An Analysis of Concept of Wages and Employer’s Capacity to Pay under 21st Century Labour Law

  • Ms. Namrta
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  • Ms. Namrta

    Assistant Professor at Acropolis Institute of Law, Indore, India

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The Code on Wages 2019 consolidates four existing laws: the Minimum Wages Act, 1948, the Payment of Wages Act, 1936, the Payment of Bonus Act, 1965, and the Equal Remuneration Act, 1976, into a single statute. The Codification of the Labour Laws removed the multiplicity of definitions and authorities leading to ease of compliance without compromising wage security and social security to the workers. Wages are important factor in any employment and is covered under the new as well as the old legislation but the capacity of employer to pay was not considered as a factor while deciding minimum wages. This paper tries to analyse the law on wages and the reports of various committees where employer’s capacity to pay was discussed.



Research Paper


International Journal of Legal Science and Innovation, Volume 6, Issue 1, Page 147 - 164


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