Download The Payment of Wages Act, 1936 MCQs Set-1 PDF
1. The primary object of the Payment of Wages Act, 1936 is to:
a. Regulate the payment of wages to certain classes of employed persons
b. Fix minimum wages for all employees
c. Regulate industrial disputes
d. Provide social security benefits
2. The Payment of Wages Act was enacted as:
a. Act No. 2 of 1936
b. Act No. 3 of 1936
c. Act No. 4 of 1936
d. Act No. 5 of 1936
3. The Payment of Wages Act, 1936 is dated:
a. 1st April, 1936
b. 23rd April, 1936
c. 15th August, 1936
d. 26th January, 1937
4. According to the long title, the Act regulates the payment of wages of:
a. All citizens
b. Government servants only
c. Certain classes of employed persons
d. Factory workers only
5. The preamble of the Payment of Wages Act, 1936 begins with the word:
a. Therefore
b. Whereas
c. Notwithstanding
d. Provided that
6. According to the preamble, the Act was enacted because:
a. It was necessary to increase wages.
b. It was expedient to regulate the payment of wages to certain classes of employed persons.
c. It was necessary to abolish contract labour.
d. It was expedient to regulate working hours.
7. Which expression has replaced the earlier terminology in the Act through amendment?
a. "Workmen" replaced by "Employees"
b. "Persons employed" replaced by "Employed persons"
c. "Labourers" replaced by "Workers"
d. "Servants" replaced by "Employees"
8. The Payment of Wages Act, 1936 is primarily concerned with:
a. Industrial adjudication
b. Regulation of wage payment
c. Trade union registration
d. Compensation for workplace injuries
9. Which of the following statements is correct?
a. The Act applies to every employed person in India.
b. The Act regulates the payment of wages to certain classes of employed persons.
c. The Act prescribes minimum rates of wages.
d. The Act deals exclusively with government employees.
10. The phrase "certain classes of employed persons" indicates that the Act:
a. Applies universally to all employed persons.
b. Has a limited and specified scope of application.
c. Applies only to public sector employees.
d. Applies only to daily wage workers.
11. Under Section 1(1), the Act may be called:
a. The Wages Act, 1936
b. The Payment of Wages Act, 1936
c. The Wages Regulation Act, 1936
d. The Employees' Wages Act, 1936
12. As per Section 1(2), the Payment of Wages Act, 1936 extends to:
a. The whole of India
b. Union Territories only
c. States only
d. Such States as notified by the Central Government
13. Under Section 1(3), the Act comes into force on:
a. The date of its enactment
b. The date of publication in the Gazette
c. Such date as the Central Government appoints by notification in the Official Gazette
d. Such date as the State Government appoints
14. In the first instance, the Act applies to persons employed in:
a. Factories only
b. Railways only
c. Factories, railways, and specified industrial or other establishments
d. Every commercial establishment
15. Under Section 1(4), persons employed upon any railway may be employed:
a. Only directly by the Railway Administration
b. Only through contractors
c. Directly or through a sub-contractor by a person fulfilling a contract with a Railway Administration
d. Only through the Central Government
16. Which Government is empowered under Section 1(5) to extend the provisions of the Act to additional classes of establishments?
a. Parliament
b. Central Government only
c. Appropriate Government
d. Supreme Court
17. Before extending the provisions of the Act under Section 1(5), the Appropriate Government must give:
a. One month's notice
b. Two months' notice
c. Three months' notice
d. Six months' notice
18. In relation to an establishment owned by the Central Government, the Appropriate Government can issue a notification under Section 1(5):
a. Without any approval
b. Only after obtaining the concurrence of the Central Government
c. With the approval of the State Legislature
d. After consulting the High Court
19. As per Section 1(6), the Act applies to an employed person whose wages do not exceed:
a. ₹18,000 per month
b. ₹21,000 per month
c. ₹24,000 per month
d. ₹25,000 per month
20. Under Section 1(6), the Central Government may revise the wage ceiling:
a. Every year
b. Every three years
c. Every five years based on the Consumer Expenditure Survey published by the National Sample Survey Organisation
d. Whenever it considers necessary without any basis
21. Under Section 2(i) of the Payment of Wages Act, 1936, "appropriate Government" in relation to railways means:
a. State Government
b. District Administration
c. Central Government
d. Local Authority
22. In relation to air transport services, the appropriate Government is:
a. State Government
b. Central Government
c. Municipal Corporation
d. Labour Commissioner
23. Under Section 2(i), the appropriate Government for mines is:
a. State Government
b. Central Government
c. District Magistrate
d. Labour Court
24. The appropriate Government in relation to oilfields is:
a. State Government
b. Central Government
c. Local Authority
d. Gram Panchayat
25. In all cases other than railways, air transport services, mines and oilfields, the appropriate Government is:
a. Central Government
b. State Government
c. Parliament
d. Supreme Court
26. Which of the following establishments falls under the jurisdiction of the Central Government as the appropriate Government?
a. Railway
b. Shop
c. Hotel
d. Restaurant
27. Which one of the following is NOT under the Central Government as the appropriate Government under Section 2(i)?
a. Railways
b. Air Transport Services
c. Mines
d. Commercial Shops
28. The definition of "appropriate Government" is contained in:
a. Section 1
b. Section 2(i)
c. Section 3
d. Section 4
29. Which of the following correctly matches the appropriate Government?
a. Oilfields – State Government
b. Mines – State Government
c. Railways – Central Government
d. Commercial Establishments – Central Government
30. The expression "appropriate Government" under Section 2(i) primarily determines:
a. The authority competent to administer and enforce the Act
b. The amount of wages payable
c. The working hours of employees
d. The retirement age of employees
31. Under the Payment of Wages Act, 1936, the term "employed person" includes:
a. Family members of the employee
b. Legal representative of a deceased employed person
c. Nominee appointed by the employer only
d. Trade union representative
32. The term "employer" under the Act includes:
a. Manager of the establishment only
b. Owner of the establishment only
c. Legal representative of a deceased employer
d. Labour Commissioner
33. The expression "factory" under the Payment of Wages Act has the same meaning as assigned under:
a. Industrial Disputes Act, 1947
b. Factories Act, 1948
c. Minimum Wages Act, 1948
d. Contract Labour Act, 1970
34. A place to which the provisions of the Factories Act, 1948 have been applied under Section 85(1) is:
a. Excluded from the definition of "factory"
b. Included within the definition of "factory"
c. Included only by notification of the State Government
d. Covered only under the Industrial Disputes Act
35. Which of the following is specifically included within the definition of "industrial or other establishment"?
a. Tramway service
b. Bank
c. Insurance Company
d. Educational Institution
36. Air transport service belonging exclusively to the military, naval or air forces of the Union is:
a. Included within the definition of "industrial or other establishment"
b. Excluded from the definition of "industrial or other establishment"
c. Included only by notification
d. Covered only under the Factories Act
37. Which one of the following is NOT specifically included as an "industrial or other establishment" under Section 2(ii)?
a. Plantation
b. Dock
c. Banking Company
d. Quarry
38. An establishment engaged in the construction, development or maintenance of buildings, roads, bridges or canals is:
a. Not covered under the Act
b. Covered as an industrial or other establishment
c. Covered only if it employs more than 100 workers
d. Covered only after a Government notification
39. Under Section 2(ii)(h), the Appropriate Government may specify any other establishment by:
a. Executive Order
b. Circular
c. Notification in the Official Gazette
d. Government Resolution only
40. While specifying any other establishment under Section 2(ii)(h), the Appropriate Government shall have regard to:
a. The nature of the establishment, the need for protection of persons employed therein, and other relevant circumstances
b. The profit earned by the establishment
c. The number of shareholders
d. The recommendations of trade unions only
41. Under the Payment of Wages Act, the term "mine" has the meaning assigned to it under:
a. Factories Act, 1948
b. Mines Act, 1952
c. Mines and Minerals Act, 1957
d. Industrial Disputes Act, 1947
42. The definition of "mine" is borrowed from:
a. Section 2(j) of the Mines Act, 1952
b. Section 2(1)(j) of the Mines Act, 1952
c. Section 3(j) of the Mines Act, 1952
d. Section 2(k) of the Mines Act, 1952
43. The expression "plantation" under the Payment of Wages Act has the meaning assigned in:
a. Factories Act, 1948
b. Plantations Labour Act, 1951
c. Minimum Wages Act, 1948
d. Industrial Employment Act, 1946
44. The term "prescribed" under the Act means:
a. Prescribed by the Central Government only
b. Prescribed by notification
c. Prescribed by rules made under the Act
d. Prescribed by judicial interpretation
45. The expression "railway administration" has the meaning assigned under:
a. Railways Act, 1989
b. Railways Act, 1950
c. Indian Railways Act, 1890
d. Railway Protection Force Act, 1957
46. Which of the following is included within the definition of "wages"?
a. Remuneration payable under an award or settlement
b. Income tax deducted at source
c. Employer's contribution to provident fund
d. Travelling allowance
47. Remuneration payable in respect of overtime work, holidays or leave period is:
a. Excluded from wages
b. Included in wages
c. Included only if ordered by a Court
d. Included only in Government establishments
48. Any additional remuneration payable under the terms of employment, whether called a bonus or by any other name, is:
a. Excluded from wages
b. Included in wages
c. Included only if declared by the employer
d. Included only after Government approval
49. Any sum payable due to the termination of employment under any law, contract or instrument is:
a. Never treated as wages
b. Included in wages
c. Included only if paid within thirty days
d. Included only after approval of the Labour Court
50. Any sum to which an employed person is entitled under a scheme framed under any law for the time being in force is:
a. Excluded from wages
b. Included within the definition of wages
c. Included only if notified by the Government
d. Included only after a Court order
51. Which of the following is NOT included in the definition of "wages" under the Payment of Wages Act, 1936?
a. Remuneration payable under an award
b. Overtime remuneration
c. Travelling allowance
d. Additional remuneration payable under the terms of employment
52. A bonus which does not form part of the remuneration payable under the terms of employment is:
a. Included in wages
b. Excluded from wages
c. Included only if paid annually
d. Included only after Government approval
53. Which of the following amenities is excluded from the computation of wages?
a. Overtime allowance
b. House accommodation
c. Leave wages
d. Court-awarded remuneration
54. The value of the supply of light, water, medical attendance or other amenity may be excluded from wages by:
a. Order of the Labour Court
b. General or special order of the Appropriate Government
c. Notification of the employer
d. Resolution of the trade union
55. Employer's contribution to a pension or provident fund is:
a. Included in wages
b. Excluded from wages
c. Included only after retirement
d. Included only if voluntary
56. The interest accrued on the employer's contribution to a provident fund is:
a. Included in wages
b. Excluded from wages
c. Included only after withdrawal
d. Included only if taxable
57. Which of the following is specifically excluded from the definition of wages?
a. Remuneration payable under an award
b. Overtime wages
c. Travelling allowance or the value of any travelling concession
d. Additional remuneration payable under the terms of employment
58. Any sum paid to an employed person to defray special expenses entailed by the nature of employment is:
a. Included in wages
b. Excluded from wages
c. Included only if paid monthly
d. Included only when approved by the Appropriate Government
59. Gratuity payable on termination of employment is excluded from wages:
a. In all cases
b. Except in cases specified in sub-clause (d)
c. Only where the employee resigns
d. Only where the employee is dismissed
60. Which of the following is included in the definition of wages?
a. Employer's contribution to provident fund
b. House accommodation
c. Travelling allowance
d. Remuneration payable under an award or settlement
61. Under Section 3(1) of the Payment of Wages Act, the primary responsibility for payment of wages rests upon:
a. Labour Inspector
b. Appropriate Government
c. Every employer
d. Factory Manager only
62. In a factory, the person responsible for payment of wages is:
a. The owner only
b. The person named as the manager under Section 7(1)(f) of the Factories Act, 1948
c. The senior-most employee
d. The Labour Commissioner
63. In an industrial or other establishment, responsibility for payment of wages lies with:
a. Any employee nominated by the workers
b. The person responsible to the employer for supervision and control of the establishment
c. The trade union leader
d. The District Magistrate
64. In the case of railways (other than factories), where the employer is the railway administration, wages are to be paid by:
a. The Station Master
b. Any railway employee
c. The person nominated by the railway administration for the local area concerned
d. The General Manager only
65. In the case of a contractor, the person responsible for payment of wages is:
a. The principal employer
b. The contractor personally in every case
c. A person designated by the contractor who is directly under his charge
d. The Labour Inspector
66. In any case not specifically covered under clauses (a) to (d), responsibility for payment of wages lies with:
a. A person designated by the employer
b. The Appropriate Government
c. The Labour Court
d. The Employees' Union
67. Which of the following statements is correct regarding Section 3(2)?
a. The employer is discharged from liability once a contractor is appointed.
b. The contractor alone is liable for payment of wages.
c. The employer remains responsible if the contractor or designated person fails to pay wages.
d. Only the Appropriate Government can recover unpaid wages.
68. The provision contained in Section 3(2) operates:
a. Subject to Section 3(1)
b. Notwithstanding anything contained in Section 3(1)
c. Only with prior Government approval
d. Only in factories
69. If the designated person appointed by the employer fails to make payment of wages, the liability ultimately falls upon:
a. The employee
b. The employer
c. The Labour Commissioner
d. The trade union
70. Which one of the following is NOT specifically mentioned under Section 3(1) as a person who may be responsible for payment of wages?
a. Factory Manager
b. Person responsible for supervision and control of an industrial establishment
c. Person nominated by the railway administration
d. Presiding Officer of the Labour Court
71. Under Section 4(1), who is responsible for fixing the wage-periods?
a. Appropriate Government
b. Labour Commissioner
c. Every person responsible for payment of wages under Section 3
d. Trade Union
72. Under the Payment of Wages Act, no wage-period shall exceed:
a. Fifteen days
b. Three weeks
c. One month
d. Two months
73. In a factory or industrial establishment employing less than one thousand persons, wages must be paid:
a. Before the expiry of the 5th day
b. Before the expiry of the 7th day after the last day of the wage-period
c. Before the expiry of the 10th day
d. Before the expiry of the 15th day
74. In a factory or industrial establishment employing one thousand or more persons, wages shall be paid:
a. Before the expiry of the 7th day
b. Before the expiry of the 10th day after the last day of the wage-period
c. Before the expiry of the 15th day
d. Before the end of the next wage-period
75. The distinction between payment by the 7th day and the 10th day is based primarily on:
a. Nature of work
b. Amount of wages
c. Number of persons employed
d. Category of employer
76. In the case of persons employed on a dock, wharf, jetty or in a mine, the balance of wages found due on completion of the final tonnage account shall be paid:
a. Before the expiry of the 5th day
b. Before the expiry of the 7th day from the date of completion
c. Before the expiry of the 10th day
d. Within one month
77. Where the employment of a person is terminated by or on behalf of the employer, the wages earned by him shall be paid:
a. On the same day
b. Before the expiry of the second working day from the date of termination
c. Within seven days
d. Before the next wage-period
78. Where an establishment is closed for any reason other than a weekly or recognised holiday, the wages of the terminated employee shall be paid:
a. Before the expiry of the second day from the date of termination
b. Before the expiry of the second working day
c. Within seven days
d. Within ten days
79. Which of the following statements is correct?
a. A wage-period may extend up to two months.
b. Wage-periods are fixed by the Appropriate Government.
c. No wage-period shall exceed one month.
d. Wage-periods are optional under the Act.
80. The time limit prescribed under Section 5(1) for payment of wages is calculated from:
a. The date of appointment
b. The first day of the wage-period
c. The last day of the wage-period
d. The date on which attendance is verified
81. Under Section 5(3), which authority may exempt a person responsible for payment of wages from the operation of Section 5?
a. Central Government only
b. Appropriate Government
c. Labour Court
d. Employer himself
82. The exemption under Section 5(3) may be granted by:
a. Oral direction
b. General or special order
c. Judicial order
d. Notification by employer
83. Under Section 5(3), exemption may be granted subject to:
a. No conditions
b. Conditions specified in the order
c. Approval of employees only
d. Approval of trade union only
84. The Appropriate Government may exempt persons responsible for payment of wages to persons employed upon:
a. Any private company
b. Any factory
c. Any railway otherwise than in a factory
d. Any shop establishment
85. Section 5(3) also permits exemption regarding wages of:
a. Contract workers in private companies
b. Daily-rated workers in the Public Works Department of the Appropriate Government
c. Employees of banks
d. Government officers only
86. Before making an order exempting daily-rated workers of the Public Works Department under Section 5(3), consultation with which Government is required?
a. State Government
b. Central Government
c. Local Government
d. Railway Administration
87. The exemption power under Section 5(3) can be exercised:
a. Without specifying any extent
b. To such extent and subject to such conditions as specified in the order
c. Only for one year
d. Only with approval of the High Court
88. According to Section 5(4), unless otherwise provided in Section 5(2), all payments of wages shall be made on:
a. Any holiday
b. A working day
c. The last day of the month only
d. The date fixed by employees
89. Section 5(4) relates to:
a. Fixation of wage-periods
b. Mode of calculation of wages
c. Day on which payment of wages shall be made
d. Deduction from wages
90. Which statement is correct regarding Section 5(3)?
a. The Appropriate Government cannot grant any exemption.
b. Exemption can be granted only to factories.
c. Exemption may be granted by general or special order subject to specified conditions.
d. Exemption automatically applies to all employers.
91. Under Section 6 of the Payment of Wages Act, wages shall be paid in:
a. Goods only
b. Current coin or currency notes, cheque, or by crediting in bank account
c. Shares of the company
d. Any mode decided by the employer
92. Which of the following is NOT a recognized mode of payment of wages under Section 6?
a. Current coin
b. Currency notes
c. Cheque
d. Goods or commodities
93. Under Section 6, wages may be paid by:
a. Crediting the wages in the bank account of the employee
b. Depositing wages in the employer's account
c. Payment through a third party only
d. Issuing company shares
94. The proviso to Section 6 empowers which authority to specify establishments where wages shall be paid only by cheque or bank credit?
a. Employer
b. Appropriate Government
c. Labour Court
d. Reserve Bank of India
95. The Appropriate Government may specify such establishments by:
a. Circular
b. Notification in the Official Gazette
c. Oral order
d. Court direction
96. After a notification under the proviso to Section 6, the employer of the specified establishment shall pay wages:
a. Only in cash
b. Only by cheque or by crediting wages in the bank account
c. Only through postal order
d. Only through electronic wallet
97. Section 6 primarily deals with:
a. Fixation of wage periods
b. Responsibility for payment of wages
c. Mode of payment of wages
d. Deduction from wages
98. Which statement is correct regarding Section 6?
a. Wages can only be paid in cash.
b. Wages cannot be paid through a bank account.
c. Wages may be paid through cheque or by crediting the employee’s bank account.
d. Only the Central Government can decide the mode of payment.
99. The power to make a notification under the proviso to Section 6 is exercised by:
a. Appropriate Government
b. Employer
c. Factory Manager
d. Railway Administration
100. The requirement of paying wages only through cheque or bank account applies to:
a. Every establishment automatically
b. Only those establishments specified by the Appropriate Government through notification
c. Only government employees
d. Only factories employing more than 100 workers
101. Under Section 7(1) of the Payment of Wages Act, wages of an employed person shall be paid:
a. After deductions decided by the employer
b. Without deductions of any kind except those authorised by or under the Act
c. After deduction of all penalties
d. After deduction of employer expenses
102. Any payment made by an employed person to the employer or his agent is deemed to be:
a. A bonus payment
b. A voluntary contribution
c. A deduction from wages
d. An advance payment
103. Which of the following is NOT deemed to be a deduction from wages under Explanation I?
a. Payment made by an employee to the employer
b. Payment made by an employee to the employer’s agent
c. Statutory tax deduction
d. Amount paid by an employee to the employer
104. Loss of wages resulting from withholding of increment or promotion shall not be deemed to be a deduction from wages when:
a. The employer verbally approves it
b. The employee agrees to it
c. The penalty rules framed by the employer comply with requirements specified by the Appropriate Government
d. The employee is absent from duty
105. Which of the following penalties is covered under Explanation II to Section 7?
a. Fine imposed by a court
b. Withholding of increment or promotion
c. Reduction in salary by mutual agreement
d. Recovery of loan amount
106. Reduction to a lower post, time scale or lower stage in a time scale:
a. Is always a deduction from wages
b. Is never allowed under the Act
c. Is not treated as a deduction from wages if imposed according to valid penalty rules
d. Requires approval of the employee
107. Suspension imposed as a penalty shall not be treated as deduction from wages when:
a. It is imposed without any reason
b. Employer’s penalty rules comply with prescribed requirements
c. Employee accepts it orally
d. It is imposed by another employee
108. Deductions from wages under Section 7(2) can be made:
a. According to the employer’s discretion
b. Only in accordance with the provisions of the Payment of Wages Act
c. According to employee’s request only
d. Only by order of a civil court
109. Which of the following is a permitted deduction under Section 7(2)?
a. Deduction for absence from duty
b. Deduction for employer’s personal expenses
c. Deduction for company losses generally
d. Deduction for future expenses
110. Deduction for damage to or loss of goods entrusted to an employee’s custody is permissible when:
a. The employee is responsible irrespective of fault
b. The damage or loss is directly attributable to the employee’s neglect or default
c. The employer decides it is necessary
d. The employee earns above a certain limit
111. Under Section 7(2)(e), deductions may be made for:
a. Personal expenses of the employer
b. Amenities and services supplied by the employer as authorised
c. Any loss suffered by the employer
d. Voluntary donations without consent
112. The deductions for amenities and services supplied by the employer must be authorised by:
a. Employee only
b. Appropriate Government or an officer specified by it
c. Labour Court only
d. Trade Union only
113. Under the Explanation to Section 7(2)(e), the word "services" does NOT include:
a. Medical facilities
b. Housing facilities
c. Tools and raw materials required for employment
d. Transport facilities
114. Deductions for recovery of advances under Section 7(2)(f) may include:
a. Only salary advances
b. Advances of whatever nature, including travelling or conveyance allowance advances
c. Only housing loans
d. Only bonus payments
115. Interest due on advances taken by an employed person:
a. Cannot be recovered through wage deduction
b. May be recovered under Section 7(2)(f)
c. Is always waived
d. Can be recovered only by a court order
116. Deduction for adjustment of over-payment of wages is permitted under:
a. Section 7(2)(a)
b. Section 7(2)(c)
c. Section 7(2)(f)
d. Section 7(2)(h)
117. Loans made from a labour welfare fund may be recovered through wage deductions when:
a. The fund rules are approved by the Appropriate Government
b. The employee gives oral consent
c. The employer decides independently
d. The trade union approves it
118. Deduction of income tax payable by an employed person is:
a. Prohibited under the Act
b. A permissible deduction under Section 7(2)
c. Allowed only after court approval
d. Allowed only for government employees
119. A deduction required to be made by an order of a competent Court or authority is:
a. Not permitted
b. Permitted under Section 7(2)(h)
c. Permitted only with employee consent
d. Permitted only after Government approval
120. Deductions for contribution to the National Defence Fund or approved Defence Savings Scheme require:
a. Written authorisation of the employed person or prescribed authorisation by the registered trade union
b. Approval of the employer only
c. Approval of the Labour Court only
d. No authorisation
121. Under Section 7(2)(j), deductions may be made for payments to:
a. Private companies
b. Co-operative societies approved by the Appropriate Government
c. Any charitable organisation
d. Any unregistered association
122. Payments to co-operative societies can be deducted from wages when such societies are:
a. Registered by employees only
b. Approved by the Appropriate Government or specified officer
c. Approved by the employer only
d. Approved by the Labour Court
123. Under Section 7(2)(j), deductions may also be made for a scheme of insurance maintained by:
a. Life Insurance Corporation of India
b. Indian Post Office
c. Reserve Bank of India
d. State Bank of India
124. Deduction for payment of premium on a life insurance policy under Section 7(2)(k) requires:
a. Oral consent of the employee
b. Written authorisation of the employed person
c. Approval of the employer only
d. Approval of the Court
125. Under Section 7(2)(k), premium payments may be made towards a life insurance policy of:
a. Any private insurance company
b. Life Insurance Corporation of India
c. Foreign insurance companies
d. Any unregistered insurer