Law of Wages Lesson

LESSON 18

Unit IV – Equal Remuneration Act, 1976 18-IV

KEY CONCEPTS
n Appropriate Government n Remuneration n Same work n Work of a similar nature n Claims n Complaints
n Gender Discrimination n Equal Pay for Equal Work n Registers

Learning Objectives
To understand:
 The legal frame work provided for law regulating equal pay for women in India
 The legal machinery to establish congenial work environment for women workers
 The important definitions and concepts
 To familiarize the students with the legal frame work stipulated under the Equal Remuneration Act,
1976

Lesson Outline
 Object and scope of the Act

 Appropriate Government

 Act having overriding effect

 Duty of employer
 Non Discrimination while recruiting men and women

 Authorities for hearing and deciding claims and complaints

 Maintenance of Registers

 Penalty

 Lesson Round-Up

 Glossary

 Test Yourself

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Regulatory Framework
l Equal Remuneration Act, 1976

Article 39 of Constitution of India envisages that the State shall direct its policy, among other things,
towards securing that there is equal pay for equal work for both men and women. To give effect to this
constitutional provision, the Parliament enacted the Equal Remuneration Act, 1976.

OBJECT AND SCOPE

The Equal Remuneration Act, 1976 provides for payment of equal remuneration to men and women workers for
same work or work of similar nature without any discrimination and also prevents discrimination against women
employees while making recruitment for the same work or work of similar nature, or in any condition of service
subsequent to recruitment. The provisions of the Act have been extended to all categories of employment. The
Act extends to whole of India.

Definitions
“Appropriate Government” means —
(i) in relation to any employment carried on by or under the authority of the Central Government or
a railway administration, or in relation to a banking company, a mine, oilfield or major port or any
corporation established by or under a Central Act, the Central Government, and
(ii) in relation to any other employment, the State Government. {section 2(a)}
“Man” and “Woman” mean male and female human beings, respectively, of any age. {section 2(d)}
“Remuneration” means the basic wage or salary, and any additional emoluments whatsoever payable, either
in cash or in kind, to a person employed in respect of employment or work done in such employment, if the
terms of the contract of employment, express or implied, were fulfilled. {section 2(g)}
“Same work or Work of a similar nature” means work in respect of which the skill, effort and responsibility
required are the same, when performed under similar working conditions, by a man or a woman and the
differences, if any, between the skill, effort and responsibility required of a man and those required of a woman
are not of practical importance in relation to the terms and conditions of employment. {section 2(h)}

Act to have overriding effect

Section 3 of the Act provides that the provisions of the Act shall have effect notwithstanding anything inconsistent
therewith contained in any other law or in the terms of any award, agreement or contract of service, whether
made before or after the commencement of the Act, or in any instrument having effect under any law for the
time being in force.

Duty of employer to pay equal remuneration to men and women workers for same work or work
of a similar nature
Section 4 of the Act provides that no employer shall pay to any worker, employed by him in an establishment
or employment, remuneration, whether payable in cash or in kind, at rates less favourable than those at
which remuneration is paid by him to the workers of the opposite sex in such establishment or employment for
performing the same work or work of a similar nature and employer shall not reduce the rate of remuneration
of any worker.
It may be noted that as per Section 2(g) “remuneration” means the basic wage or salary, and any additional

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Unit IV – Equal Remuneration Act, 1976 LESSON 18

emoluments whatsoever payable, either in cash or in kind, to a person employed in respect of employment or
work done in such employment, if the terms of the contract of employment, express or implied, were fulfilled
and Section 2(h) defines “same work or work of a similar nature” means work in respect of which the skill,
effort and responsibility required are the same, when performed under similar working conditions, by a man or
a woman and the differences, if any, between the skill, effort and responsibility required of a man and those
required of woman are not of practical importance in relation to the terms and conditions of employment.

Discrimination not to be made while recruiting men and women

As per section 5 employer while making recruitment for the same work or work of a similar nature, or in any
condition of service subsequent to recruitment such as promotions, training or transfer, shall not make any
discrimination against women except where the employment of women in such work is prohibited or restricted
by or under any law for the time being in force.
However, above mentioned section shall not affect any priority or reservation for Scheduled Castes or
Scheduled Tribes, ex-servicemen, retrenched employees or any other class or category of persons in the matter
of recruitment to the posts in an establishment or employment.

Authorities for hearing and deciding claims and complaints

Section 7 of the Act empower the appropriate Government appoint such officers, not below the rank of a Labour
Officer, as it thinks fit to be the authorities for the purpose of hearing and deciding complaints with regard to the
contravention of any provision of the Act; claims arising out of non-payment of wages at equal rates to men and
women workers for the same work or work of a similar nature; and define the local limits within which each such
authority shall exercise its jurisdiction.

Maintenance of Registers
As per section 8 it is the duty of every employer, to maintain registers and other documents in relation to the
workers employed by him in the prescribed manner.

Penalty
If any employer:- (i) makes any recruitment in contravention of the provisions of this Act; or (ii) makes any
payment of remuneration at unequal rates to men and women workers for the same work or work of a similar
nature; or (iii) makes any discrimination between men and women workers in contravention of the provisions of
this Act; or (iv) omits or fails to carry out any direction made by the appropriate Government, then he/ she shall
be punishable with fine or with imprisonment or with both.

LESSON ROUND-UP

l Equal Remuneration Act, 1976 provides for the payment of equal remuneration to men and women
workers and for the prevention of discrimination, on the ground of sex, against women in the matter of
employment and for matters connected therewith or incidental thereto.
l Same work or Work of a similar nature means work in respect of which the skill, effort and responsibility
required are the same, when performed under similar working conditions, by a man or a woman and
the differences, if any, between the skill, effort and responsibility required of a man and those required
of a woman are not of practical importance in relation to the terms and conditions of employment.

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l The provisions of this Act shall have effect notwithstanding anything inconsistent therewith contained
in any other law or in the terms of any award, agreement or contract of service, whether made before
or after the commencement of this Act, or in any instrument having effect under any law for the time
being in force.
l The Act provides that no employer shall pay to any worker, employed by him in an establishment or
employment, remuneration, whether payable in cash or in kind, at rates less favourable than those
at which remuneration is paid by him to the workers of the opposite sex in such establishment or
employment for performing the same work or work of a similar nature and employer shall not reduce
the rate of remuneration of any worker.
l Employer while making recruitment for the same work or work of a similar nature, or in any condition
of service subsequent to recruitment such as promotions, training or transfer, shall not make any
discrimination against women except where the employment of women in such work is prohibited or
restricted by or under any law for the time being in force.
l It is the duty of every employer required to maintain registers and other documents in relation to the
workers employed by him in the prescribed manner.
l If any employer:- (i) makes any recruitment in contravention of the provisions of this Act; or (ii) makes
any payment of remuneration at unequal rates to men and women workers for the same work or work
of a similar nature; or (iii) makes any discrimination between men and women workers in contravention
of the provisions of this Act; or (iv) omits or fails to carry out any direction made by the appropriate
Government, then he/ she shall be punishable with fine or with imprisonment or with both.

GLOSSARY

Appropriate Government: Means any employment carried on by or under the authority of the Central
Government or a railway administration, or in relation to a banking company, a mine, oilfield or major port
or any corporation established by or under a Central Act, the Central Government, and State Government.
Remuneration: Means the basic wage or salary, and any additional emoluments whatsoever payable, either
in cash or in kind, to a person employed in respect of employment or work done in such employment, if the
terms of the contract of employment, express or implied, were fulfilled.
Same work or Work of a similar nature: It means work in respect of which the skill, effort and responsibility
required are the same, when performed under similar working conditions, by a man or a woman and the
differences, if any, between the skill, effort and responsibility required of a man and those required of a
woman are not of practical importance in relation to the terms and conditions of employment.

TEST yourself

These are meant for re-capitulation only. Answers to these questions are not to be submitted for evaluation)
1. Briefly explain the object of Equal Remuneration Act, 1976.
2. Define the terms ”Remuneration” and “Same work or Work of a similar nature”.
3. Enumerate the duties of employer under Equal Remuneration Act, 1976.
4. Write short notes on maintenance of Register and Return under the Act.
5. State the provisions regarding offence by companies under Equal Remuneration Act, 1976.

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