Old law is right pressure on contractors, else contractors will not pay right PF and gratuity and wages is my considred view; govt think is just backward though like the idea of 'reservation of jobs on caste basis' why because u can't give 'reservation' more than a limited time, (but in india just like jallikutt, exploit as in TN today), it is rightly opposed by RSS men though mr Vadya opinion, obviously backed by RSS ;
we need to be careful in law making no law is permanent; true but in some cases only, like in PF if we bring new laws, we need to think and redraft very carefully; Mr Trump repealed on 20ty Jan 'Obama care health insurance but not replaced by right alternative health care so it might backfire; backfiring started on his day of inauguration day when people more than attended his inauguration registered their protests on streets of towns like in Boston....
This seems to be old judgment in view of labour ministry CLC (chief labour commissioner) circular dt 25-11-2016 and Gazette notification dt 28-12-2016 prior to cashless era of india.
As per CLC circular---"All principal employers and contractors are advised to ensure payment of wages to all employees including contract workers only through bank account. A report may be sent to this office by 2-12-2016 giving number of bank accounts opened because of our efforts."
Gazette notification dt 28-12-2016--"For section-6 of the payment and wages act 1936, the following section shall be substituted namely--"6.All wages shall be paid in currency coin or currency notes or by cheque or by crediting the wages in the bank account of the employee-provided that the appropriate govt may, by notification in the official gazette , specify the industrial or other establishment , the employer of which shall pay to every person employed in such industrial or other establishment , the wages only by cheque or by crediting the wages in his bank account"
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