B. Payment of Wages
“Wages” means all remuneration, earnings, allowances, tips and service charges however designated or calculated, which are payable to an employee for work done or work to be done. Allowances, including travel allowances, attendance allowances, commission and overtime pay are within the definition of wages.
An employee's entitlements to end of year payments, maternity leave pay, severance payments, long service payments, sickness allowance, holiday pay, annual leave pay and wages in lieu of notice are calculated according to the above definition of wages. However, wages do not include:
- the value of any accommodation, education, food, fuel, water,
light or medical care provided by the employer;
- the employer's contribution to any retirement scheme;
- commission or attendance allowance which is of a gratuitous
nature or is payable only at the discretion of the employer;
- non-recurrent travel allowance or the value of any travel
concession or travel allowance for actual expenses incurred
by the employment;
- any sum payable to the employee to defray special expenses
incurred by the nature of the employment;
- end of year payments, or annual bonuses which are of a
gratuitous nature or are payable only at the discretion of
- gratuity payable on completion or termination of a contract of employment.
- My secretary has damaged the computer in my office and I intend to deduct $3,000 from her salary this month for compensation. Can I make this deduction? When will I be entitled to deduct salaries from my employees?
- My previous month's salary is overdue by 10 days. Has my boss violated the law?
- My previous month's salary is one month overdue and my boss told me that he is unable to pay it. Has he breached the employment contract? Can I terminate my employment contract immediately and claim compensations?
- My place of work has suddenly shut down and I haven’t received my salary since last month. I think that the company is in huge financial difficulty and it is likely to become insolvent. Do I have the chance to get back my salary (or part of my salary)?
- If my employer is likely to become insolvent, then where can I seek assistance?