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LS passes Wage Code Bill to ensure minimum wage for workers

The Code on Wages Bill, 2019, which seeks to amend and consolidate the laws relating to wages and bonus and matters connected therewith will benefit 50 crore workers, was passed by the Lok Sabha on Tuesday. The bill will enable introduction of minimum wage for every worker besides addressing issues like delay in payment to employees.

Lok Sabha passes Wages Code Bill
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Published : Jul 31, 2019, 10:07 AM IST

Updated : Jul 31, 2019, 11:49 AM IST

New Delhi: The Lok Sabha on Tuesday passed the Wages Code Bill that will enable introduction of minimum wage for every worker besides addressing issues like delay in payment to employees.

The Code on Wages Bill, 2019, which seeks to amend and consolidate the laws relating to wages and bonus and matters connected therewith will benefit 50 crore workers, Labour Minister Santosh Kumar Gangwar said.

The Bill which was passed by voice vote subsumes four labour laws -- Minimum Wages Act, Payment of Wages Act,

Payment of Bonus Act and Equal Remuneration Act. After its enactment, all these four Acts would be repealed.

Gangwar said that while drafting the bill, the government has accepted 17 out of the 24 recommendations made by the Standing Committee which had scrutinised the similar bill
introduced inthe previous Lok Sabha.

As per the bill, the tripartite committee comprising representatives of trade unions, employers and state government would fix a floor wage for workers throughout the
country, Gangwar said, adding "minimum wage will become right of every worker."

In addition to other things, the Bill will effectively address the problems relating to delay in payment of wages whether on monthly, weekly or daily basis, the Minister said.

The Code universalises the provisions of minimum wages and timely payment of wages to all employees irrespective of the sector and wage ceiling.

At present, the provisions of both Minimum Wages Act and Payment of Wages Act apply on workers below a particular wage ceiling working in Scheduled Employments only.

The floor wage will be computed based on minimum living conditions, benefiting about 50 crore workers across the country.

At present there are 12 definitions of wages in the different Labour Laws leading to litigation besides difficulty in its implementation.

The definition has been simplified in the Bill and is expected to reduce litigation and also reduce compliance cost for employers.

The Code on Wages Bill was earlier introduced in Lok Sabha on August 10, 2017 and was referred to Parliamentary Standing Committee which submitted its Report on December 8, 2018.

However, owing to dissolution of 16th Lok Sabha, the Bill had lapsed. Therefore, a fresh Bill was drafted after considering the recommendations of the Parliamentary Standing Committee and other suggestions of the stakeholders.

Initiating the debate on the Bill, Congress member K Suresh alleged that the bill was aimed at benefiting the corporate and not workers, and was a reflection of the "indifferent attitude of the government".

Even RSS-affiliated trade union Bharatiya Mazdoor Sangh (BMS) had opposed the Wages Code, he said, adding the enactment of the bill will result in labour unrest and disturb
industrial peace.

Saugata Roy (TMC) said that workers were struggling to save the existing benefits from employers who themselves are feeling stressed on account of policies of the government.

Supriya Sule (NCP) said that the government has failed to pay wages of BSNL and MTNL employees and the Code on Wages Bill, 2019 is an eyewash.

Pallab Lochan Das (BJP) said the issue will address the issue gender disparity.

Jayadev Galla (TDP) said the government should synchronise the MNREGA and the minimum wage.

Others who spoke in the discussion include Virendra Kumar (BJP) and D Ravikumar (DMK).

Read: India's 'Coffee King' missing, search ops underway

New Delhi: The Lok Sabha on Tuesday passed the Wages Code Bill that will enable introduction of minimum wage for every worker besides addressing issues like delay in payment to employees.

The Code on Wages Bill, 2019, which seeks to amend and consolidate the laws relating to wages and bonus and matters connected therewith will benefit 50 crore workers, Labour Minister Santosh Kumar Gangwar said.

The Bill which was passed by voice vote subsumes four labour laws -- Minimum Wages Act, Payment of Wages Act,

Payment of Bonus Act and Equal Remuneration Act. After its enactment, all these four Acts would be repealed.

Gangwar said that while drafting the bill, the government has accepted 17 out of the 24 recommendations made by the Standing Committee which had scrutinised the similar bill
introduced inthe previous Lok Sabha.

As per the bill, the tripartite committee comprising representatives of trade unions, employers and state government would fix a floor wage for workers throughout the
country, Gangwar said, adding "minimum wage will become right of every worker."

In addition to other things, the Bill will effectively address the problems relating to delay in payment of wages whether on monthly, weekly or daily basis, the Minister said.

The Code universalises the provisions of minimum wages and timely payment of wages to all employees irrespective of the sector and wage ceiling.

At present, the provisions of both Minimum Wages Act and Payment of Wages Act apply on workers below a particular wage ceiling working in Scheduled Employments only.

The floor wage will be computed based on minimum living conditions, benefiting about 50 crore workers across the country.

At present there are 12 definitions of wages in the different Labour Laws leading to litigation besides difficulty in its implementation.

The definition has been simplified in the Bill and is expected to reduce litigation and also reduce compliance cost for employers.

The Code on Wages Bill was earlier introduced in Lok Sabha on August 10, 2017 and was referred to Parliamentary Standing Committee which submitted its Report on December 8, 2018.

However, owing to dissolution of 16th Lok Sabha, the Bill had lapsed. Therefore, a fresh Bill was drafted after considering the recommendations of the Parliamentary Standing Committee and other suggestions of the stakeholders.

Initiating the debate on the Bill, Congress member K Suresh alleged that the bill was aimed at benefiting the corporate and not workers, and was a reflection of the "indifferent attitude of the government".

Even RSS-affiliated trade union Bharatiya Mazdoor Sangh (BMS) had opposed the Wages Code, he said, adding the enactment of the bill will result in labour unrest and disturb
industrial peace.

Saugata Roy (TMC) said that workers were struggling to save the existing benefits from employers who themselves are feeling stressed on account of policies of the government.

Supriya Sule (NCP) said that the government has failed to pay wages of BSNL and MTNL employees and the Code on Wages Bill, 2019 is an eyewash.

Pallab Lochan Das (BJP) said the issue will address the issue gender disparity.

Jayadev Galla (TDP) said the government should synchronise the MNREGA and the minimum wage.

Others who spoke in the discussion include Virendra Kumar (BJP) and D Ravikumar (DMK).

Read: India's 'Coffee King' missing, search ops underway

ZCZC
URG ECO GEN NAT
.NEWDEL PAR24
LS-LD WAGE CODE
LS passes Wage Code Bill to ensure minimum wage for workers
         New Delhi, Jul 30 (PTI) Lok Sabha on Tuesday passed the
Wages Code Bill that will enable introduction of minimum wage
for every worker besides addressing issues like delay in
payment to employees.
         The Code on Wages Bill, 2019, which seeks to amend and
consolidate the laws relating to wages and bonus and matters
connected therewith, will benefit 50 crore workers, Labour
Minister Santosh Kumar Gangwar said.
         The Bill which was passed by voice vote subsumes four
labour laws -- Minimum Wages Act, Payment of Wages Act,
Payment of Bonus Act and Equal Remuneration Act. After its
enactment, all these four Acts would be repealed.
         Gangwar said that while drafting the bill, the government
has accepted 17 out of the 24 recommendations made by the
Standing Committee which had scrutinised the similar bill
introduced inthe previous Lok Sabha.
         As per the bill, the tripartite committee comprising
representatives of trade unions, employers and state
government would fix a floor wage for workers throughout the
country, Gangwar said, adding "minimum wage will become right
of every worker."
         In addition to other things, the Bill will effectively
address the problems relating to delay in payment of wages
whether on monthly, weekly or daily basis, the Minister said.
         The Code universalises the provisions of minimum wages
and timely payment of wages to all employees irrespective of
the sector and wage ceiling.
         At present, the provisions of both Minimum Wages Act and
Payment of Wages Act apply on workers below a particular wage
ceiling working in Scheduled Employments only.
         The floor wage will be computed based on minimum living
conditions, benefiting about 50 crore workers across the
country.
         At present there are 12 definitions of wages in the
different Labour Laws leading to litigation besides difficulty
in its implementation.
         The definition has been simplified in the Bill and is
expected to reduce litigation and also reduce compliance cost
for employers.
         The Code on Wages Bill was earlier introduced in Lok
Sabha on August 10, 2017 and was referred to Parliamentary
Standing Committee which submitted its Report on December 81,
2018.
         However, owing to dissolution of 16th Lok Sabha, the Bill
had lapsed. Therefore, a fresh Bill was drafted after
considering the recommendations of the Parliamentary Standing
Committee and other suggestions of the stakeholders.
         Initiating the debate on the Bill, Congress member K
Suresh alleged that the bill was aimed at benefiting the
corporate and not workers, and was a reflection of the
"indifferent attitude of the government".
         Even RSS-affiliated trade union Bharatiya Mazdoor Sangh
(BMS) had opposed the Wages Code, he said, adding the
enactment of the bill will result in labour unrest and disturb
industrial peace.
         Saugata Roy (TMC) said that workers were struggling to
save the existing benefits from employers who themselves are
feeling stressed on account of policies of the government.
          Supriya Sule (NCP) said that the government has failed
to pay wages of BSNL and MTNL employees and the Code on Wages
Bill, 2019 is an eyewash.
Pallab Lochan Das (BJP) said the issue will address the
issue gender disparity.
         Jayadev Galla (TDP) said the government should
synchronise the MNREGA and the minimum wage.
         Others who spoke in the discussion include Virendra Kumar
(BJP) and D Ravikumar (DMK). PTI CS BKS PR
RT
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Last Updated : Jul 31, 2019, 11:49 AM IST
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