Mehar, who is a Company Secretary was invited as Chief Guest in a Debate Competition organised by the City Law College. The law students were given the following topic for debate: "The Code on Wages, 2019 is merely the a

CS Professional · Labour Laws and Practice · PYQS · December 2025
Mehar, who is a Company Secretary was invited as Chief Guest in a Debate Competition organised by the City Law College. The law students were given the following topic for debate: "The Code on Wages, 2019 is merely the amalgamation of the existing enactments relating to wages and has not widened the scope of minimum wages to all workers". Ten students participated in the debate, five in favour of the Code and five against the Code. At the end of the debate session, Mehar was invited to say few words about the Code. Write down the speech highlighting the key points of the Code on Wages and how the Code would facilitate the implementation and ease of compliance of labour laws.

Answer & Explanation:

The salient features of the Code on Wages, 2019 to be covered by Mehar in the speech are given below: The Code on Wages, 2019 amalgamate, simplify and rationalise the relevant provisions of the following four central labour enactments relating to wages, namely: - The Payment of Wages Act, 1936; The Minimum Wages Act, 1948; The Payment of Bonus Act, 1965; and The Equal Remuneration Act, 1976. The amalgamation of the said laws will facilitate the implementation and also remove the multiplicity of definitions and authorities without compromising on the basic concepts of welfare and benefits to workers. The Code on Wages, 2019 would bring the use of technology in its enforcement. All these measures would bring transparency and accountability which would lead to more effective enforcement. Widening the scope of minimum wages to all workers would be a big step for equity. The facilitation for ease of compliance of labour laws will promote in setting up of more enterprises thus catalyzing the creation of employment opportunities. The salient features of the Code on Wages, 2019, inter alia, are as follows: - It provides for all essential elements relating to wages, equal remuneration, its payment and bonus; The provisions relating to wages shall be applicable to all employments covering both organised as well as un-organised sectors; The power to fix minimum wages continues to be vested in the Central Government as well the State Government in their respective sphere; It enables the appropriate Government to determine the factors by which the minimum wages shall be fixed for different category of employees; The provisions relating to timely payment of wages and authorised deductions from wages, shall be made applicable to all employees irrespective of wage ceiling; Wages to employees may also be paid by cheque or through digital or electronic mode or by crediting it in the bank account of the employee; It provides for floor wage for different geographical areas so as to ensure that no State Government fixes the minimum wage below the floor wage notified for that area by the Central Government; It empowers the appropriate Government to appoint Inspectors-cum-Facilitators in the place of Inspectors; It empowers the appropriate Government to determine the ceiling of wage limit for the purpose of eligibility of bonus and calculation of bonus; In the place of number of authorities at multiple levels, it empowers the appropriate Government to appoint one or more authorities to hear and decide the claims under the proposed legislation; It enables the appropriate Government to establish an appellate authority to hear appeals for speedy, cheaper and efficient redressal of grievances and settlement of claims; It provides for graded penalty for different types of contraventions of the provisions of the proposed legislation; It provides that the Inspector-cum-Facilitator shall give an opportunity to the employer before initiation of prosecution proceedings in cases of contravention; It provides for the appointment of officers not below the rank of Under Secretary to the Government of India or an officer of equivalent level in the State Government to dispose of cases punishable only with fine up to fifty thousand rupees, so as to reduce the burden on subordinate judiciary; It provides for compounding of those offences which are not punishable with imprisonment; It provides that where a claim has been filed for non-payment of remuneration or bonus or less payment of wages or bonus or on account of making deduction not authorised by the proposed legislation, the burden shall be on the employer to prove that the said dues have been paid to the employee; It enables the appropriate Government to constitute Advisory Boards at Central and State level; The period of limitation for filing of claims by a worker has been enhanced to three years.

Topics: Code on Wages, 2019

Open in Interactive Practice Hub · Full Practice Hub · Chapter Weightage · More in this subject

Related Questions in this Topic