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An Overview Of Code On Wages 2019

An Overview Of Code On Wages 2019

Contents  hide 

1 Introduction

2 Features Of The Code

2.1 Wages do not include the following –

2.2 Employee

2.3 Remuneration

2.4 Sixth feature – Payment

2.5 Inspector Cum Facilitator

2.6 Issues Workplace

3 Conclusion

4 Footnotes

4.1 Related

Introduction

It is not wrong if it’s said that one of the most exploited sections of people or occupations would be “Labor”. The complexity in labor-related laws always considers a hindrance to the smooth functioning of a country. But after the Code of Wages 2019 came we can say that it was a great relief in simplifying. And justifying the laws related to the Labors.

A Second National Commission form by the Union Government gave a brief in June 2002. It suggests by the said Commission that the labor laws were in existence. Should broadly divide into four groups. Keeping this viewpoint in mind the Union government has given a proposal of enacting four labor codes. Thus, comprehending 29 labor law legislations. Out of these legislations. The Code of Wages,2019 (Wager Code) was the first to get agreement from the legislation. As well as of the President on August 8, 2019. The basic feature of this code is to amend the laws which are about remuneration. Bonus and other matters connected.

The following laws were subside by the Wager code 2019:

  • The act about payment of wages,1936 (PWA)
  • The minimum wages Act,1948 (MWA)
  • The act about payment of bonus,1965 (PBA)
  • The Equal Remuneration Act,1976 (ERA)

The Rules under the Code are all about how to fix the minimum wages, the manner of making payments as well as to fix the floor wage by the Central Advisory Board. The Code consists of 69 sections which bifurcate into nine chapters.

Features Of The Code

1. The first thing which the code is about refers to the equal applicability of the timely payment of wages to the laborers. Previously under the PWA, one could only draw wages up to some given limit only and MWA applied only scheduled employment. The code also promises minimum wages to all working ignoring the work ceiling and sectors.

2. The second benefit provide by the code is that there should be only one definition of the word “wages”. This step was taken because under PWA, MWA, PBA the word “wages” carried different meanings to it which resulted in many legal consequences. Thus, for making it easy for the counting and payment of wages the code provides a single meaning of the word wages. Basically, the Wager Code says that the term “wages” means that whatever remuneration must be paid in form of monthly salary, allowances, etc. symbolized in the form of money should be paid in addition to dearness allowance, basic pay, and retaining allowance if any.

Wages do not include the following –

However few things such as the supply of water, electricity, the value of a house in which an employee is residing, bonus payable under any other law, provident fund, gratuity payable, and few other similar things do not include under the definition of “wages”.

Employee

3. the Third feature focuses on the distinction between “Employee” and “Worker”. It provides a separate definition for both. According to the code, a worker is a person who is not doing it. some skill, unskill, physical work, technical, operational, work that is on the clerical basis or supervisory work in any industry for hire or some recognition. Also includes person working as journalists as well as sales promotion employee but the persons who work as managers or do administrative work, those who supervise over others or those people whose monthly salary is more than INR 15000 or as given by the Central Government timely are excluding.

Whereas the word “employee” under the Wager Code is about all those who don’t work in any organization for doing any skilled, unskilled, physical, as managers, as an administrator, work related to technicalities or clerical work for any hire or benefit whether the condition of employment is through express or by implication.

Remuneration

4.  It’s very important that in all forms of work that remuneration should be equal and just. Therefore, the fourth point is about the minimum wages paid as under MWA the wages were given in relation to schedule employment. Now under Wager Code central government is the deciding factor for providing minimum wages to workers based on the standard of their living which is determined according to the place they reside. This method is called floor wage. The wage code specifies that the government responsible should review and check this process every five years and the state government should never fix minimum wages less than the floor rate determined by the central government.

5. Discrimination based on sex and the kind of work a person associate with is very prominent in our society. Thus, to make sure this doesn’t happen with the laborers the code also says about paying equal remuneration to all regardless of which gender they are and the method of recruiting them should be done with the utmost respect.

Sixth feature – Payment

6. The sixth feature is all about the payment of gratuity commonly call as a bonus. There are no specific changes by the Wager Code related to this topic. It still follows almost everything provided by the PBA. Though there is a small change done which is earlier the limit for giving bonus was only to those earning less than INR 21000 but now a suitable government will decide about this matter. Also, previously if any person committed fraud or any violent behavior shown by him would disqualify him/her from taking a bonus but now the only criteria for disqualification person who has been found guilty of sexually harassing someone.

Inspector Cum Facilitator

7. There is a new concept provide under the Code which says, “Inspector cum Facilitator”. Now previously there were inspectors appoint to inspect and examinations to confirm the enactments. But now an “Inspector cum Facilitator” appointed under the Code who coordinates the enactments.

Issues Workplace

8.It’s very common to have issues at your workplace, but it should make sure that the concerned issues should be solved within a specific time period. Previously given laws had no minimum time-bound of doing this so the Wager Code investigated this matter as well. The issues regarding the payment of bonus or eligibility come under “industrial disputes”. So, the inspector keeps forward the claims. Within ninety days from the claim made and the specific authority should investigate in three months.

9. Along with giving all benefits it is also necessary to keep a check that these not misuse by the employees. So, the actions which come under giving fine the punishment is imprisonment for only second offenses. But the actions which are opposing the law the punishment and fines for them are relatively more. Further, a gazette officer should appoint to look after all these things.

Conclusion

Since all these provisions are given to the labor it’s very necessary that they understand. The importance of all these benefits and the laws related to them. It’s of my opinion that the labor class is the people who are looking after the most basic and important needs of our society. So, it’s very necessary to safeguard them and keep them content.

Footnotes

Internet Sources

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