The Code on Wages, 2019
Section 9. Power of Central Government to fix floor wage
In simple words
- The Central Government fixes a floor wage based on the minimum living standards of a worker, and may fix different floor wages for different geographical areas s. 9(1).
- No minimum rate fixed by a State or the Centre may be below the floor wage, and a rate already above it may not be reduced s. 9(2).
An explanation, not the law. The official text below prevails.
Official text
(1) The Central Government shall fix floor wage taking into account minimum living standards of a worker in such manner as may be prescribed:
Provided that different floor wage may be fixed for different geographical areas.
(2) The minimum rates of wages fixed by the appropriate Government under section 6 shall not be less than the floor wage and if the minimum rates of wages fixed by the appropriate Government earlier is more than the floor wage, then, the appropriate Government shall not reduce such minimum rates of wages fixed by it earlier.
(3) The Central Government may, before fixing the floor wage under sub-section (1), obtain the advice of the Central Advisory Board constituted under sub-section (1) of section 42 and consult State Governments in such manner as may be prescribed.