Code on Wages, 2019 - Advisory & Compliance

Code on Wages, 2019 - Advisory & Compliance

Compliance advisory on wage structuring, floor wages, final settlements and overtime rules.

• The 50% Rule (Section 2(y)): Basic Pay + DA must be at least 50% of CTC
• National Floor Wage (Section 9): statutory floor set by Central Government
• Strict Timelines for Final Settlements (Section 17): full and final settlement within 2 working days
• Overtime Mandate (Section 14): overtime paid at not less than twice the ordinary wage rate