Ensuring Wage Justice In India: Examining The Process Of Fixation And Revision Under The Code On Wages, 2019
- IJLLR Journal
- Nov 20
- 2 min read
Rishabh Dwivedi, Vivekananda Institute of Professional Studies
ABSTRACT
The historic labour welfare system in India has always been contextually bound to the labour wage regulation system as a way of harmonizing the industrial productivity and social justice. Based on the idea that no employee is to be paid less than the price of living, the idea of minimum wages was born as a remedial response to the colonial period oppression and economic disparity. In 1948 with the introduction of the Minimum Wages Act, 1948 was a milestone step in the protection of labour, but was marred by fragmentation, lack of coverage and administration inefficiencies. The Code on Wages, 2019 represents a paradigm shift because it brings together four significant wage-oriented laws into a single and clear structure that all sectors would use such as the unorganised workforce. At the heart of this Code lies the establishment of a National Floor Wage, harmonised definitions, and participatory mechanisms via tripartite advisory boards, and hence the harmonisation of the Indian labour law with the international standards, like the ILO Convention No. 131. This paper provides a critical analysis of the procedural framework of the Code that sets and revises minimum wages, the use of advisory boards, and judicial interpretations that render the Code constitutional. It brings out the long-term issues of data inconsistency, loopholes in the informal sector, and political interference. The paper also assesses the socio-economic effects of wage fixation in alleviating poverty, employment, and inclusive development. Finally, it concludes that even though the Code on Wages, 2019 is a positive move in the direction of creating sustainable and inclusive labour welfare in India, its effectiveness relies on the efficient use of data, technological interdependence, and better coordination of centre-state to ensure sustainable labour welfare.
