Palayam) is a town panchayat and headquarters of Pethanaickenpalayam taluk, in Salem district, Tamil Nadu, India.

[1] Pethanaickenpalayam is located within its namesake taluk, which is in the northeast of Salem district.

It is 35 kilometres (22 mi) east of Salem, the district headquarters, and 250 kilometres (160 mi) southwest of the state capital of Chennai.

The Upper Vellar or Vasishta Nadi River flows to the northeast of the town during the wet season.

A railway line and National Highway 79 pass through the center of town.