Section 7

7. (1) Notwithstanding the provisions of sub-section (2) of section 47 of the Indian Railways Act, 1890, the wages of an employed person shall be paid to him without Wages to be paid in current coin or currency notes. Deductions which may be made from wages. 1X of 1890. Payment of Wages. [Act IV without deductions of any kind except those authorised by or under this Act. Explanation.—Every payment made by the employed person to the employer or his agent shall, for the purposes of this Act, be deemed to be a deduction from wages. (2) Deductions from the wages of an employed person shall be made only in accordance with the provisions of this Act, and may be of the following kinds only, namely:— (a) fines; (b) deductions for absence from duty; (c) deductions for damage to or loss of goods expressly entrusted to the employed person for custody, or for loss of money for which he is required to account, where such damage or loss is directly attributable to his neglect or default; (d) deductions for house-accommodation supplied by the employer; (e) deductions for such amenities and services supplied by the employer as the Governor General in Council or Local Government may, by general or special order, authorise; Explanation.—The word 'services' in this sub-clause does not include the supply of tools and raw materials required for the purposes of employment. (f) deductions for recovery of advances or for adjustment of over-payments of wages; (g) deductions of income-tax payable by the employed person; (h) deductions required to be made by order of a Court or other authority competent to make such order; (i) deductions for subscriptions to, and for repayment of advances from any provident fund to which the Provident Funds Act, 1925, applies or any recognised provident fund as defined in section 58A of the Indian Income-tax Act, 1922, or any provident fund approved in this x1 of 1925, behalf by the Local Government, during the continuance of such approval; and (j) deductions for payments to co-operative societies approved by the Local Government or to a scheme of insurance maintained by the Indian Post Office.