Acts Replaced: Payment of Wages Act, Minimum Wages Act, Payment of Bonus Act, Equal Remuneration Act
Key Features:
Applicability: Covers all employees across organized and unorganized sectors.
Definitions: Uniform definition of “wages” (basic pay, DA, retaining allowance; excludes HRA, bonus, overtime, etc.).
Floor Wage: Central Government to fix a national floor wage; state minimum wages cannot be lower.
Minimum Wages: Applicable to all employments, reviewed every 5 years.
Payment of Wages: No wage ceiling; electronic transfer emphasized; dues payable within 2 days of termination/resignation.
No Discrimination: Equal pay for equal work, regardless of gender.
Bonus: Linked to performance; disqualification for sexual harassment; mandatory bank transfer within 8 months.
Contractor Payments: Principal employer responsible to ensure timely wage payment to contract workers.
Transparency: Fines only with prior approval; deductions monitored by Inspector‑cum‑Facilitator.
