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Guide

What happens if a contractor short-pays wages?

Under the OSH Code, 2020, section 55(3), if a contractor pays wages late or short, the principal employer must pay the workers and can recover the amount from the contractor. Finding the short pay before you approve the month, and before you pay the contractor's bill, is the cheapest point to fix it.

With Teamnet. Teamnet shows any pay difference worker by worker, with a plain reason the contractor can act on, before the bill is paid.

Compliance handbook for employers under the four labour codes (Ministry of Labour and Employment) → OSH Code factsheet (PIB) →

Last updated 5 November 2026. The law is quoted from the official texts linked above.

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