Govt. makes effective selective provisions of wages Code to constitute advisory board
Central govt. has made certain provisions of Code on wages 2019 effective from 18.12.20 . The notification No. is S.O. 4604( E ) dated 18.12.2020. There will be no practical impact of these provisions on business operations of industries. The purpose of making these few selective provisions effective is to constitute National Advisory Boards for deciding the floor wages.
Now Sections 42, 67 and 69 of Code of Wages, 2019 have come into effect so far as it is with extent related to the “Constitution of the Central Advisory Board” which is going to decide “Floor Wages” for different geographical area and this “Floor Wages” will be the benchmark to all State Government.
Then, the State Governments will also constitute State Advisory Boards.
Once the national floor wages are decided and declared by the Central Govt. the state Govt. may have to issue fresh minimum wages notifications in their states to match the minimum wages with national floor wages if it falls short of that. Because as per new provisions off code on wages No employer will give minimum wages less than the minimum wages decided by the Central Government or the State Government.