K’taka HC rules reductions in daily wage workers’ dearness allowance, paid leave illegal

Bengaluru: The Karnataka High Court has ruled that all daily wage workers are entitled to full dearness allowance payment and paid leave.

A bench headed by Justice M Nagaprasanna made the ruling while hearing a petition filed by a daily wage employees’ union.

The ruling stated that reductions in the dearness allowance and recovery of paid leaves including those that have been encashed are illegal as there is no provision for it under the Karnataka Daily Wage Employees Welfare Act, 2012.

The State government had in 2014 curtailed dearness allowances to 75 per cent and to 90 per cent in 2020.