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What happens when unfair pay practices get challenged under the Equal Remuneration Act?
In 1981, a female employee at a large airline realised she was being paid less than her male colleagues doing the same work. Frustrated by this gender-based pay gap, she filed a case under the Equal Remuneration Act, 1976. The court ruled that the airline’s pay structure was unfair and against the law. This case became a turning point, pushing many companies to rethink how they pay their employees.
Sadly, such pay gaps still exist today. Some are unintentional, while others happen because companies haven’t updated their policies. Being compliant with the Equal Remuneration Act is not just about avoiding penalties, it’s about showing your company stands for fairness and respect at work.
In this blog, you’ll learn:
The Equal Remuneration Act, 1976, was introduced to ensure that men and women receive equal pay for equal work. It also prohibits discrimination in recruitment and employment terms based on gender.
Many people today also call it the Equal Wages Act, though the official name remains the Equal Remuneration Act, 1976.
Before you can comply, you need to understand the basic provisions of the Equal Remuneration Act. These are the rules employers must follow:
Think you need an expert to guide you through these compliance acts?
Conduct an internal wage audit to make sure your company is following the law. It’s a simple but powerful way to check for pay gaps and fix them.
Here’s how to do it:
Internal Wage Audit feels too complex to handle? We’ve got you.
A female airline employee noticed something unfair, she and other women doing the same work as their male colleagues but were being paid less and treated differently. Wanting to stand up for what was right, she filed a legal case under the Equal Remuneration Act, 1976, and Article 39(D) of the Indian Constitution.
This case showed that gender-based pay discrimination has no place in the workplace—even the big, well-known companies can be held accountable. It sent a clear message to organisations across India: fair pay matters, and the law will protect those who speak up.
The Supreme Court ruled in favour of the female employee. The airline was told to correct its policies and ensure that female staff received equal pay and fair treatment going forward. The case became a powerful example of how one person’s courage can lead to positive change.
Staying compliant with the Equal Remuneration Act is an ongoing process, not a one-time task. And, it’s a lot of work and we understand how daunting the task can be sometimes. That’s where Vishaal Consultancy Services comes in as a top Labour Law consultant in Bangalore.
Whether you’re a startup or an established brand, Vishaal Consultancy Services ensures every layer of your HR process supports compliance, efficiency, and employee well-being.
Today, following the Equal Remuneration Act is about more than just following the law. But beyond legal compliance, it’s about creating a workplace where every employee feels valued and treated fairly and given equal opportunity.
Conducting regular internal wage audits is a proactive way to ensure your organisation remains transparent and equitable. And with expert Labour Law Advisory from Vishaal Consultancy Services, navigating compliance becomes simpler.
Are you sure if your company’s wage practices fully align with the Equal Remuneration Act? We can help. Contact Vishaal Consultancy Services today to take the first step toward fair and equal pay.
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