New Delhi, July 27 (KNN) The new wage code bill, which ensures a minimum wage across all sectors, will soon be a reality as the Union Cabinet on Wednesday gave a nod to it. It is likely to be introduced in the Parliament today.

Prime Minister Narendra Modi-led Union Cabinet cleared the wage code bill giving a push to long-pending labour reforms.

As per the bill, the Centre will set a minimum wage and no states can pay its workers below the level stipulated by the Centre. States, however, are free to give higher minimum wage.

The new minimum wage norms will be applicable for all workers irrespective of their pay.

The Code on Wages Bill, which will ensure universal minimum wage for all industries and workers, has already been approved by the finance minister Arun Jaitley-led inter-ministerial panel on labour.

The Code on Wages Bill also seeks to empower the Centre to set a minimum wage across sectors, and states will have to follow that. However, states will be able to provide higher minimum wage in their jurisdiction than fixed by the central government.

Under the Code on Wages, four wage-related statutes will be amalgamated including the Minimum Wages Act, 1948, the Payment of Wages Act, 1936, the Payment of Bonus Act, 1965, and the Equal Remuneration Act, 1976.

At present, there are about half a dozen definitions of wages in various Acts across the Centre and states.

At present, the states are free to fix wages for various category of workers as there is no benchmark minimum wage which is applicable across the country.

After the amendment, the states will have to maintain a benchmark minimum wage fixed by the Centre.

The code will ensure universal minimum wage for all industries and workers. It will also cover those workers, who are getting monthly pay of higher than Rs 18,000.

At present, laws on wages do not cover workers getting monthly wage of more than Rs 18,000.

Besides, the minimum wage will be applicable on all classes of workers. At present, it is applicable for scheduled industries or establishments in the law.

In July 2016, Rajasthan became the first state in India to introduce minimum wages for part time workers after which it became mandatory to pay 50 per cent of the prescribed a day minimum wage to a worker who works for less than four hours in a day. This brought even the part time workers under the Minimum Wages Act, 1948. (KNN Bureau)