The Minimum Wages Act, 1948

Fixation Of Minimum Rates of Wages

Review and Revision Of Minimum Wages

Manner of Fixation/ Revision Of Minimum Wages

Equal Pay for Equal Work

To prevent exploitation of the ignorant, less organized and less privileged members of the society by the capitalist class.

Extends to whole of India. Applies which are enumerated in the schedule of the Act and in certain cases may extend to other employment added by the appropriate Government.

Scheduled Employment: Any employment specified in the Schedule or any process or branch of work forming part of such employment. Power to the appropriate Government to add employments to the Schedule by following the procedure laid down in Section 27 of the Act. Central and State Governments have made several additions to the schedule and it differs from State to State.

 Schedule has two parts, namely: Part I : Initially had 12 entries. Part II : Employment in agriculture. Sec 3(1)(a) imposes an obligation upon the appropriate Government to fix the minimum rates of wages, payable to employees in an employment.

The appropriate Government may also add any employment to either part in respect of which minimum wages are to be fixed by notification under Sec 27.
For employments in Part II, minimum wages can be fixed for specified classes in a part of State, not applicable to whole of the State. For employments in Part I, the minimum wages are fixed for whole of the State. The appropriate Government may not fix minimum rates of wages in respect of any scheduled employment in which less than 1,000 employees in the whole State are engaged.

 Under Sec 3(1)(b), the appropriate Government may review at such intervals as

it may think fit (such intervals not exceeding 5 years), and revise the minimum rate of wages, if necessary. When for sufficient reasons the appropriate Government is unable to review, it may review it even after 5 years.

 Under Sec 3(2) empowers the appropriate Government to fix minimum rate of wages for : time work, known as Minimum Time Rate piece work, known as Minimum Piece Rate a Guaranteed Time Rate an Over Time Rate Under Sec 3(3), different minimum rates of wages may be fixed for : different scheduled employments different classes of work in the same scheduled employments adults, adolescents, children and apprentices different localities Wage periods : by the hour, by the day, by the month, or by such other large wage periods as may be prescribed.

 Sec 4(1) provides that the minimum rate of wages may consist of: a basic rate of wages and a special allowance at a rate to be adjusted, at such intervals and in such manner as the appropriate Government may direct to accord as nearly as practicable with the variation in the cost of living index number applicable to such worker (cost of living allowance); or a basic rate of wages or without the cost of living allowance and the cash value of the concession in respect of supplies of essential commodities at concessional rates where so authorised; or an all inclusive rate allowing for the basic, rate the cost of living allowance and the cash value of the concessions, if any.
Under Sec 4(2), the cost of living allowance and the cash value of the concessions in respect of supplies of essential commodities at concessional rates shall be computed by the competent authority at such intervals and in accordance with such directions specified or given by the appropriate Government.

 Under Sec 5, the appropriate Government may follow any of the two methods: Committee Method The appropriate Government may appoint as many committees and subcommittees as it considers necessary to hold enquiries and advice it in respect of such fixation or revision as the case may be. Notification Method The appropriate Government when fixing minimum wages shall by notification, in the Official Gazette publish its proposals for the information of persons likely to be affected thereby and specify a date not less than 2 months from the date of notification on which the proposals will be taken into consideration.

Composition of Committee/Advisory Board : Employers in the scheduled employment; Employees in the scheduled employment; Who shall be in equal number. There would be independent person not exceeding one third of its total members, of one such independent members shall be appointed as Chairman [Sec 9].

 In cash Payment party or wholly in kind by the issue of notification Supply of essential commodities at concessional rates (Section 11)

Obligation upon the employer to pay minimum rate of wages without any deductions to the worker employed in the Scheduled employment. (Section 12)

If any worker works for any day a shorter period than specified, then he would receive wages for whole day except when he wilfully fails to work for the normal working day without any fault on the part of the employer and for such default or similar cases the rule provides that the wages may be deducted. (Section 15)

When an employee does work of two or more classes for which different rates of minimum wages are fixed, then he should receive payment according the different rates of minimum wages for the classes of work he has worked in proportion of the time devoted to the class of work. (Section 16)

Where an employee is employed on piece work for which minimum wages are not fixed but the appropriate Government has fixed the minimum time rates of wages under this Act, then the employer is required to pay to the employee engaged on piece work minimum wages at not less than minimum time rate wages. (Section 17)

Every employer is required to maintain registers and records containing following particulars: Particular of employees employed by him; The work performed by them; The wages paid to them; The receipts given by the employees; and Any other information as prescribed.

 Object : To prevent discrimination on the ground of sex against women in

respect of remuneration and in matters of recruitment and promotion of men and women. Scope and Application : The Act extends to whole of India. It is applicable to several employments and establishments. The Act does not apply to :
to cases affecting the terms and conditions of a womens employment in complying with the requirements of any law giving special treatment to women, or to any special treatment accorded to women in connection with the birth of expected birth of a child, or the terms and conditions relating to retirement, marriage or death or to any provision made in connection with the retirement, marriage or death.
Duty of the employer to pay equal remuneration to men and women

workers for same work or work of similar nature.