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Section 3: Payment of subsistence allowance

The Karnataka Payment of Subsistence Allowance Act, 1988.State Act of Karnataka · Act 18 of 1992

(1) An employee who is placed under suspension, shall during the period of such suspension be entitled to receive, payment from the employer as subsistence allowance, an amount equal to fifty per cent of the wages which the employee was drawing immediately before his suspension, for the first ninety days reckoned from the date of such suspension:

Provided that where the period of suspension exceeds ninety days, but does not exceed one hundred and eighty days, the employee shall be entitled to receive, after the said period of ninety days, a subsistence allowance equal to seventy five per cent of the wages which the employee was drawing immediately before his suspension:

Provided further that where the period of suspension exceeds one hundred and eighty days, the employee shall be entitled to receive, after the said period of one hundred and eighty days a subsistence allowance equal to ninety per cent of the wages which the employee was drawing immediately before his suspension:

Provided also that where the enquiry or criminal proceedings is prolonged beyond the period of ninety days for reasons directly attributable to the employee, the subsistence allowance, shall, for the period exceeding ninety days be reduced to fifty per cent of the wages, which the employee was drawing immediately before his suspension.

(2) An employee shall not be entitled to receive any subsistence allowance if he accepts any other employment during the period of his suspension in any establishment other than the establishment where he had been working immediately before his suspension.

(3) An employee shall not, in any event, be liable to refund or forfeit any part of the subsistence allowance admissible to him under sub-section (1):

Provided that where the employee is exonerated of the charge based on which his suspension was ordered, the subsistence allowance paid to him for any period shall be adjusted against the full wages admissible to him for the period of suspension.

(4) The subsistence allowance under sub-section (1) shall be paid by the employer to the employee on the date or dates on which the wages due to the employee, but for his suspension, would have become payable.

Where this provision sits

ActThe Karnataka Payment of Subsistence Allowance Act, 1988.
Section3
Marginal notePayment of subsistence allowance
JurisdictionState of Karnataka
StatusIn force as published by the source

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