Five Key Factors you should understand about New Wage Code

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New Wage Code

The new labour code in India is the Code on Wages, 2019, which was enacted by the Indian Parliament on August 8, 2019. The new wage code replaces four existing labor laws – the Minimum Wages Act, 1948, the Payment of Wages Act, 1936, the Payment of Bonus Act, 1965, and the Equal Remuneration Act, 1976 – and consolidates them into a single code.

Some of the key things that you should know about the new wage code in India include:

1. The new wage code establishes a national minimum wage for all workers in India, and it provides for the payment of equal wages to workers for work of equal value.

2. The new wage code requires employers to pay wages to workers on a regular basis, and it prohibits the deduction of wages for reasons other than those specified in the code.

3. The new wage code applies to all establishments employing at least ten workers, and it is administered by the Ministry of Labour and Employment.

4. The new wage code sets the maximum number of working hours for workers at eight hours per day and 48 hours per week, although state governments can fix a higher number of working hours for certain classes of workers.

5. The new wage code requires employers to provide at least one day of rest per week to workers, and it allows workers to work overtime in certain circumstances. Workers who work overtime are entitled to overtime pay at the rate of twice their ordinary rate of wages.

Overall, the new wage code in India is intended to provide greater protection and security to workers and to promote the growth of the Indian economy. It establishes a national minimum wage and sets out the rights and obligations of employers and workers in relation to wages, working hours, and other labor-related matters

What are the working hours as per new labour code?

The working hours for workers in India are governed by the Code on Wages, 2019, which is the new wage code that was enacted by the Indian Parliament on August 8, 2019. Under the new wage code, the maximum number of working hours for workers is eight hours per day and 48 hours per week.

However, the new wage code allows the state governments to fix a higher number of working hours for certain classes of workers, such as those employed in hazardous occupations or in agricultural and industrial establishments. In such cases, the state government can fix the maximum number of working hours at up to nine hours per day and up to 54 hours per week.

The new wage code also requires employers to provide at least one day of rest per week to workers, and it allows workers to work overtime in certain circumstances. Workers who work overtime are entitled to overtime pay at the rate of twice their ordinary rate of wages.

Overall, the working hours for workers in India are governed by the new wage code, and the maximum number of working hours is eight hours per day and 48 hours per week. However, state governments can fix a higher number of working hours for certain classes of workers, and workers are entitled to overtime pay for any hours worked beyond the maximum number of working hours.

Legal Disclaimer: The information contained in this blog post is for general information and educational purposes only. Nothing contained in this blog post should be construed as legal advice from The Aran Law Firm or the individual author, nor is it intended to be a substitute for legal counsel on any subject matter.

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