Overtime wages count as wages under the Employees State Insurance Act, making contribution payable on such remuneration.

Overtime remuneration paid under the employment arrangement forms part of "wages" under Section 2(22) of the Employees State Insurance Act, 1948. The provision was read broadly to include all remuneration paid or payable under express or implied terms of employment, subject only to the express statutory exclusions. The exclusion of overtime remuneration from the definition of "employee" does not exclude such payment from "wages". Because overtime work is performed for remuneration under an implied term of employment, the normal wage and overtime wage together constitute composite wages. Contribution is therefore payable on overtime wages.

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Issues: Whether overtime wages paid to employees form part of "wages" under Section 2(22) of the Employees State Insurance Act, 1948.

Analysis: The definition of "wages" in the Act is wide and covers all remuneration paid or payable under the terms of employment, express or implied, subject only to the express exclusions. The exclusion of overtime remuneration from the definition of "employee" does not mean that overtime payment is excluded from "wages" under Section 2(22). When an employee performs overtime work and receives remuneration for it, the arrangement is treated as an implied term of employment. The Act being a welfare statute, the definition must receive a beneficent construction, and the remuneration for normal work together with overtime remuneration constitutes composite wages.

Conclusion: Overtime wages are wages within the meaning of Section 2(22) of the Employees State Insurance Act, 1948, and contribution is payable on that basis.

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