fter ded the out jf CHAPTER 7 CONCEPT OF WAGE, KINDS OF : WAGES AND THE MINIMUM WAGES ACT, 1948 ee Introduction Wages are commonly understood as/price of labour. Itis asum of money paid under the contract by an employer to.a worker for services rendered. For centuries, labour was regarded as a commodity governed by the law of demand and supply. Being in a much better economic and social position, the employer dictated the terms and'conditions of employment and thus, used to exploit the labourer. It was only in the 19th century that industrialists were forced to discard the commodity concept of labour and subject their wage decisions to labour output and collective bargaining. It is only in the 20th century that the dignity of labour has been recognized. In their attempts to secure social justice for all, many governments in various countries have interfered in the determination of wages that could be paid to workers. Tn India, special conditions exist that justify governmental interference in the determination of wages. Firstly, due to inadequate labour organisation and illiteracy among workers, the bargaining power of the workers is very weak vis-a-vis the bargaining power of the employers. Secondly, being a developing country, the industrial production should go on unhindered and there should be minimum of work stoppages. Thirdly, one of the Directive Principles of State Policy as embodied in Article 43 of the Constitution states that the securing of living wages to labourers which ensures not only bare physical subsistence but also the maintenance of health and decency, is conducive to the general interest of the public. Fourthly, wages should be subject of a conscious social policy so that justice could be done to all. The concept of minimum wages first evolved with reference to muneration of workers in those industries where the level of wages was Substantially iow as compared to the wages for similar types of labour in [143]conceptof Wage, Kinds of Wages & the Minimum Wages Act, 1948 145 recovery of the balance with Penalty and subse: offending party. 5. It is not ordinarily Proposed to make any exemptions in regard to employees of undertakings belonging to the Central Government except that difficulties might arise when the sphere of duty of such an employer covers more than one province and where the rates of minimum wages fixed by the different provinces may be different. For this Purpose a provision has been included that the minimum wages fixed by a Provincial Government will not apply to employees in any undertaking owned by the Central Government or employees of a Federal Railway, except with the consent of the Central Government. The Minimym Wages Bill having been passed by the Legislature received itsassent on 15, March, 1948. It came on the Statute Book as The Minimum Wages Act, 1948. ‘quent prosecution of the Salient Features of the Act (1) The Minimum Wages Act, 1948 extends to the whole of India. It applies to the employments which are enumerated in the Schedule or the Act and in certain cases may, in the discretion of the appropriate Government, be extended to any other employment. The appropriate government may add any employment to the list if there are 1000 workers are working in that state. (2) The Act provides for the fixation of: (a) A minimum time rate of wages (b) ‘A minimum piece rate (c) A guaranteed time rate and (d) An overtime rate for different occupation, localities or classes of work and for adults, adolescents, children and apprentices. (3) The Act provides that the minimum rate of wages may consist of: (a) A basic rate of wages and a cost of living allowance or (b) A basic rate of wages with or without the cost of living allowance and the cash value of the concessions in respect of essential commodities supplied at concessional rates. (4) The Act requires that wages shall be paid in cash, although it empowers H€ appropriate Government to authorize the payment of minimum wages, Sither wholly or partly in kind of particular cases.sty so aoadsax ur paxoydune uosied v or arqeced 29 ‘parttyIny 910% ‘paridan joentioo ax Jo Sua 3M} FI “PInOM Yor *AouoK dai) o1ut papatp 2q wed 19y 91 Jpun oumionats oFem ayy AIpLOIE, PY 2 s9pun sade Jo spury 2g Aypoue3s: preydn uno5 suraudns oy, “uor ‘319 ssaul1sng 40 open Jo Wop: ‘amp uo “EE DS SS6I Jo asv9 ay) UE paBus|TeY> sem IW 9M SPOT DY SeBeAA wNUTTUTYY 947 J 01 19 UP St “SP6I "OY Sede AA Ht 3 atqureaid sy oY BUIpIOIeV. 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It may be noticed that this right of appeal is, however subject to certain nditions specified in different clauses of Section 17 of the Act.