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SC says no action against employers who don't pay full wages during lockdown

Posted Date : 15-May-2020 , 08:13:16 pm | Posted By CASANSAAR print Print
The Supreme Court on Friday asked authorities not to take coercive action against firms which could not comply with the union home ministry's order asking employers to pay full wages to their workers during the lockdown over the COVID-19 pandemic

An apex court bench of Justices N V Ramana, Sanjay Kishan Kaul and B R Gavai ordered that no coercive action should be taken against any private company till next week, after the Centre sought some more time to file its reply to petitions challenging the order.

"This is an omnibus order . There is a larger question involved and the government has to find an answer to it,” the bench said referring to the home ministry order.

The court, it should be clarified, did not stay the MHA order per se but only prevented the government for now from acting on it.

The bench was hearing a batch of petitions filed last month-end by an organisation of Micro, Small and Medium Enterprises (MSME)s saying that there was no way the firms suffering losses due to the closure of their factories could pay full wages if the government did not help them.

Solicitor general Tushar Mehta, appearing for the Centre said he needed a week more to file his reply, following which the court barred any coercive action till then.

The pleas had challenged the constitutional validity of the Government Order issued on March 29, 2020 - four days after the nation wide lockdown came into effect - saying it violated Articles 14 and 19 of the Constitution.

"All the employers, be it in the industry or in the shops and commercial establishments, shall make payment of wages of their workers, at their workplaces, on the due date, without any deduction, for the period their establishments are under closure during lockdown period, " the MHA's March 29 order had said. #casansaar (Source - PTI, Economic Times)

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