Government has come out with a new and universal definition of ‘wages’ to bring in parity amongst the four new Labour Codes as against the varied definitions under the extant laws. The new Labour Codes are likely to be effective from April 1, 2021 one of the most pertinent amendment introduced in the four new Labour Codes is the standardization of the definition of ‘wages’. Currently, multiple definitions have been specified in the different statutes for the purpose of calculation of Provident Fund (PF) contribution, gratuity liability, statutory bonus payment, maternity benefit, etc. which has led to practical challenges in the administration of salary structures as well as payments, contributions, and deductions to be made. Further, the interpretation of the terms wages/ basic wages etc. has been an ongoing contentious issue for employers. Hence, an attempt seems to have been made for harmonization and simplification in defining the very foundation of calculation of quantum and...