UPSC Prelims 2021 GS Paper I · Q2 of 98 Economy medium

With reference to casual workers employed in India, consider the following statements : 1. All casual workers are entitled for Employees Provident Fund coverage. 2. All casual workers are entitled for regular working hours and overtime payment. 3. The government can by a notification specify that an establishment or industry shall pay wages only through its bank account. Which of the above statements are correct?

  1. (a) 1 and 2 only
  2. (b) 2 and 3 only
  3. (c) 1 and 3 only
  4. (d) 1, 2 and 3 ✓ UPSC's answer

Why the answer is (d)

• The official key treats all three statements as correct, reflecting the position under the labour laws and Codes.

• Statement 1: under the EPF Act and the Code on Social Security, 2020, employees including casual and contract workers in covered establishments are entitled to Provident Fund coverage.

• Statement 2: the Factories Act and the Occupational Safety, Health and Working Conditions Code, 2020 prescribe working hours and overtime for all workers, casual ones included.

• Statement 3: Section 6 of the Payment of Wages Act (as amended in 2017) and the Code on Wages, 2019 let the Government notify establishments that must pay wages only by cheque or bank transfer.

• Hence 1, 2 and 3, option (d).

Why the other options are wrong

(a) 1 and 2 only
Statement 3 on bank payment of wages is also correct.
(b) 2 and 3 only
Statement 1 on PF coverage is also treated as correct.
(c) 1 and 3 only
Statement 2 on working hours is also treated as correct.

Asked in the GS Paper I of the UPSC Civil Services Preliminary Examination 2021, held on 10 October 2021. Question and answer key: Union Public Service Commission. Explanation: UPSC Answer Check.

Reading the answer is not the same as getting it right under a clock. Practise this question with UPSC's negative marking, and anything you miss goes into an error notebook until you get it right twice.

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