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I am from Gujarat, and my salary is Rs. 100,000. I left a company over 30 days ago, and they have not settled my full and final payment. Their argument is that according to the Payment of Wages Act, if the salary exceeds Rs. 24,000, there is no timeframe mentioned for settlement. However, under the Code of Wages, which was implemented in 2021 in Gujarat, there is no salary limit, and even a person earning Rs. 100,000 must have their full and final payment settled within two days. Kindly guide me if I am correct.
You are correct. Under the Code of Wages, 2021, there is no salary limit for full and final payment settlement, and it must be done within two days of leaving the company. The Payment of Wages Act's provision for salaries above Rs. 24,000 does not apply here. If the company fails to settle within two days, you can file a complaint with the Labour Commissioner or approach a Labour Court for further action. For further legal assistance contact us on our helpline number.