cm kanika

 Statutory Provisions Provisions Governing Different Components of Reward System

1. Payment of Wages Act, 1936 Ensure regulate & prompt payment of wages & to prevent the exploitation of the wage earner by  prohibiting arbitrary fines & deductions from his  wages.  wages. •

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It is also stipulates the rate of payment for overtime work & penal deductions for participation in illegal strikes (8 days wages from day’s participation in illegal strike)

Different institutions related to reward system

 Wage  W age Boards & Pay Pay Commission Commission  Wage  Wage Boards for regulating compensation in industries belonging to private sector, including newspaper establishments & working journalists,  while pay commission tend to regulate the compensation of public p ublic sectors. sectors.

Different institutions related to reward system

 Wag  W age e Boards Boards •

Statutory & non-statutory in nature.

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Set up to protect workers from exploitation of  capitalists.

Different institutions related to reward system

Pay Commissio Commission n PC is an administrative system that the Govt. of  India set up in the year 1956 to determine the salaries of govt. employees. 1st Pay Commission 1947 2nd Pay Commission 1959 3rd Pay Commission 1973 4th Pay Commission 1984 5th Pay Commission 1996 6th Pay Commission 2010 Pay can also cover compensation of employees  working  working in the public sector such as nationalized banks & industrial establishments

compensation management 

The role of T U in administrating compensation ism outlined primarily in the collective agreement.

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Points to a change in the attitude and response of  trade unions and reflects their willingness to facilitated changes introducing flexibility, promoting productivity and linking wages to performance.

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Managerial Rights

Substituting Labour with Capital & Technology •

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Wages

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Greater Greater Flexibility & Productivity

Introducing New Norms in the Context of New Method / Technology •