Skip to content

CS Executive · Setting Up of Business, Industrial and Labour Laws · The Code on Wages, 2019

Under the Code on Wages, 2019, an employee's claim is decided by the authority appointed by the appropriate Government, which orders payment of compensation. What is the maximum compensation that may be ordered in addition to the claim determined?

The authority may order compensation up to ten times the claim determined, in addition to the claim itself. This is provided for claims arising under the Code, which the authority should try to decide within three months. If the employer does not pay, a recovery certificate goes to the Collector.

  1. ATwice the claim determined
  2. BFive times the claim determined
  3. CTen times the claim determinedCorrect
  4. DRs 50,000 irrespective of the claim

Explanation

The authority may order compensation in addition to the claim determined, extending up to ten times the claim determined. Endeavour is made to decide the claim within three months. The fixed Rs 50,000 figure is the fine for underpayment, not compensation.

Did you get it right without looking?

One question tells you little. A timed set on The Code on Wages, 2019 shows your real accuracy, how long you take and where you lose marks.

Practise The Code on Wages, 2019Free diagnostic mock

More The Code on Wages, 2019 questions