The purpose of the Payment of Wages Act, 1991, was to establish a range of rights for all employees in relation to the payment of wages, including the right to a readily negotiable mode of wage payment, the right to a written statement of wages and deductions and protection from unlawful deductions. In this context, "wages" are defined in the Act as any sums of money payable by an employer to an employee in respect of employment. This definition covers all amounts that would commonly be regarded as wages or remuneration including fees, bonuses, commission, and sick, holiday and maternity pay.
Certain other payments which may be made by an employer but which are not usually regarded as wages or remuneration are specifically excluded from the coverage of the Act. These include pensions and any other allowances paid to an employee on account of retirement, death, resignation or loss of office. This is in line with other legislation – such as the Industrial Relations Acts 1946 to 1990 – where the definition of an employee or worker also excludes pensioners.
The Government has no plans to amend the present legislation.