hi...i just met a representative from JTK this morning...i asked him regarding the salary pay day...he said that it was supposed to be the 7th day after the cut-off date...like in my case, our co's cut-off date is on every 20th...the pay day should be on 27th....but from what i understand and told, it was not later than 7th day of the next month...which one is correct?? please clarify...
Every employer shall pay to each of his employees not later than the seventh day after the day of any wage period the wages, less lawful deductions, earned by such employee during such wage period.
Provided that if the Director-General is satisfied that payment within such time is not reasonably practicable, he may, on the application of the employer, extend the time of payment by such number of days as he thinks fit..."
When you read the words "...seventh day after the day of any wage period...", the officer is actually not wrong. But this Section is not very strictly enforced at least not during my time because we knew employers do require to have more than to do salary calculation especially when there are lots of overtime work involved. I myself have advised that it was alright as long as you don't pay wages later than the 7th day of the following month with cut-off point earlier than the last day of the month.
In you case if the Labour Department wants to strictly enforce it, you may have to apply to the Director General for approval as stated in the proviso of Section 19. Meanwhile, I am quite surprised to note that your cut-off date is on 20th, a bit too long or too early isn't it. I don't if that will cause problem to you ever make application to the DG for extension of payment date.
KL Siew has put up a sister site by the name of mylabourlaw.net, which is in effect a more user-friendly version of the present popular pesaraonline.net. The site is in the process of being fine-tuned but it is fully functional. You are invited to visit the website at http://www.mylabourlaw.net and give your views or suggestions. Queries can be posted and be responded from there as usual.