Section 2(88) · Section 2(88)

"Wages" means all remuneration, whether expressed in money or capable of being expressed in it, whether by way of salary or allowances or otherwise, which would be payable to an employed person in respect of his employment or for work done in such employment, if the express or implied terms of employment had been fulfilled, and includes the following:-
(a) basic pay;
(b) dearness allowance;
(c) retaining allowance, if any,
but does not include:
(a) any bonus payable under any law for the time being in force, which does not form part of the remuneration payable under the terms of employment;
(b) the value of any house accommodation or of the supply of light, water, medical attendance or other amenities or of any service excluded from the computation of wages by a general or special order of the appropriate Government;
(c) any contribution paid by the employer to any pension or provident fund and the interest accrued thereon;
(d) any conveyance allowance or the value of any travel concession;
(e) any sum paid to an employed person to defray special expenses imposed on him by the nature of his employment;
(f) rent of a house;
(g) remuneration payable under any award or compromise between the parties or under any order of a court or tribunal;
(h) any overtime allowance;
(i) any commission payable to the employee;
(j) any gratuity payable on termination of employment; or
(k) any retrenchment compensation or other retirement benefit payable to the employee or any ex-gratia payment made to him on termination of employment under any law for the time being in force:
Provided that for computing wages under this clause, if the payments made by the employer to the employee under sub-clauses (a) to (i) exceed half of the total remuneration computed under this clause or such percentage as may be notified by the Central Government, then the amount exceeding such half amount or such percentage so notified shall be deemed to be remuneration and shall accordingly be added to the wages under this clause:
Provided further that for the purpose of equal wages for all men and women and for the purpose of payment of wages, the emoluments specified in sub-clauses (d), (f), (g) and (h) shall be taken into account for computing wages. Explanation.—Where any remuneration in kind is paid to an employee by his employer in lieu of the whole or part of the wages payable to him, the value of such remuneration in kind, not exceeding fifteen per cent of the total wages payable to him, shall be deemed to form part of the wages of such employee.