The wages should be more than 50% of the gross wages. Thereby, the employer may fix at least 50% as basic wages + DA + Retention Allowance (If Any) & rest 50% can be fixed other components as enumerated. However, no bifurcation of the minimum wages, either notify by the Central Government or the State Government, should be done for reducing the further statutory benefits of the employees.
Increase in Provident Fund Contribution from Employer and Employee’s, due to increase in Basic+ DA+ Retention Allowance (Minimum 50% of Gross Salary)
Increase in liability of Payment of Gratuity, since increase in Basic+ DA+ Retention Allowance (Minimum 50% of Gross Salary)
Increase in liability of Payment of Bonus, since increase in Basic+ DA+ Retention Allowance (Minimum 50% of Gross Salary) and also code does not specify upper limit for applicability of Bonus Act.
Now, Leave Encashment will be payable on Gross Salary, hence liability of employer for payment of leave encashment will be increase.
Employee definition includes Supervisory, Administrative and Managerial employees too.
24K sealing for employee definition dissolved.
Schedule Employment abolished. Thus now almost everyone will be covered under the definition of Employee.
OT double of normal wages VS current practice of double of Basic + DA
Consent of Employees for OT required.
There will be a National Floor wage. No state to have MW less than this.
F&F payment within 2 days after reliving
Inspector Vs Inspector-cum-Facilitator. Advisory role to Employer and Workers
Related Rules and Implementation date is pending. We need to wait.
Digital compliance enhanced
Basic + DA must be min 50% of gross wages
Wages paid in Kind cannot be more than 15% of the Gross wages.
Bonus shall be applicable to all even if the Basic + DA exceeds 21K. Need to wait for the rules for more clarity.
There is no gender discrimination in this code.
Conviction for Sexual Harassment stands as disqualification for Bonus applicability.
Web based inspection process introduced
Employee and Worker defined separately.
Electronic payments encouraged
Penalties will increase 10x
Now even an Employee and Trade Union can file a complaint against an Organisation. Earlier only the Inspector had this right.
Minimum Wages = Basic + DA + Retention Allow (Eg – Sugar Mills)
Minimum Wages will be revised every 5 years by Govt. Periodical revisions of DA will continue as it is.
Deductions from wages to be only as per prescription of law. No other deductions will be allowed.
4 Central acts merged in this code, namely Minimum Wages, Payment of Wages, Bonus Act and Equal Remuneration Act. It has 9 Chapters.
Please note that final rules are yet to be notified.
R. L. Soni has acted as faculty for Labour Laws at various Seminars as under:
- Confederation of Indian Industries (CII) (in this seminar various corporates participate)
- Institute of Chartered Accountants of India (ICAI) (Western Region)
- Nasik Branch of WIRC of ICAI;
- Bhilai Branch of CIRC of ICAI
- The Institute of Company Secretaries of India.
- The Bombay Chartered Accountants Society
- The Chamber of Tax Consultants
- Bombay Stock Exchange (BSE) Broker’s Forum
- Maharashtra Institute of Labour Studies (MILS- Government of Maharashtra) [Given training to Asst. Labour Commissioners and Govt. Labour Officers, and Shops & Estb Inspectors of Maharashtra State]
- Larsen & Toubro Limited
- The Tata Power Company Ltd.
- Hindustan Unilever Field Services Pvt. Ltd
- Vodafone Essar Limited
- Bajaj Electricals Ltd
- Anchor Electricals Pvt Ltd (By Panasonic)
- Polycab Wires Pvt Ltd
- Gammon India Ltd.
- 3i-Infotech Limited
- Maharashtra State Electricity Distribution Company Ltd
- Maharashtra State Power Generation Company Ltd
- Maharashtra State Electricity Transmission Company Ltd
- Dun & Bradstreet Information Services India Pvt. Ltd
- ABN AMRO Central Enterprise Services Pvt Ltd
- Bharatratna Dr. Ambedkar Institute of Management & Legal Research
- IL&FS Transportation Networks Limited
- Lodha Group of Companies
- Ajmera Group of Companies.
- Kanakia Spaces Pvt Ltd
- JMC Projects (India) Ltd
- Oberoi Realty Limited
- OMKAR REALTORS & DEVELOPERS PVT. LTD.
- National Academy of Indian Payroll (NAIP)
- V. O. Chartered & Cost Accountants Association
- Borivali (Central) CPE Study Circle of WIRC of ICAI,
- Ghatkopar CPE Study Circle of WIRC of ICAI
- J B Nagar C.A. Study Circle, Andheri,
- Dahisar CA Study Circle of WIRC of ICAI
- Pune Camp CPE Study Circle, of WIRC of ICAI
- Shri Kutchi Advocate’s Welfare Association
- Princeton Academy (in this seminar various corporates participate)
- Satvam Consulting Pvt. Ltd (in this seminar various corporates participate)
- Sharp Facility Management Pvt Ltd (in this seminar various corporates participate)
- STEPS Management Services Pvt. Ltd, UTTARKHAND (in this seminar various corporates participate)
- IEEMA (Indian Electronics & Electrical Manufactures Association)
- Bombay Management Association (BMA)
- Bombay Master Printers Associations
- Raishabh Academy Pvt Ltd
- Shree Vagad Kala Kendra
- Kutch Corporate Forum
- Association of System Integrators & Retailers in Technology (ASIRT)
- Paper Traders Association
- Smart Edge, Goa
- Sampat & Mehta (Chartered Accountants)
- Computer Media Dealers Association, Fort, Mumbai.
- Ahmedabad Branch of WIRC of ICAI.
- VAPI Industries Association.
- VAPI Branch of WIRC of ICAI.
- Carnival Group
- Masjid CPE Study Circle of WIRC of ICAI
- Highway Concessions One Pvt. Ltd.
- Trade Association of Information Technology (TAIT)
- Gowalis Industries Association (Vasai, District- Palghar)
- Foundation for Education of Girls
- The Borivali Diamonds Cutters & Polishers (Owners) Associations.
- Snacks Food Association of Maharashtra
- SMS Limited (Nagpur)
- Pramod Ram Ujagar Tiwari Saket Institue of Management (Kalyan)
- Lions Club of Bombay Mandvi (East)
- Vile Parle CPE Study Circle of WIRC of ICAI
- V Giri National Labour Institute (An Autonomous Body of Ministry of Labour & Employment, Government of India.)
- Idemitsu Lube India Private Limited
- Burns & McDonnell (India)
- Chetana’s Institute of Management & Research (CMIR) in association with (SIIOD)
- Mumbai Port Trust in association with (SIIOD)
- Anglo Eastern Ship Management (India) Private Limited
- Meher Distributors Pvt. Ltd.
- Impresario Handmade Restaurants.
- Bloomasia Incorporated
- Lions Club of Bombay Mandvi East
- Rotary Club of Mumbai Downtown Sealand
- Chamber of Small Industry Associations (COSIA, Nagpur)
- The Gem & Jewellery Export Promotion Council
- E.S.I., P.F. & Other Industrial Law Practitioners’ Association (EPILPA) ……
and many more