) of the Act, the total amount of deductions that may be made under authorized deductions shall not exceed 75% of the wages, except for payments to co-operative societies under section 7(2)(j), where the limit is 50%.
Test: Payment of Wages Act(1936) - Question 4
Which of the following is NOT a permissible authorized deduction from an employed person's wages under the Act?
Detailed Solution for Test: Payment of Wages Act(1936) - Question 4
Deductions for contribution to a recognized trade union are not mentioned in the list of authorized deductions under Section 7(2) of the Act. The Act lists specific categories of permissible authorized deductions.
Test: Payment of Wages Act(1936) - Question 5
Under what circumstances can a fine be imposed on an employed person as per the Act?
Detailed Solution for Test: Payment of Wages Act(1936) - Question 5
As per Section 8(1) of the Act, a fine can only be imposed on an employed person for acts and omissions that the employer has specified with prior approval from the State Government or the prescribed authority. This ensures a regulated process for imposing fines.
Test: Payment of Wages Act(1936) - Question 6
What is the maximum amount of fine that can be imposed on an employed person in any one wage-period?
Detailed Solution for Test: Payment of Wages Act(1936) - Question 6
The total amount of fine that can be imposed on an employed person in any one wage-period shall not exceed an amount equal to 3% of the wages payable to him in respect of that wage-period, according to Section 8(4) of the Act.
Test: Payment of Wages Act(1936) - Question 7
When can a fine imposed on an employed person be recovered from their wages?
Detailed Solution for Test: Payment of Wages Act(1936) - Question 7
As per Section 8(6) of the Act, no fine imposed on an employed person can be recovered from them after the expiry of 60 days from the day on which it was imposed. This ensures a time limit for the recovery of fines.
Test: Payment of Wages Act(1936) - Question 8
Which section of the Payment of Wages Act provides for the responsibility of employers to fix wage periods?
Detailed Solution for Test: Payment of Wages Act(1936) - Question 8
Section 5 of the Payment of Wages Act specifies the fixation of wage periods. Employers are required to fix periods in respect of which wages shall be payable, and the section further outlines the timeframes within which wages need to be paid based on the type of establishment.
Test: Payment of Wages Act(1936) - Question 9
In which scenario can fines and realizations thereof be credited to a common fund for a staff as a whole?
Detailed Solution for Test: Payment of Wages Act(1936) - Question 9
As per Section 8(8) of the Act, when the persons employed upon or in any railway, factory, or industrial or other establishment are part of a staff employed under the same management, all such realizations may be credited to a common fund maintained for the staff as a whole. This facilitates the collective application of such funds for approved purposes.
Test: Payment of Wages Act(1936) - Question 10
What is the primary responsibility of an employer under the Payment of Wages Act?
Detailed Solution for Test: Payment of Wages Act(1936) - Question 10
The primary responsibility of an employer under the Payment of Wages Act is to ensure the timely payment of wages to employed persons. This obligation is outlined in Section 3 of the Act.
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