Which of the following is NOT included in the definition of 'wages' in section 2(y) of the Code on…

Section 2(y) of the Code on Wages, 2019 defines 'wages' as all remuneration payable to an employed person in respect of his employment. It expressly includes (i) basic pay, (ii) dearness allowance and (iii) retaining allowance, if any. It then excludes items (a) to (k), among them any gratuity payable on the termination of employment (clause (j)) and any retrenchment compensation or other retirement benefit (clause (k)). Other exclusions are statutory bonus not forming part of the terms of employment, employer's provident fund or pension contributions, conveyance allowance or travelling concession, house rent allowance, remuneration under an award or settlement, overtime allowance and commission (formerly s.2(vi) of the Payment of Wages Act, 1936).

Under the first proviso, if the excluded payments in clauses (a) to (i) exceed one-half of total remuneration (or another notified percentage), the excess is added back to wages. This proviso does not reach gratuity under clause (j). Basic pay, dearness allowance and retaining allowance are part of wages.