Section 44: Claims under the Code

Overview

Section 44 of the Code on Wages, 2019 deals with the process employees can follow to claim unpaid wages, bonuses, or other dues they are legally entitled to. It establishes a mechanism for resolving wage-related disputes through a designated authority.

Scope and Coverage

• Which employees and establishments are covered: This section applies to all employees, regardless of their wage level or type of employment (skilled, unskilled, manual, supervisory, etc.). It covers all establishments where the Code on Wages applies.
• Any thresholds or exclusions: There are no specific thresholds or exclusions regarding the amount of the claim or the size of the establishment. Any employee entitled to wages or bonus can approach the authority.

Key Obligations and Rights

• Main duties of employers: Employers are obligated to pay wages and bonuses as per the provisions of the Code on Wages and any other applicable laws. While this section doesn't *directly* impose a new duty, it reinforces the employer's responsibility to ensure accurate and timely payment.
• Important rights or protections for employees: Employees have the right to approach the designated authority if their wages or bonuses are not paid. This provides a legal avenue for redressal, ensuring they aren't left without a remedy. The authority is obligated to hear and decide on their claims.

Compliance and Penalties

If an employer fails to pay wages or bonuses as required, and an employee successfully claims their dues through the authority, the employer will be legally bound to make the payment. Non-compliance with the authority’s order can lead to further legal action, including potential penalties and prosecution under the Code. Inspections can be conducted to verify wage payments and compliance.

Practical Examples

• Example 1 from a typical workplace: Ramesh works in a factory. He hasn't received his bonus for the last financial year, despite being eligible according to the company's policy and the Code on Wages. He can file a claim with the authority appointed by the government, providing evidence of his eligibility.
• Example 2 for a borderline scenario: Priya was dismissed from her job and believes she is owed unpaid wages for the days she worked in the pay period before her termination. She can file a claim with the authority to recover those wages, even if the employer disputes the number of days worked.