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Subsistance allowance (Labour & Service Law)

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Author : jayanttelang

Posted On 24 August 2008 at 23:00

what are rules regulations regarding subsistance allowance?which section number under which law?




Expert : Dheeraj Joshi

Posted On 25 August 2008 at 11:31

Payment of Subsistence allownace is governed by the State Acts. For which state your query is related to. For Examaple - For Kerala there is The Kerala Payment of Subsistence Allowance Act, 1972 in which Section 3 deals with payment of subsistence allownace which says - "Whenever an employee is placed under suspension, he shall be paid by the employer for the period during which he is under suspension subsistence allowance of an amount equal to fifty per centum of the wages which the employee was drawing immediately before such suspension;

Provided that where the period of suspension exceeds ninety days, the amount of subsistence allowance shall be increased after the expiry of ninety days to seventy five per centum of the wages which the employee was drawing immediately before such suspension;

Provided further that an ample shall not be entitled to any subsistence allowance if he accepts employment during the period of suspension in any establishment other than the establishment where he had been working immediately before his suspension."





Expert : Member (Account Deleted)

Posted On 25 August 2008 at 11:34

Most of the States have a separate enactment to deal with the Subsistence Allowance. For the Karnataka kindly find the Link below;

http://www.karnataka.gov.in/dpal/pdf_files/PAYMENT%20OF%20SUBSISTENCE%20ALLOWANCE%20ACT-B.pdf



Expert : Murali Krishna

Posted On 25 August 2008 at 21:51

In service jurispurdence, subsistence allowance is an allowance granted to an employee to sustain during the period of suspension. Non payment of subsistence allowance vitiates the disciplinary enquiry proceedings.

Normally in the Disciplinary and Conduct rules of the department, rules providing subsistence allowance are available. In railways, it is rule 5 of RS (D&A) Rules. With regard to central govt.employees, it is available in CCS(CCA) rules. In case of State govt employees, rules regarding subsistence allowance are availabel in the concerned State employees disciplinary & conduct rules/service rules.


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