Four Labour Codes 2020 — Set 9
Labour Laws · चार श्रम संहिताएं 2020 · Questions 81–90 of 200
Under the Code on Wages, what is the maximum bonus payable as a percentage of wages?
Correct Answer: C. 20%
The maximum bonus payable under the Code on Wages (incorporating the Payment of Bonus Act 1965) is 20% of annual wages. This maximum is paid when the employer's allocable surplus exceeds the amount required for minimum bonus. The minimum bonus is 8.33%, payable regardless of profit or loss, for workers earning up to Rs 21,000 per month.
What type of fund does the Industrial Relations Code 2020 establish for workers displaced by retrenchment?
Correct Answer: C. Re-skilling Fund
The Industrial Relations Code 2020 establishes a Re-skilling Fund to which employers must contribute 15 days' wages for each retrenched worker. This fund is used to train and reskill workers who lose their jobs due to retrenchment. The creation of such a fund reflects a shift from only compensating retrenched workers to also helping them find new employment.
Under the Code on Social Security, platform workers are defined as those working through:
Correct Answer: B. Online or digital platforms/aggregators
Platform workers under the Code on Social Security 2020 are defined as those who access organisations, work, or services through online or digital platforms. Examples include ride-sharing drivers, food delivery persons, and freelancers on digital marketplaces. The code mandates social security contributions by aggregator platforms for their associated platform workers.
Which Labour Code replaced the Unorganised Workers' Social Security Act 2008?
Correct Answer: C. Code on Social Security
The Unorganised Workers' Social Security Act 2008 is one of the nine laws consolidated under the Code on Social Security 2020. The earlier act had established the National Social Security Board and state-level boards for unorganised workers. The Code on Social Security retains and strengthens these provisions while extending the framework to gig and platform workers.
Under the Industrial Relations Code, the term 'worker' excludes persons employed in a managerial or administrative capacity. What is the wage ceiling for supervisors to be included as workers?
Correct Answer: C. Rs 18,000/month
The Industrial Relations Code 2020 defines 'worker' to include persons employed in supervisory capacity drawing wages not exceeding Rs 18,000 per month. This was raised from Rs 10,000 under the earlier Industrial Disputes Act 1947. Higher-paid supervisors and managerial staff are excluded from the 'worker' definition and do not get the protections applicable to workers under the code.
The Dock Workers (Safety, Health and Welfare) Act 1986 is consolidated under which Labour Code?
Correct Answer: D. OSHWC Code
The Dock Workers (Safety, Health and Welfare) Act 1986 is one of the 13 laws consolidated under the Occupational Safety, Health and Working Conditions Code 2020. This act previously regulated safety, health, and welfare of workers in dock operations. Its consolidation into the OSHWC Code provides uniform standards for dock workers alongside factory, mine, and construction workers.
What is the key reason for the delayed implementation of the Labour Codes despite being passed by Parliament?
Correct Answer: C. States have not yet framed and notified their rules
The primary reason for the delayed implementation of the four Labour Codes is that most state governments have not yet framed and notified their rules under the codes. Since Labour is a Concurrent List subject, the codes delegate rule-making powers to states, and without state rules, the codes cannot be operationalised. The central government has framed its own rules, but state rules are essential for applicability to most establishments.
Under the Code on Wages, which gender-based practice is explicitly prohibited?
Correct Answer: B. Paying lower wages to women for the same work
The Code on Wages 2019 explicitly prohibits paying lower wages to women for the same or similar nature of work as compared to men. This anti-discrimination provision replaces the Equal Remuneration Act 1976. The code also prohibits gender discrimination in recruitment, promotion, and training for the same type of work in an establishment.
In which entry of the Concurrent List does 'Social Security' appear?
Correct Answer: B. Entry 23
Social Security and Social Insurance (Employment and Unemployment) appears in Entry 23 of the Concurrent List in the Seventh Schedule of the Indian Constitution. Entry 22 covers Trade Unions and Entry 24 covers Welfare of Labour. All three entries are relevant to the four Labour Codes, explaining why both Parliament and State Legislatures can legislate on labour matters.
Under the Industrial Relations Code, a lockout by employers requires prior notice of how many days?
Correct Answer: B. 14 days
Under the Industrial Relations Code 2020, an employer must give 14 days' notice before declaring a lockout in an industrial establishment. For public utility services, a lockout requires 60 days' notice. This mirrors the notice requirement for strikes, ensuring that both workers and employers must give advance warning before taking industrial action that could disrupt operations.