Claims and appeals explained: this guide covers what it means, who it applies to, the step-by-step process, documents required, fees, due dates and penalties in India — so you can stay compliant with confidence and avoid costly mistakes.
Chapters V and VII of the Uttar Pradesh Code on Wages Rules, 2026 tell an employer what to do when wages cannot be paid to the employee or to a nominee, how a wage claim is filed and heard, and how an appeal against the order is made. Chapter IV, in brief, constitutes the State Advisory Board.
Every employee nominates a person in Form-XII. If dues cannot be paid, the employer deposits them with the regional Additional/Deputy Labour Commissioner by bank transfer or crossed demand draft within the periods the rules print. Claims go in Form-III, appeals in Form-VII, and an appeal is not admitted unless the claim amount is deposited with the appellate authority.
The rule set
This article covers the Uttar Pradesh Code on Wages Rules, 2026, as notified by notification no. 1377/XXXVI-03-2026-1901341 dated 12 August 2026 (Uttar Pradesh Extraordinary Gazette, 12 August 2026). Later amendments and State notifications under these rules should be checked in the State Gazette. Rule 1(3) says: "They shall come into force from the date of their publication in the Official Gazette."
The Central companions are rule 45, rules 48 and 49 and rule 50 of the Central rules. Uttar Pradesh numbers its rules differently; the numbers below are the State's. For a dispute that has already reached the Authority, our legal dispute resolution team can help prepare the file.
Rule 37: nomination in Form-XII
Under rule 37(1)(a), read with section 44(1)(a), every employee makes a declaration in Form-XII, physically or electronically, nominating a person to receive the amount standing to the employee's credit in the event of death, before that amount becomes payable or, where it has become payable, before payment is made. The key points:
- an employee with a family nominates the spouse in preference, followed by one or more family members; a nomination of a non-family member by an employee with a family is invalid;
- on marriage a fresh nomination in favour of the spouse must be made, and an earlier nomination is deemed invalid;
- for a minor nominee, the employee may appoint a major person of the family as guardian, or, if none, any other person by description;
- if more than one nominee is named, the nomination states each share so as to cover the whole amount.
Rule 37(2) covers an amount due where the employee's whereabouts are not known and it could not be paid to the nominee within three months from the date it became payable: the employer deposits it with the regional Additional/Deputy Labour Commissioner, who disburses it to the nominee after ascertaining identity within two months from the date of deposit.
Rule 38: depositing undisbursed dues
Rule 38(1) deals with an amount under section 44(1)(b) that stays undisbursed because no nomination was made or for any other reason. The employer deposits it with the Additional/Deputy Labour Commissioner having jurisdiction after the expiry of six months from the date it became payable, before the expiry of the fifteenth day after the last day of that six-month period. The deposit is by bank transfer or a crossed demand draft from a nationalised or scheduled bank in India, drawn in favour of the Additional/Deputy Labour Commissioner (rule 38(2)). That officer disburses to the nominee after ascertaining identity within two months of the deposit, and may seek help from the Revenue and Police Department officers (rule 38(3)).
Rule 38(4) separately covers amounts due after death or because whereabouts are unknown, which remain undisbursed because no nomination was made or for any other reason, and could not be paid to the nominee until the expiry of three months from the date they became payable: all such amounts are deposited by the employer with the regional Additional/Deputy Labour Commissioner having jurisdiction, through demand draft or electronic transfer, before the expiry of the fifteenth day after the last day of that three-month period.
Rule 39: what the Labour Commissioner's office does
Under rule 39 the deposited amount stays with the Additional/Deputy Labour Commissioner and is invested in Central or State Government securities or a fixed deposit in a nationalised bank. A notice with sufficient particulars is shown on the notice board for at least fifteen days, sent to the employer manually and electronically, published in two local newspapers of maximum circulation (at State expense), and shown on the website of the Labour Commissioner, Uttar Pradesh through a separate link. The amount is released after a hearing to the nominee or the person who has claimed it. If it remains unclaimed for two years, it is transferred with interest, if any, to the Uttar Pradesh Labour Welfare Fund constituted under section 3 of the Uttar Pradesh Labour Welfare Fund Act, 1965 and administered under that Act.
Rules 43 to 45: claim and appeal
| Step | Rule | Form | What the text prints |
|---|---|---|---|
| Single claim application for a group | 43 | Form-III | Employees of the same establishment, claims relating to the same wage period or an incident of discrimination; filed manually or electronically under section 45(5) |
| Notice to the employer | 44(1) | Form-V | Served electronically or by post to appear with documents and witnesses |
| Authorisation of representative | 44(2) | Form-IV | If the employer or authorised representative fails to appear, the Authority may hear ex-parte |
| Applicant absent | 44(3) | - | Authority may dismiss the application if no reasonable cause is shown in advance |
| Order | 44(4) | Form-VI | The Authority passes the order in Form-VI |
| Appeal | 45(1) | Form-VII | Electronically or by speed post to the appellate authority having jurisdiction |
| Notice of appeal hearing | 45(2) | Form-VIII | Served electronically or by speed post |
Rule 45(1) carries a condition that an employer must note: no appeal by an employer is admitted unless, at the time of appealing, the appellant has deposited the claim amount with the appellate authority. If the employer fails to appear at the appeal hearing the appellate authority may decide ex-parte, and if the applicant fails to appear it may dismiss the appeal (rule 45(3) and (4)).
The State Advisory Board in brief
Chapter IV constitutes the State Advisory Board under section 42(4) of the Code. Employer and employee representatives are not less than twelve each (rule 22(3)). The Minister for Labour and Employment is ex-officio Chairperson and the Labour Commissioner, Uttar Pradesh is Member-Secretary. Independent members are not more than one third of the Board and at least one third of the members are women (rule 22(7)). A nominated member's term is normally two years, with a maximum of two terms for an outgoing member (rule 31). Notice of a meeting is at least fifteen days, or seven days for an emergent meeting (rule 24). This chapter binds the State, not the employer, but it explains who advises on wage policy.
A worked example
A packaging firm in Noida finds that a former machine operator has died and the final settlement of wages is unpaid. His Form-XII nomination names his spouse, so the firm pays the spouse. In another case, no nomination exists and the family cannot be traced: the firm waits out the period in rule 38 and deposits the amount by crossed demand draft or transfer with the regional Additional/Deputy Labour Commissioner within the fifteen days that follow, and keeps the bank proof.
Common lapses
- No Form-XII nomination on file, or an old nomination not renewed after the employee's marriage.
- Missing the fifteen-day deposit window after the six-month or three-month period.
- Appealing against a claim order without depositing the claim amount.
- Not turning up on the notice date in Form-V, which allows an ex-parte order.
Need help with a wage claim in Uttar Pradesh?
If a claim has been filed against your establishment, or you want your nomination and deposit practice reviewed, our legal dispute resolution team can look at the notices and the appeal timelines with you. Acting on the first notice matters because the rules allow the Authority to proceed without the employer.
Key takeaways
- Every employee gives a Form-XII nomination; a fresh one is needed on marriage (rule 37).
- Undisbursed dues are deposited with the regional Additional/Deputy Labour Commissioner by bank transfer or crossed demand draft (rule 38).
- Unclaimed deposits move to the Uttar Pradesh Labour Welfare Fund after two years (rule 39(4)).
- Claims go in Form-III; orders are in Form-VI; appeals are in Form-VII (rules 43 to 45).
- An employer's appeal needs the claim amount deposited first.
Read next
- Uttar Pradesh Code on Wages Rules, 2026: payment of wages, deductions, fines and advances
- Uttar Pradesh Code on Wages Rules, 2026: inspection, compounding of offences and miscellaneous rules
- Uttar Pradesh Code on Wages Rules, 2026: registers, wage slip and forms
- Central rule 50: procedure for filing appeal
Disclaimer: Based on the State or Union territory rules named above, as notified under the Labour Codes and consulted on 4 October 2026. Later amendments, State notifications, fees and forms should be checked in the State Gazette and on the State labour department website. This article is general information, not legal advice; check the official text before acting.