Section 45: Claims under Code and procedure thereof
Reviewed by Finin2min Editorial Desk · Last reviewed 30 August 2026
Creates the claims authority, permits employee/union/Inspector applications, enables compensation and recovery, and sets the claim procedure and limitation framework.
Principal remaining provisions commenced on 21 November 2025 under S.O. 5322(E), read with the earlier partial commencement; check section-specific footnotes in the current India Code text.
Provision / India Code ↗ · Official Act PDF ↗ · 2026 Central Rules ↗
Finin2min analysis — what the section actually does
Operative clauses
- (2) The authority appointed under sub-section (1), while deciding the claim under that sub-section, may order, having regard to the circumstances under which the claim arises, the payment of compensation in addition to the claim determined, which may extend to ten times of the claim determined and endeavour shall be made by the authority to decide the claim within a period of three months.
- (3) If an employer fails to pay the claim determined and compensation ordered to be paid under sub- section (2), the authority shall issue a certificate of recovery to the Collector or District Magistrate of the district where the establishment is located who shall recover the same as arrears of land revenue and remit the same to the authority for payment to the concerned employee.
- (4) Any application before the authority for claim referred to in sub-section (1) may be filed by,— (a) the employee concerned; or (b) any Trade Union registered under the Trade Unions Act, 1926 (16 of 1926) of which the employee is a member; or (c) the Inspector-cum-Facilitator.
- (5) Subject to such rules as may be made, a single application may be filed under this section on behalf or in respect of any number of employees employed in an establishment.
- (6) The application under sub-section (4) may be filed within a period of three years from the date on which claims referred to in sub-section (1) arises:
Provisos, explanations & qualifications
- Provided that the authority referred to in sub-section
Thresholds and timelines in the text
- (2) The authority appointed under sub-section (1), while deciding the claim under that sub-section, may order, having regard to the circumstances under which the claim arises, the payment of compensation in addition to the claim determined, which may extend to ten times of the claim determined and endeavour shall be made by the authority to decide the…
- (6) The application under sub-section (4) may be filed within a period of three years from the date on which claims referred to in sub-section (1) arises:
- Provided that the authority referred to in sub-section (1) may, entertain the application after three years on sufficient cause being shown by the applicant for such delay.
Actors expressly appearing in the text
Employer, Employee / worker, Appropriate Government, Inspector-cum-Facilitator, Authority / officer, Trade union
Full statutory text — Section 45
45. Claims under Code and procedure thereof.—(1) The appropriate Government may, by
notification, appoint one or more authorities, not below the rank of a Gazetted Officer, to hear and
determine the claims which arises under the provisions of this Code.
(2) The authority appointed under sub-section (1), while deciding the claim under that sub-section,
may order, having regard to the circumstances under which the claim arises, the payment of compensation
in addition to the claim determined, which may extend to ten times of the claim determined and
endeavour shall be made by the authority to decide the claim within a period of three months.
(3) If an employer fails to pay the claim determined and compensation ordered to be paid under sub-
section (2), the authority shall issue a certificate of recovery to the Collector or District Magistrate of the
district where the establishment is located who shall recover the same as arrears of land revenue and remit
the same to the authority for payment to the concerned employee.
(4) Any application before the authority for claim referred to in sub-section (1) may be filed by,—
(a) the employee concerned; or
(b) any Trade Union registered under the Trade Unions Act, 1926 (16 of 1926) of which the
employee is a member; or
(c) the Inspector-cum-Facilitator.
(5) Subject to such rules as may be made, a single application may be filed under this section on
behalf or in respect of any number of employees employed in an establishment.
(6) The application under sub-section (4) may be filed within a period of three years from the date on
which claims referred to in sub-section (1) arises:
Provided that the authority referred to in sub-section (1) may, entertain the application after three
years on sufficient cause being shown by the applicant for such delay.
(7) The authority appointed under sub-section (1) and the appellate authority appointed under sub-
section (1) of section 49, shall have all the powers of a civil court under the Code of Civil Procedure,
1908 (5 of 1908), for the purpose of taking evidence and of enforcing the attendance of witnesses and
compelling the production of documents, and every such authority or appellate authority shall be deemed
to be a civil court for all the purposes of section 195 and Chapter XXVI of the Code of Criminal
Procedure, 1973 (2 of 1974).How to apply this provision
- Primary statutory test — (2) The authority appointed under sub-section (1), while deciding the claim under that sub-section, may order, having regard to the circumstances under which the claim arises, the payment of compensation in addition to the claim determined, which may extend to ten times of the claim determined and endeavour shall be made by the authority to decide the claim within a period of three months.
- Additional operative limb — (3) If an employer fails to pay the claim determined and compensation ordered to be paid under sub- section (2), the authority shall issue a certificate of recovery to the Collector or District Magistrate of the district where the establishment is located who shall recover the same as arrears of land revenue and remit the same to the authority for payment to the concerned employee.
- Qualification / exception to test — Provided that the authority referred to in sub-section
- Numerical or timing control — (2) The authority appointed under sub-section (1), while deciding the claim under that sub-section, may order, having regard to the circumstances under which the claim arises, the payment of compensation in addition to the claim determined, which may extend to ten times of the claim determined and endeavour shall be made by the authority to decide the…
- Central Rule mapping — 2, 49, 50. Read the mapped provision together with this text rather than treating the concordance as a substitute for it.
- Evidence file — retain facts and records proving the role/status of: Employer, Employee / worker, Appropriate Government, Inspector-cum-Facilitator, Authority / officer, Trade union.
Rules, forms and cross-references
Forms mapped
No prescribed form is directly mapped in the current concordance.
Other sections cited in this text
Related Labour Hub resources
A direct concordance is not exhaustive. Central/State jurisdiction, schemes, authority appointments, saved instruments and later notifications may change the practical route without changing the section wording.
Worked example
When an event triggers claims under code and procedure thereof, record the trigger date, competent authority, prescribed rule/form, filing or decision step, service/acknowledgement and final outcome. A statutory point to test is: “(2) The authority appointed under sub-section (1), while deciding the claim under that sub-section, may order, having regard to the circumstances under which the claim arises, the payment of compensation in addition to the claim determined, which may extend to ten times of the cl” Also test the express qualification/proviso before concluding the result. Read the mapped Central Rule(s) 2, 49, 50.
Illustration only; it is not statutory text or a substitute for applying the actual facts, jurisdiction, current rule/scheme and official instrument.
Q&A — Section 45
What does Section 45 of the Code on Wages cover?
Creates the claims authority, permits employee/union/Inspector applications, enables compensation and recovery, and sets the claim procedure and limitation framework.
What is the main legal requirement or power in Section 45?
The first operative clause identified from the official text is: “(2) The authority appointed under sub-section (1), while deciding the claim under that sub-section, may order, having regard to the circumstances under which the claim arises, the payment of compensation in addition to the claim determined, which may extend to ten times of the claim determined and endeavour shall be made by the authority to decide the claim within a period of three months.” Read it with the remaining subsections and any proviso below.
Does Section 45 contain a proviso or explanation?
Yes. A qualification extracted from the official text is: “Provided that the authority referred to in sub-section”
What time limit, percentage or amount appears in Section 45?
The provision contains this numerical/time expression: “(2) The authority appointed under sub-section (1), while deciding the claim under that sub-section, may order, having regard to the circumstances under which the claim arises, the payment of compensation in addition to the claim determined, which may extend to ten times of the claim determined and endeavour shall be made by the authority to decide the…” Apply it only in the clause and context in which it appears.
Which 2026 Central Rules are linked to Section 45?
The current concordance maps Section 45 to Central Rule(s) 2, 49, 50.
Is Section 45 currently operative?
Principal remaining provisions commenced on 21 November 2025 under S.O. 5322(E), read with the earlier partial commencement; check section-specific footnotes in the current India Code text.
Source & verification trail
Act: Code on Wages, 2019 — official India Code PDF ↗
Central Rules: Code on Wages (Central) Rules, 2026 — G.S.R. 343(E), 8 May 2026 ↗
Official library: Ministry of Labour & Employment — Labour Codes ↗
Source check: 20 August 2026. Individual professional interpretation should be re-reviewed when the section, rules, notification, scheme, State overlay or controlling judgment changes.