Uttar Pradesh amends key labour law, abolishes imprisonment

In a move that will provide a huge relief to industrialists and also help to attract more investors to set up industrial units in the state, the Uttar Pradesh cabinet has approved the amendment to Uttar Pradesh Industrial Peace (Timely Payment of Wages) Act 1978, which technically eliminates the possibility of imprisonment in case an employer does not pay timely wages.

 

 

 

The amendment was approved at a cabinet meeting chaired by Chief Minister Yogi Adityanath. According to Suresh Chandra, additional chief secretary labour and employment, under Section 5 (2) of the Uttar Pradesh Industrial Peace (Timely Payment of Wages) Act 1978, if an employer owes Rs 1 lakh or more in wages to a worker and has not paid it, there was a provision for imprisoned from three months to three years, along with a fine of Rs 50,000/-.

By Dayanand Mangaonkar