Home Case Index All Cases Indian Laws Indian Laws + SC Indian Laws - 1966 (11) TMI SC This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
1966 (11) TMI 86 - SUPREME COURTWhether the overtime wages paid to an employee by the appellants are "wages" within the meaning of Section 2(22) of the Employees State Insurance Act, 1948 ? Held that:- The Legislature by defining `employee', having had the knowledge of the payment of the remuneration for overtime work done by the employee and having excluded it in Section 2(9), the omission thereof in the definition of Section 2(22) excluding items A to D, would be eloquent and meaningful. Whatever remuneration, paid or payable for overtime work, forms wages under an implied term of the contract. The object thereby is clear that the overtime work done by the employee is an implied contract to do overtime and the remuneration paid therefore does form part of the wages under Section 2(22). . Since it is not obligatory for the employees to work, remuneration paid towards overtime work amounts to mutual payment not as part of wages but as remuneration for services rendered outside the contract of employment of the employees. Therefore, it will not come within additional remuneration, if any, paid at intervals not exceeding two months within the meaning of Section 2(22) of the Act. Appeal dismissed.
|