THE CODE ON
WAGES, 2019
For making the functioning of
labor law in an easier way govt. of India take some efforts. First step in this
area is THE CODE ON WAGES, 2019. An
Act to amend and consolidate the laws relating to wages and bonus and matters connected
there with or incidental thereto. The following Act
of Parliament received the assent of the President on the 8th August, 2019. This act combine 4 labor law (1) Payment of wages act 1936, (2)Payment of Minimum wages act 1948,(3) Payment of bonus act1965, (4)Equal
remuneration act 1976 into one code on wages, 2019.
Some important
point of this act is-
(1) This Act may be
called the Code on Wages, 2019.
(2) It extends to
the whole of India.
Definitions
"wages" means all remuneration
whether by way of salaries, allowances or
otherwise, expressed
in terms of money or capable of being so expressed which would, if the terms of
employment, express or implied, were fulfilled, be payable to a person employed
in respect of his employment or of work done in such employment, and includes,—
(i) basic pay;
(ii) dearness
allowance; and
(iii) retaining
allowance, if any,
but
does not include––
(a) any bonus payable under any law for the time
being in force, which does not form part of the remuneration payable under the
terms of employment;
(b) the value of
any house-accommodation, or of the supply of light, water, medical attendance
or other amenity or of any service excluded from the computation of wages by a
general or special order of the appropriate Government;
(c) any
contribution paid by the employer to any pension or provident fund, and the
interest which may have accrued thereon;
(d) any conveyance
allowance or the value of any travelling concession;
(e) any sum paid to
the employed person to defray special expenses entailed on him by the nature of
his employment;
(f) house rent
allowance;
(g) remuneration
payable under any award or settlement between the parties or order of a court
or Tribunal;
(h) any overtime
allowance;
(i) any commission
payable to the employee;
(j) any gratuity payable
on the termination of employment;
(k) any
retrenchment compensation or other retirement benefit payable to the employee
or any ex gratia payment made to him on the termination of employment.
"worker" means any person (except
an apprentice as defined under clause (aa) of section 2 of the Apprentices Act,
1961) employed in any industry to do any manual, unskilled, skilled, technical,
operational, clerical or supervisory work for hire or reward, whether the terms
of employment be express or implied, and includes—
(i) working
journalists as defined in clause (f ) of section 2 of the Working Journalists
and other Newspaper Employees (Conditions of Service) and Miscellaneous
Provisions Act, 1955; and
(ii) sales
promotion employees as defined in clause (d) of section 2 of the Sales
Promotion Employees (Conditions of Service) Act, 1976, and for the purposes of any
proceeding under this Code in relation to an industrial dispute, includes any such
person who has been dismissed, discharged or retrenched or otherwise terminated
in connection with, or as a consequence of, that dispute, or whose dismissal,
discharge or retrenchment has led to that dispute, but does not include any
such person––
(a) who is subject
to the Air Force Act, 1950, or the
Army Act, 1950, or the
Navy Act, 1957; or
(b) who is employed
in the police service or as an
officer or other employee
of a prison; or
(c) who is employed
mainly in a managerial or administrative
capacity; or
(d) who is employed
in a supervisory capacity drawing wage of exceeding fifteen thousand rupees per month or an amount as may be notified
by the Central Government from time to time.
Payment of minimum rate of wages
No employer shall pay to any employee wages less than the
minimum rate of wages notified by the appropriate Government.
Fixation
of minimum wages
The appropriate Government shall fix the minimum rate of wages
payable to employees
(a) for time work; or
(b) for piece work.
The minimum rate of wages on time work basis may be fixed in
accordance with any one or more of the following wage periods, namely:––
(i) by the hour; or
(ii) by the day; or
(iii) by the month.
Components
of minimum wages
(1) Any minimum rate of wages fixed or revised
by the appropriate Government under section 8 may consist of––
(a) a basic rate of
wages and an allowance at a rate to be adjusted, at such intervals and in such
manner as the appropriate Government may direct, to accord as nearly as
practicable with the variation in the cost of living index number applicable to
such workers (hereinafter referred to as "cost of living allowance");
or
(b) a basic rate of
wages with or without the cost of living allowance, and the cash value of the
concessions in respect of supplies of essential commodities at concession
rates, where so authorised; or
(c) an
all-inclusive rate allowing for the basic rate, the cost of living allowance and
the cash value of the concessions, if any.
(2) The cost of
living allowance and the cash value of the concessions in respect of supplies
of essential commodities at concession rate shall be computed by such
authority, as the appropriate Government may by notification, appoint, at such
intervals and in accordance with such directions as may be specified or given
by the appropriate Government from time to time.
Procedure for fixing and revising minimum wages
(1) In fixing
minimum rates of wages for the first time or in revising minimum rates of wages
under this Code, the appropriate Government shall either—
(a) appoint as many
committees as it considers necessary to hold enquiries and recommend in respect
of such fixation or revision, as the case may be; or
(b) by notification
publish its proposals for the information of persons likely to be affected
thereby and specify a date not less than two months from the date of the notification
on which the proposals shall be taken into consideration.
(2) Every committee
appointed by the appropriate Government under clause (a) of sub-section (1)
shall consist of persons––
(a) representing
employers;
(b) representing
employees which shall be equal in number of the members
specified in clause
(a); and
(c) independent
persons, not exceeding one-third of the total members of the
committee.
(3) After
considering the recommendation of the committee appointed under clause (a) of
sub-section (1) or, as the case may be, all representations received by it
before the date specified in the notification under clause (b) of that
sub-section, the appropriate Government shall by notification fix, or as the
case may be, revise the minimum rates of wages and unless such notification
otherwise provides, it shall come into force on the expiry of three months from
the date of its issue: Provided that where the appropriate Government proposes
to revise the minimum rates of wages in the manner specified in clause (b) of
sub-section (1), it shall also consult concerned Advisory Board constituted
under section 42.
(4) The appropriate
Government shall review or revise minimum
rates of wages ordinarily
at an interval not exceeding five years.
No comments:
Post a Comment