Cabinet clears wage code bill, likely to be introduced in House today

india

Updated: Jul 27, 2017 00:04 IST

Prime Minister Narendra Modi-led Union Cabinet cleared the new wage code bill on Wednesday, finally giving a push to long-pending labour reforms.

The bill, which ensures a minimum wage across all sectors, will consolidate four labour laws.

The Left trade unions, however, are opposed to the reforms.

“The draft bill didn’t mention how the minimum wages would be calculated. There is ambiguity on the formula,” said CITU general secretary Tapan Sen.

The wage code bill will impact around four crore employees in the country.

As per the bill, the Centre will set a minimum wage and no states can pay its workers below the level stipulated by the Centre. States, however, are free to give higher minimum wage.

The new minimum wage norms will be applicable for all workers irrespective of their pay.

(With agency inputs)