Glimpses of Code of Wages Act-2019-Chapter-II & III

Glimpses of code of wages act-2019

Key Features of Code of Wages Act are as follows-

1.       No employer shall pay to any employee wages less than the minimum rate of wages notified by the appropriate Government. [Chapter- II, Section5]

2.       The appropriate Government shall review or revise minimum rates of wages ordinarily at an interval not exceeding five years. [Chapter- II, Section8(4)]

3.       The Central Government shall fix Floor Wage taking into account minimum living. [Chapter- II, Section9(1)]

4.       The employer shall pay or cause to be paid wages to the employees, engaged on—

(i)             daily basis, at the end of the shift;

(ii)            weekly basis, on the last working day of the week, that is to say, before the weekly holiday;

(iii)          fortnightly basis, before the end of the second day after the end of the fortnight;

(iv)           monthly basis, before the expiry of the seventh day of the succeeding month.

[Chapter- III, Section17(1)]

5.       Where an employee has been—

(i)                  removed or dismissed from service; or

(ii)                retrenched or has resigned from service, or became unemployed due to closure of the establishment,

the wages payable to him shall be paid within two working days of his removal, dismissal, retrenchment or, as the case may be, his resignation standards of a worker. [Chapter- III, Section17(2)]

{Note-Full & Final Settlement of an employee, who has been separated, should be done within 2 Working Days}

6.       No fine shall be imposed on any employee who is under the age of fifteen years. [Chapter- III, Section19(5)]

7.       No fine imposed on any employee shall be recovered from him by instalments or after the expiry of ninety days from the day on which it was imposed. [Chapter- III, Section19(6)]