final ppt law
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MINIMUM RATE OF WAGES MINIMUM WAGES MINIMUM RATEOF WAGES
MINIMUM RATE OF
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a
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wages Act waspassed in 1948.
This Act provides the procedure for
fixing theMinimum wagein respect of
suchemploymentswhich are
mentioned in
MEANING
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`Minimum wage isan event must be paid,
irrespective of theextent of profits, thefinancial condition of
the establishment orthe availability ofworkment on lower
wages.
The minimum wageis independent of thekind of industry and
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Cost Of LivingIndex Number [S-
2(D)] Cost ofliving indexnumber in
relation toemployees in anyscheduledemployment inrespect of which
DIFINITION
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The index number
Ascertained anddeclared
By the competentauthority bynotification in the
Official Gazette
To be the cost ofliving index number.
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OBJECTIVESThe object of this Act secure the welfare of the workers in acompetitive market by fixing the minimum rates of wagesin Certain Employments.
This Act provides the procedure for fixing the
Minimum Wage In Respect Of Such EmploymentsWhich Are Mentioned In The Schedule Attached ToThis Act.
Initially this Act was intended to apply to industrieswhere labour was unorgainsed and poorly paid.
Now, it applies to a number of employments whichare listed in the schedule to the act.
This Act is intended to prevent exploitation of
labour.
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FIXING OF MINIMUM RATES OFWAGES:[S.3]
The provision relating to fixation of minimum ratesof wages as given in [S-3] may be given as follows :
The appropriate government may fix minimum rates ofwages which may be in the form of-
Minimum rates of wages fortime work {minimum time rate}
Minimum rates of wages for
piece work {minimum piecerate}
A minimum rates in respect ofovertime work done {overtimerare}
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1)Appropriate government may fix differentminimum rates of wages for
Different scheduled employments Different class of work in thescheduled employments Adults, adolescents, children and
apprenticesDifferent localities.
2)Minimum rates of wages may be fixed by :
The hourThe dayThe monthOr by such other larger wageperiod a may be prescribed
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The concept of minimum rates of wages does notimply that there should be an absolute uniform rateof wages for all employees. There cab be variation inthe minimum rates of wages depending upon.
NO ABSOLUTE UNIFORMITY IN RATES :
1) Nature of work
2) Degree of education
3) Training and skill required
for a job.
4) The conditions of work
5) The hazards of the
occupation.
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Procedure for fixing and revisingminimum wages:[S.5]
There are 2 separate methods for fixing and revisingMinimum Rates of Wages and the object of both the procedures is to enable the government to reach abalanced conclusion relating to fixation of the
minimum wage.
Appointment of Committee
1. The government may appoint as many committees andsubcommitteesto fixing a Minimum Rates of Wages
3. If no date is mentioned then on the expiry of 3months from the date of issue of the notification
2) Such wages come into force on the datementioned in the notification.
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BY A NOTIFICATION :
The appropriate government may by a notificationpublish its proposals about the fixation of Minimum Ratesof Wages.
For the information of all the persons likely to be
affected thereby.
Such date shall not be less than 2 months from the dateon which the proposals have been notified.
Such Minimum Rates of Wages come into force from thedate mentioned in the notiicaiton.
If no date is mentioned then the expiry of 3 months from
the date of issue of the notification.
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OTHER PROVISIONS
1. Wages in kind:[S-11]
2.Wages For Two Or More Classes OfWork :[S-12]
3.Fixing Hours For Normal WorkingDay : [S-13]
4.Rate of Overtime :[S.14]
5.Maintenance of registers andrecords :[S-18]
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CASE STUDYExpress Newspapers Vs. Union Of India
`
The supreme court observed thatthe minimum below which noindustry should be allowed to goon. Such wage must be fixed at alevel above the bare minimumrequired for more subsistence andbare needs of the worker and his
family and must provide also forthe preservation of the efficiency ofthe worker, for some measure ofeducation for his children, medical
requirements and amenities.
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Bhopal textile ltd. Vs. State of MP
The Minimum Ratesof Wages are fixed,having regard to costof living index and
his family. The fixation of the Minimum Rates ofWages does not,
therefore, take intoconsideration theindustrys capacityto pay.
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