Employer Liable To Pay Wages If Contractor Fails: Jammu & Kashmir Court

Posted On - 14 March, 2024 • By - King Stubb & Kasiva

The Jammu, Kashmir, and Ladakh High Court held in CM(M) no.223/2022 c/w CM(M) no.224/2022 that the employer must ensure payment of all wages required under the Act, even if a contractor or designated person fails to do so. The case involved challenge to Labour Court awards directing government departments to pay workers directly despite payments initially being routed through a contractor. The Court dismissed the petitions, affirming the Labour Court’s orders and highlighting the employer’s obligation under Section 3(2) of the Payment of Wages Act, 1936 to ensure wage payment.