Having a minimum wage law is a mistake
The proposed wage code Bill, which incorporates a universal minimum wage, will lead to higher unemployment and informalization of the economy
The cabinet recently approved the Code on Wages Bill, which proposes to make minimum wages a statutory right for all citizens. The Bill, which was tabled in Parliament in the monsoon session, proposes a monthly minimum wage to be set across India, which will be binding on all the states. Once it is passed, the states cannot set a minimum wage lower than the one set by the Central government.