Royal Commission on Labour in India: Report(1929)||
Of the other deductions to which reference has been made, namely, those in respect of specific causes or benefits, some should be recognised as legitimate and others should be prohibited. The former are deductions made on account of definite services rendered by the employer and voluntarily accepted by the worker, and in this case the only restriction we suggest is that the deduction should not exceed the equivalent of the services rendered. Deductions may be allowed on account of the provision of housing accommodation and of tools or raw materials.
In other cases deductions should only be permissible after the general or special approval of the provincial Government or some authority (e.g., the Chief Inspector of Factories) appointed by them. Approval may be given, for instance, to schemes for subscriptions to provident funds, contributions for medical facilities and for recoveries on account of cooperative stores and other activities which are in the interests of the workers.