Tamil Nadu Payment of Subsistence Allowance Act

The Tamil Nadu Payment of Subsistence Allowance Act

General198114 sections

The Tamil Nadu Payment of Subsistence Allowance Act, 1981 mandates financial support for non-managerial employees in Tamil Nadu who are placed under suspension pending inquiry or investigation into alleged misconduct or criminal charges. It requires private and state-level establishments to pay suspended workers half of their regular wages for the first ninety days, increasing to seventy-five percent if suspension extends beyond ninety days without employee fault. By ensuring suspended employees receive a basic income during disciplinary proceedings, the law prevents economic hardship, protects workers from arbitrary financial distress, and establishes legal mechanisms to recover unpaid allowances with penalties for non-compliant employers.

PDF: pending for this language.