New Wage Labour Code: Central Government's big gift to private employees?; 3 days off in a week, and salary change
By Lokmat English Desk | Published: July 30, 2022 09:43 AM2022-07-30T09:43:56+5:302022-07-30T09:43:56+5:30
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New Labour Code may be implemented in the country soon. The government is gearing up to make major changes for the employed employees. Currently there is no fixed period for implementation of this new labor code. The Center wants all the states to implement the new labor code.
But the state government did not finalize the draft from them. The new labor code may come into effect in the next few months. Therefore, there is a possibility of getting many benefits for the employees working in the private sector.
Minister of State for Labor Rameshwar Teli said in the Parliament that most of the states have sent 4 labor code draft rules. Other states are in process. The new labor code deals with social security, industrial relations and occupational safety.
If the new labour code comes into force with 4 amendments, then the private employment under the new wage code is beneficial. First of all, there will be a change in their salary structure. After the implementation of the new wage code, the employees will get less in hand salary than before.
According to the government's new rules, the basic salary of an employee should not exceed 50 percent of his total salary. If the basic salary is higher, your contribution to the PF fund will be higher than before.
This rule of government will benefit after retirement. They will get a huge amount. Along with this, you will also get gratuity money. This means that the future of employees will be more financially viable after retirement.
Under the new labor code, there will be 4 working days and 3 days off per week. Your working hours in the office will increase. If you opt for 3 days off in a week, you will have to work 12 hours a day. That means you have to work full time 48 hours a week. After that 3 days week off.
Apart from that, there will be major changes in employee leave. While working in any establishment, it is necessary to work at least 240 days to take a long vacation. But according to the new labor code, an employee can take long leave after working for 180 days.
Regarding full and final settlement, the salary will be paid by the company to the employee within 2 days after leaving the job, dismissal, resignation from the company. Currently there are many rules on wages payment and settlement but there is no mention of resignation.