Vol. XL No. 52 December 25, 2016
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CITU Expresses Concern on the Govt’s Move

THE Centre of Indian Trade Unions (CITU) notes with concern that the government is planning to take the ordinance route to amend the Payment of Wages Act for allowing business and industrial establishments to pay salaries through cheques or by using electronic modes. Already the Payment of Wages Amendment Bill in that direction has been introduced in parliament on the last day of the winter session.

The haste in ensuring payment of salaries through banks through ordinance on the part of the government is altogether unwarranted particularly when entire banking service in the country is in disorder facing an abnormal situation; such a move is suspect of real intention behind the same, there being several restrictions in withdrawing cash from the banks, said CITU in a statement issued on December 21. Nobody knows, whether such restrictions will continue even after December or not.

Moreover, existing Payment of Wages Act gives the workers the right to consent/option as to what mode they prefer to get their wages. Through the Amendment Bill and the Ordinance, the government seeks to snatch away that right from the workers. This right to consent is important for workers since at least 35 percent of the habitations in the country are still out the coverage of bank branches in the vicinity and also a big majority of workers including those in urban areas, particularly those in low-paid unorganised sector are not having bank accounts. And in case of compulsory bank payment of wages, the migrant workers will be put in serious difficulty.

CITU demands the government not to indulge in undue haste in this regard which will put the workers who are already in the midst of acute distress owing to demonetisation by way of wage-loss and job-loss in lakhs, in more difficulties. Also, the right to exercise option/consent on mode of payment of wages as per existing Act should not be snatched away from the workers.