BY- ARVIND VEDWAL

M.B.A 3 SEM
(SIMT)
 WAGES- the term wages referred to the remuneration paid
To the worker for his services To the organization .

 MINIMUM WAGES Act,1948- a minimum wages may be

defined as that wages which is sufficient to cover the bare
physical needs of worker and his family. Minimum wages
is that wages which must be paid whether the company is
big or small make profits or not. It is the minimum that a
worker can expect To get for services rendered by him.

The act prescribes minimum rates of wages for certain

sweated and unorganized sectors covered under the Act.
the minimum wages can be fixed by hours,day,month or
any other longer period

The act was enacted to secure the welfare of the workers in a

competitive market by providing for a minimum limit of
wages in certain employment. The object of this act is to
prevent exploitation of the workers. It aims at fixation of
minimum wages which the employer must pay .
 In India 422.6 million workers out of the total
workforce of 467 million belong to the
unorganized/informal sector. Currently the
number of scheduled employment in the
central government is 45, whereas in the the
state the number is 1596. with the effect
from November 2009 the national floor level
minimum wages has been increased to Rs
100 from 80 ( in September 2007 the
national minimum wages was Rs 66 in 2004,
Rs 45 and in 1998 Rs.35 .
 MINIMUM WAGES- a minimum wages may be defined as that
wages which is sufficient to cover the bare physical needs of
worker and his family. Minimum wages is that wages which
must be paid whether the company big or small make profits
or not. It is the minimum that a worker can expect To get for
services rendered by him.

 FAIR WAGES- It is that wages which is above the minimum

wage but below the living wage. According to the committee
on fair wages 1948, fair wages should be determined taking
the following factor into account.
 1- The productivity of labor.
 2- The employer’s capacity.
 3-The level of national income and its distribution.

LIVING WAGE- According To the committee on fair wages the

living wage is the highest among the three it must provide
 1- basic amenities of life. satisfy social need of workers such
as medical, education retirement pension. Living wage is a
dynamic concept which grows in line with the growth of the
national income.
“Appropriate Government” means in relation to any scheduled
employment carried on by or under the authority of central
government or a railway administration or in relation to mine, oil
field, major port or any other corporation established by the
central government
- In relation to any schedule employment of the state
government.

“EMPLOYER" under the Act means any person who employs either
directly or indirectly or through any other person, whether on
behalf of himself or any other person one or more employees in
any scheduled employment in respect of which minimum rates of
wages have been fixed under the act the term includes manager,
chief executive officer of the local authority.

“EMPLOYYES” means any person who is employed for hire or reward

to do any work skilled or unskilled manual or clerical in
scheduled employment in respect of which minimum rates of
wages have been fixed.
 The employments given in part I of the schedule

- Employment in any flour mill, rice mill

- Employment in any woolen carpet making or shawl- weaving

establishment.

- Employment in any oil mill.

- Employment in any local authority.

- Employment in public motor transport.

- Employment in lac manufacturing .
- Employment in iron mines, gypsum mines, copper mines, china
clay mines, silica mines.
 Employments in agriculture that is to say, in any form of farming,
including the cultivation ,dairy farming, the production ,cultivation
and harvesting of any agricultural commodity the raising of live-
stock bees or poultry and any practice performed by a farmer

 Procedure for fixation and revision of minimum rates of 27 wages

(Section5)

The act empowers the appropriate government to fix the minimum

wages for employment specified in I and II parts of the schedule of
the act.
The appropriate government can revise or review the minimum
rates of wages at such intervals as it seems fit but exceeding five
years. How ever the labor ministers conference in July 1980
recommended that the revision of minimum wages should be made
within two years or on a rise of 50 points in the consumer price
index whichever is earlier.
 The Act empowers the government to constitute advisory
board comprising equal number of representative of the
employers and employees in the scheduled employments to
coordinate the work of the communities and sub-
committees appointed by it for fixing and revising minimum
rates of wages.

 Composition of committees etc.(section 9)

Under the act it is specified that advisory board, committee
or sub committees shall consist of persons nominated by the
government. persons who can be appointed to these
committees shall be representative of the employees and
employers in the scheduled employment. independent
persons not exceeding one third of the total numbers in such
bodies shall also be appointed

 CORRECTION OF ERRORS(SECTION 10)

The appropriate government may at any time by notification
in the official Gazette, can clarify clerical or arithmetical
errors in any order pertaining to fixing or revision of
minimum wages.
 PAYMENT FOR MINIMUM RATES OF
WAGES (SECTION12)

This section of the Act lays down the fact that employer
shall pay wages to employees engaged in scheduled
employment (section 5),wages at a rate not less than the
minimum rates as notified by the government
The wages of a worker in any scheduled employment shall
be paid on a working day. In the case of establishments in
which less than one thousand persons are employed, the
wages shall be paid before the expiry of the seventh day
after the wage period in respect of which the wage are
payable. In all other factories, wages must be paid before
the expiry of the tenth day from the wage period
aforesaid.
 When the employment of any person is terminated, the wages shall
be paid before the expiry of the second working day after the
termination of the employment. All wages shall be paid in current
coin or currency notes or both.
The wages shall be paid without deduction of any kind except those
allowed by rules and notification.

 FIXING HOURS OF WORK (SECTION 13)

In a scheduled employment where minimum rate of wages have
been fixed, the rest day shall ordinarily be Sunday but the employer
can fix any other day of the week as rest day for an employees.

The number of hours which shall constitute a normal working day

shall be nine hours in the case of adults and four and half hours in
the case of children.
 WAGES FOR OVER-TIME (SECTION 14)
Where an employee in any scheduled employment works for more
than prescribed hours of work, he shall be entitled to over-time
wage. An employee entitled to over-time must be one who is
getting wages as prescribed by the act.

 WAGES FOR LESS THAN NORMAL WORKING DAY (SECTION 15)

An employee who works on any day for period less than the
requisite number or hours constituting a normal working day, he is
entitled to receive wages for the full normal working day except in
the following cases:
Where his failure of work is caused by his unwillingness to work
and not by omission of the employer to provide him with work; and
In such other cases and circumstances as may be prescribed.
 Maintenance of registers and records (section 18)

 A register of wages shall be maintained by every employer. It shall give

particulars of employees employed by him, the work performed by them, the
wages paid to them over-time work, the minimum rates of wages, gross
wages, deductions made and wages actually paid, and the receipt given by
them.

The wage slips containing these particulars shall be issued to every employee
at least a day prior to the disbursement of wages. The signatures or thumb
impressions of the employee on wage book and wage slip is required to be
taken by the employer.

The registers and muster rolls shall be preserved for period of three years
after the date of the last entry made therein and they shall be produced for
inspection when so required by the concerned authorities

AUTHORITIES UNDER THE ACT- INSPECTERS (SECTION19)

the act authorities the appropriate government to appoint, such persons as it
think fit to be the inspector for the enforcement of the act
 CLAIMS (SECTION 20)

 The appropriate government may appoint by

notification in the official gazette an authority
to look into the claims in respect of
 1-payment of less than minimum rates of

wages
 2-payment of remuneration for days of rest

or for work done on such day

 3-any claim of wages for the over time
 1- CEMENT FACTORIES & CEMENT PRODUCT MFG.
unskilled -116.69 { TOTAL MINIMUM WAGE} (basic minimum wage V.D.A
semi-skilled -131.31
skilled -146.12
clerk-1 – 170.54
2-ALLOPATHIC
Unskilled -119.58
Semi-skilled -134.77
skilled – 149.96
3-AUTOMIBLIE REPAIRS WORKSHOPS
Unskilled -119.58
Semi-skilled -134.7
Skilled -149.96
4 –BOOK BINDING
Unskilled -116.69
Semiskilled -131.3
Skilled -146.12
 Bakeries & Biscuit manufacture – 116.69
 Cinema industry -116.69
 Confectionery industry- 118.81
 Milk dairy – 118.18
 Forestry – 117.08
 Handloom industry and power loom industry -109.46
 Hotel and restaurant – 118.88mechanical transport
workshop – 119.58
THANK YOU