Compliances Related to Payment of Dues, Claims and Audit under the Code on Wages (Rajasthan) Rules, 2021

Introduction

The Code on Wages establishes a clear mechanism for ensuring that employees receive timely payment of all wage-related dues, including salaries, bonuses, and any amounts owed upon termination of employment. It sets specific timelines for payment and provides a streamlined grievance-redressal system for workers to raise claims relating to unpaid or short-paid wages. Under the Code, an authorised authority is empowered to hear and decide wage claims, order compensation where appropriate, and ensure recovery of dues from defaulting employers. The Code also introduces provisions for maintaining transparency in wage records and encourages accountability through audits and inspections, which help verify compliance with wage payment norms.

Applicability

The Code on Wages (Rajasthan) Rules, 2021, when read with the Code on Wages, 2019, apply to:

The provisions apply irrespective of industry, wage level, or number of employees, covering:

  • Factories
  • Shops and commercial establishments
  • Industrial establishments
  • Contract labour engaging entities
  • IT/ITES companies
  • Manufacturing units
  • Small, medium, and large enterprises
  • Any establishment employing even one employee

Compliance Requirements under the Code on Wages (Rajasthan) Rules, 2021 in Accordance with the Code

  1. Payment of various undisbursed dues in case of death of employee (Section 44(1)(b), Rule 38)

Where any amount payable to an employee under this Code remains undisbursed because either no nomination has been made by such employee or for any other reason, such amounts could not be paid to the nominee of employee until the expiry of six months from the date the amount had become payable, all such amounts shall be deposited by the employer with the the Authority as notified by the State Government having jurisdiction before the expiry of the fifteenth day after the last day of the said period of six months, through bank transfer or demand draft of a scheduled bank in favour of the Authority.

  1. Amount due under Code to be paid to nominee in case of death/whereabouts being unknown of employee (Section 44(1))

All amounts payable to an employee under this Code shall, if such amounts could not or cannot be paid on account of his death before payment or on account of his whereabouts not being known- a) be paid to the person nominated by him in this behalf in accordance with the rules made under this Code (b) where no such nomination has been made or where for any reasons such amounts cannot be paid to the person so nominated, be deposited with the such authority, as may be prescribed, who shall deal with the amounts so deposited in the manner as may be prescribed

Where no such nomination has been made or where for any reasons such amounts cannot be paid to the person so nominated, be deposited with the such authority, as may be prescribed, who shall deal with the amounts so deposited in the manner as may be prescribed

  1. Deposit of unpaid amount due under the Code (Section 44(1)(a), Rule 37)

Where any amount payable to an employee under the Code is due after his death or on account of his whereabouts not being known, and the amount could not be paid to the nominee of the employee until the expiry of three months from the date the amount had become payable, then, such amount shall be deposited by the employer with the Authority as notified by the State Government having jurisdiction, who shall disburse the amount to the person nominated by the employee after ascertaining his identity within two months of the date on which the amount was so deposited with him.

  1. Form I & IV : Employee Register and Form V for details of overtime work (Section 50 (1), Rule 42(3))

Every employer of an establishment to which the Code applies shall maintain registers under sub-section (1) of Section 50 in Form I and Form IV, electronically or otherwise along with muster roll and details of overtime work in Form-V

1.Every employer shall display a notice on the notice board at a prominent place of the establishment containing the abstract of this Code, category-wise wage rates of employees, wage period, day or date and time of payment of wages, and the name and address of the Inspector-cum-Facilitator having jurisdiction. This compliance not applicable to employers who employ not more than 5 persons for agriculture or domestic purpose.

  1. Working Hours Restrictions for Women in Rajasthan (Rule 6(3))

No woman shall be employed or permitted to work beyond 6 p.m. and earlier than 6 a.m. during 1st September to the end of February or beyond 7 p.m. and earlier than 7a.m. from 1st March to 31st August, except those who is working in the establishment which is either exempted or relaxation has been given by the State Government.

    1. This provisions for employees in agricultural employment may be modified as determined by the State Government.
    2. Nothing in this rule shall be deemed to affect the provisions of the Occupational Safety, Health and Working Conditions Code, 2020
  1. Display of Notice containing the abstract of this Code etc. in Rajasthan (Section 50 (2), Rule 42(4))

Every employer shall display a notice in Form VI on notice board at a prominent place of establishment containing abstract of Code On Wages, 2019, category-wise wage rates of employees, wage period, day/date and time of payment of wages and name and address of the Inspector-cum-Facilitator having jurisdiction

Penalty & Punishment

  • Contravenes any other provision of this Code or any rule made or order made or issued thereunder shall be punishable with fine which may extend to Rs.20000.

If again found guilty of similar offence under this clause, within 5 years from the date of the commission of the first or subsequent offence, he shall, on the second and the subsequent commission of the offence under this clause, be punishable with imprisonment for a term which may extend to one month or with fine which may extend to Rs.40000/-, or with both.

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