Wage Code a New Hope for Unorganized Labour Class

You may say I'm a dreamer, but I'm not the only one. I hope someday you'll join us. And the world will live as one.

- John Lennon

The Rajya Sabha, on Friday, passed the Code on Wages Bill, 2019, which allows the Centre to set a minimum statutory wage, a move expected to benefit 500 million workers across the country. The bill has been passed in the Lok Sabha last week and will now go for President's assent following which it will become an Act

This Code is the new hope for country which want to give equal opportunity to all working class. It is widely acknowledged that the informal sector suffers from a low productivity syndrome, compared to the formal sector. The prominent features of the sector are lower real wages and poor working/living conditions. This Wages Code Bill (also OHS Code) shall be new hope for the Employing Nation. As per the National Sample Survey Organization the total employment in the country was of 46.5 crore comprising:- 

1. Around 2.8 crore in the organised and
2. Remaining 43.7 crore workers in the unorganized sector.

• 24.6 crore workers employed in agricultural sector
• 4.4 crore in construction work and remaining in manufacturing and service.

Once the Hon'ble President of India gives his assent in the Bill then the unorganized sector who were out of the ambit of minimum wages will get legislative protection of minimum wages. Employees getting monthly salary will get their salary by 7th of next month, those who working on a weekly basis will get their salary on last day of the week and daily wagers should get it on the same day.​

Rather shall like to mention this is the beginning of socioeconomic, our economy is characterized by the existence of this unorganized labour employment, this Wages Code Bill have the capacity to directly add and improve the standard of leaving to this remaining 43.7 Cr. unorganized worker.

Predominance of this informal employment is the central features Indian labour. This sector contributes around half of the GDP of the county, the contribution of unorganized sector to GDP is about 50% (NCEUS 2008). As we know that the growth of formal employment in our country has always been less than that of total employment, indicating a faster growth of employment in the informal sector. Even the formal sector also have the proportion of unorganized workers, which is on the increase. 

It is widely acknowledged that the informal sector suffers from a low productivity syndrome, compared to the formal sector. The prominent features of the sector are lower real wages and poor working/living conditions. This Wages Code Bill (also OHS Code) shall be new hope for the Employing Nation.

Society does not consist of individuals, but expresses the sum of interrelations, the relations within which these individuals stand.

- Karl Marx, Grundrisse,