Employers cannot be forced to pay full wages amid lockdown

New Delhi : The Supreme Court of India on Friday gave a big relief to employers and private companies as it ruled that it cannot force them to pay full wages to its employees amid lockdown.

The Supreme Court bench of Justices Ashok Bhushan, SK Kaul and MR Shah gave the Union government 4 weeks to reply on the legality of its March 29 notification in which the Ministry of Home Affairs (MHA) made it mandatory for employers to pay full wages to workers.

While pronouncing the verdict on Friday, Justice Bhushan said, "We directed no coercive action to be taken against employers. Our earlier orders will continue. A detailed affidavit has to be filed by the Centre in last week of July. Negotiation between employees and employers will have to be facilitated by state government labour departments."

The verdict came after an employer filed a petition arguing how they will pay full wages to the employees when the financial condition of the organization is very low.

The court has said labourers will have to negotiate for the payment of wages of 54 days of lockdown.

The matter will again be heard in the last week of July after Centre files its reply.