m Object of the Legislation-

To provide for fixing

minimum wages
m `dolescent- a person who is more than 14 years , but
less than 18 years of age

m `dult -a person who has completed18 years

m `ppropriate Government- means either the Central

Government, or the State Government

m Child -a person who is less than14 years of age

m Scheduled Employment -means employment specified

in the schedule; eg, employment in mills, mines, public
transport , agriculture , etc
m ë`GES means all remuneration including house
rent allowance , but DOES NOT include

m (i) value of house accommodation,

m (ii) value of supply of light,
m (iii) value of supply of water,
m (iv) medical benefits,
m (v) pension/provident fund benefits,
m (vi) travelling allowance,
m (vii) gratuity
 The appropriate govt. shall fix minimum wages
(i) for piece work,
(ii) for time work on hourly, daily, or monthly basis,
(iii) for overtime work

Different rates of wages may be fixed for

different employments, and for adults,
adolescents or apprentices
m `ny minimum rate of wages fixed or revised may
consist of-
(i) a basic rate of wages and a special allowance,
called the µcost of living allowance¶
(ii) a basic rate of wages and the cash value of
essential commodities,
(iii) an all inclusive rate [lump sum]

the µcost of living allowance¶, and the cash

value of essential commodities shall be revised
from time to time
 The appropriate government, for the purpose
of fixing wages, shall

(i) appoint committees and sub-committees

(ii) seek proposals/comments/ from the public
For revising wages, the govt. shall also
consult the advisory boards appointed under
Sections 7 & 8
m For the purpose of coordinating the work of
committees and sub-committees appointed under
Section 5, and advising it in the matter of fixing
and revising minimum rates of wages, the
appropriate govt. shall appoint an `dvisory Board
[`B]
m The Central Govt. shall appoint a Central `dvisory
Board [C`B] for advising the central and the state
Govts. in the matter of fixing and revising
minimum rates of wages, and other matters under
the `ct, and for coordinating the work of the
`dvisory Boards.
m The C`B shall consist of equal numbers of
representatives of employers and employees. It
shall also have independent persons not
exceeding 1/3rd of its total members. One of such
persons shall be appointed as Chairman
m Each of the committees, sub- committees, and the
advisory board shall consist of equal numbers of
representatives of employers and employees.
They shall also have independent persons not
exceeding 1/3rd of its total number of members.
One of such independent persons shall be
appointed as Chairman
m inimum wages shall be paid in cash.

m The appropriate govt. may authorize, where there

has been a custom of payment in this manner,
payment of minimum wages either wholly or partly
in kind

m The appropriate govt. may authorize supply of

essential commodities at concessional rates
m Every employer, engaged in a scheduled
employment, shall pay to its employees not less
than the minimum rates of wages fixed in respect
of the scheduled employment after making only
the authorised deductions.

m Nothing contained in this section shall affect the

provisions of the Payment of ëages `ct,1936
 The appropriate govt. may-

(i) fix the number of hours per working day,

inclusive of one or more intervals;

(ii) provide for a day of rest in every period of

seven days;

(iii) provide for payment for work on a day of rest

at a rate not less than the overtime rate.
m ` person working in excess of the normal working
hours in a day shall be paid for the excess work at
the overtime rates fixed by the appropriate Govt.
m If a person is employed for a period less than a
normal working day , he shall be paid wages for
the full day

m Full wages are not to be paid for employee¶s

unwillingness to work, when the employer is
willing to give him work
m ëhere an employee does two or more classes of
work, he shall be paid accordingly-section 16

m `n employee working on piece work basis shall be

paid on time rate basis if piece rates have not
been fixed-section 17
m The Registers should contain the following
particulars-

m (i) particulars of employed persons

m (ii) the work performed by them
m (iii) the wages paid to them
m (iv) the receipts given by them
m The appropriate govt. may appoint Inspectors for
the purpose of this `ct

m Powers of Inspectors
m (i) to ensure compliance with the `ct,
m (ii) to inspect and search any premises,
m (iii) to inspect and seize records,
m (iv) to record statements of people
m ` Labour Commissioner or any other appointed
authority is authorised to hear claims regarding
non-payment of minimum wages

m `ny aggrieved person may, within 6 months, either

himself, or through a legal practitioner, or through
an official of the registered trade union, apply to
the authority for settling his claims
m On receipt of the application, the authority shall
hear both the employer as well as the employee,
and may order the payment of the due amount , if
any, along with payment of compensation to the
extent of ten times the amount short paid.

m VEX`TIOUS `PPLIC`TION- ` penalty up to Rs

50/- on the employee
m Single `pplication by an unpaid Group-Section
21

m PEN`LTIES & FINES- Section 22 -`n employer

who does not pay the minimum wages , or
violates any rule or order under Section 13 is
punishable with imprisonment up to six months,
or /and fine up to Rs 500/-

m Contracting Out [Section 25]-`ny contract

whereby an employed person relinquishes any
right conferred by the `ct shall be void.