1948_The_Minimum_Wages_Act.md 60 KB

#THE MINIMUM WAGES ACT, 1948


##ARRANGEMENT OF SECTIONS


SECTIONS

  1. Short title and extent.
  2. Interpretation.
  3. Fixing of minimum rates of wages.
  4. Minimum rate of wages.
  5. Procedure for fixing and revising minimum wages.
  6. [Omitted.].
  7. Advisory Board.
  8. Central Advisory Board.
  9. Composition of committees, etc.
  10. Correction of errors.
  11. Wages in kind.
  12. Payment of minimum rates of wages.
  13. Fixing hours for a normal working day, etc.
  14. Overtime.
  15. Wages of worker who works for less than normal working day.
  16. Wages for two or more classes of work.
  17. Minimum time rate wages for piece work.
  18. Maintenance of registers and records.
  19. Inspectors.
  20. Claims.
  21. Single application in respect of a number of employees.
  22. Penalties for certain offences. 22A. General provision for punishment of other offences. 22B. Cognizance of offences. 22C. Offences by companies. 22D. Payment of undisbursed amounts due to employees. 22E. Protection against attachment of assets of employer with Government. 22F. Application of Payment of Wages Act, 1936, to scheduled employments.
  23. Exemption of employer from liability in certain cases.
  24. Bar of suits.
  25. Contracting out.
  26. Exemptions and exceptions.
  27. Power of State Government to add to Schedule.
  28. Power of Central Government to give directions
  29. Power of the Central Government to make rules.
  30. Power of appropriate Government to make rules. 30A. Rules made by Central Government to be laid before Parliament.
  31. Validation of fixation of certain minimum rates of wages. THE SCHEDULE.

#THE MINIMUM WAGES ACT, 1948

##ACT NO. 11 OF 1948

[15th March, 1948.]

An Act to provide for fixing minimum rates of wages in certain employments.

WHEREAS it is expedient to provide for fixing minimum rates of wages in certain employments;

It is hereby enacted as follows:—

  1. Short title and extent.—(1) This Act may be called the Minimum Wages Act, 1948.

(2) It extends to the whole of India.

  1. Interpretation.—In this Act, unless there is anything repugnant in the subject or context,—

[^3][(a) “adolescent” means a person who has completed his fourteenth year of age but has not completed his eighteenth year;

(aa) “adult” means a person who has completed his eighteenth year of age;]

(b) “appropriate Government” means,—

 (i) in  relation  to  any  scheduled  employment  carried  on  by  or  under  the  authority  of  the 

Central Government or a railway administration, or in relation to a mine, oilfield or major port, or any corporation established by a Central Act, the Central Government, and

 (ii) in relation to any other scheduled employment, the State Government; 

[^6][(bb) “child” means a person who has not completed his fourteenth year of age;]

(c) “competent authority” means the authority appointed by the appropriate Government by notification in its Official Gazette to ascertain from time to time the cost of living index number applicable to the employees employed in the scheduled employments specified in such notification;

(d) “cost of living index number”, in relation to employees in any scheduled employment in respect of which minimum rates of wages have been fixed, means the index number ascertained and declared by the competent authority by notification in the Official Gazette to be the cost of living index number applicable to employees in such employment;

(e) “employer” means any person who employs, whether directly or through another person, or 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 this Act, and includes, except in sub-section (3) of section 26,—

 (i) in  a  factory  where  there  is  carried  on  any  scheduled  employment  in  respect  of  which 

minimum rates of wages have been fixed under this Act, any person named under clause (f) of sub-section (1) of section 7 of the Factories Act, 1948 (63 of 1948), as manager of the factory;

[^3]. Subs. by Act 61 of 1986, s. 23, for clause (a). [^6]. Ins. by Act 61 of 1986, s. 23.

 (ii) in any scheduled employment under the control of any Government in India in respect of 

which minimum rates of wages have been fixed under this Act, the person or authority appointed by such Government for the supervision and control of employees or where no person or authority is so appointed, the head of the department;

 (iii) in  any  scheduled  employment  under  any  local  authority  in  respect  of  which  minimum 

rates of wages have been fixed under this Act, the person appointed by such authority for the supervision and control of employees or where no person is so appointed, the chief executive officer of the local authority;

 (iv) in any other case where there is carried on any scheduled employment in respect of which 

minimum rates of wages have been fixed under this Act, any person responsible to the owner for the supervision and control of the employees or for the payment of wages;

(f) “prescribed” means prescribed by rules made under this Act;

(g) “scheduled employment” means an employment specified in the Schedule, or any process or branch of work forming part of such employment;

(h) “wages” means all remuneration, capable of being expressed in terms of money, which would, if the terms of the contract of employment, express or implied, were fulfilled, be payable to a person employed in respect of his employment or of work done in such employment, and includes house rent allowance, but does not include—

 (i) the value of— 

   (a) any house-accommodation, supply of light, water, medical attendance, or 

   (b) any  other  amenity  or  any  service  excluded  by  general  or  special  order  of  the 

appropriate Government;

 (ii) any contribution paid by the employer to any Pension Fund or Provident Fund or under 

any scheme of social insurance;

 (iii) any travelling allowance or the value of any travelling concession; 

 (iv) any sum paid to the person employed to defray special expenses entailed on him by the 

nature of his employment; or

 (v) any gratuity payable on discharge; 

(i) “employee” means any person who is employed for hire or reward to do any work, skilled or unskilled, manual or clerical, in a scheduled employment in respect of which minimum rates of wages have been fixed; and includes an out-worker to whom any articles or materials are given out by another person to be made up, cleaned, washed, altered, ornamented, finished, repaired, adapted or otherwise processed for sale for the purposes of the trade or business of that other person where the process is to be carried out either in the home of the out-worker or in some other premises not being premises under the control and management of that other person; and also includes an employee declared to be an employee by the appropriate Government; but does not include any member of the Armed Forces of the Union.

  1. Fixing of minimum rates of wages.—(1) The appropriate Government shall, in the manner hereinafter provided,—

(a) fix the minimum rates of wages payable to employees employed in an employment specified in Part I or Part II of the Schedule and in an employment added to either Part by notification under section 27:

Provided that the appropriate Government may, in respect of employees employed in an employment specified in Part II of the Schedule, instead of fixing minimum rates of wages under this clause for the whole State, fix such rates for a part of the State or for any specified class or classes of such employment in the whole State or part thereof;

(b) review at such intervals as it may think fit, such intervals not exceeding five years, the minimum rates of wages so fixed and revise the minimum rates, if necessary:

Provided that where for any reason the appropriate Government has not reviewed the minimum rates of wages fixed by it in respect of any scheduled employment within any interval of five years, nothing contained in this clause shall be deemed to prevent it from reviewing the minimum rates after the expiry of the said period of five years and revising them, if necessary, and until they are so revised the minimum rates in force immediately before the expiry of the said period of five years shall continue in force.

(1A) Notwithstanding anything contained in sub-section (1), the appropriate Government may refrain from fixing minimum rates of wages in respect of any scheduled employment in which there are in the whole State less than one thousand employees engaged in such employment, but if at any time, the appropriate Government comes to a finding after such inquiry as it may make or cause to be made in this behalf that the number of employees in any scheduled employment in respect of which it has refrained from fixing minimum rates of wages has risen to one thousand or more, it shall fix minimum rates of wages payable to employees in such employment as soon as may be after such finding.

(2) The appropriate Government may fix,—

(a) a minimum rate of wages for time work (hereinafter referred to as “a minimum time rate”);

(b) a minimum rate of wages for piece work (hereinafter referred to as “a minimum piece rate”);

(c) a minimum rate of remuneration to apply in the case of employees employed on piece work for the purpose of securing to such employees a minimum rate of wages on a time work basis (hereinafter referred to as “a guaranteed time rate”);

(d) a minimum rate (whether a time rate or a piece rate) to apply in substitution for the minimum rate which would otherwise be applicable, in respect of overtime work done by employees (hereinafter referred to as “overtime rate”).

(2A) Where in respect of an industrial dispute relating to the rates of wages payable to any of the employees employed in a scheduled employment, any proceeding is pending before a Tribunal or National Tribunal under the Industrial Disputes Act, 1947 (14 of 1947) or before any like authority under any other law for the time being in force, or an award made by any Tribunal, National Tribunal or such authority is in operation, and a notification fixing or revising the minimum rates of wages in respect of the scheduled employment is issued during the pendency of such proceeding or the operation of the award, then, notwithstanding anything contained in this Act, the minimum rates of wages so fixed or so revised shall not apply to those employees during the period in which the proceeding is pending and the award made therein is in operation or, as the case may be, where the notification is issued during the period of operation of an award, during that period; and where such proceeding or award relates to the rates of wages payable to all the employees in the scheduled employment, no minimum rates of wages shall be fixed or revised in respect of that employment during the said period.

(3) In fixing or revising minimum rates of wages under this section,—

(a) different minimum rates of wages may be fixed for—

 (i) different scheduled employments; 

 (ii) different classes of work in the same scheduled employment; 

 (iii) adults, adolescents, children and apprentices; 

 (iv) different localities; 

(b) minimum rates of wages may be fixed by any one or more of the following wage-periods, namely:—

 (i) by the hour, 

 (ii) by the day, 

 (iii) by the month, or 

 (iv) by such other larger wage-period as may be prescribed; 

and where such rates are fixed by the day or by the month, the manner of calculating wages for a month or for a day, as the case may be, may be indicated:

Provided that where any wage-periods have been fixed under section 4 of the Payment of Wages Act, 1936 (4 of 1936), minimum wages shall be fixed in accordance therewith.

###STATE AMENDMENT

Kerala

Amendment of Section 3.—(1) Section 3 of the Minimum Wages Act, 1948 (Central Act 11 of 1948), in its application to the fixation of minimum rates of wages in respect of employments specified in Part I and Part II of the Schedule to the Act, in relation to which the appropriate Government is the State Government, shall have effect in the State of Kerala subject to the amendments specified in sub-section (2).

(2) In sub-section (1) of section 3 of the Minimum Wages Act, 1948 (Central Act 11 of 1948),—

(i) in the opening words, for the words “The appropriate Government”, the words “The State Government” shall be substituted;

(ii) in clause (a),—

(a) in sub-clauses (i) and (ii), for the figures, letters and words “31st day of December, 1959”, the 

figures, letters and words “31st day of December, 1959”, the figures, letters and words “31st day of March, 1961, or such other date, not being later than the 31st day of March, 1962, as the State Government may, from time to time, fix by notification in the Gazette” shall be substituted;

(b) after the existing proviso, the following further proviso, the following further proviso shall be 

inserted, namely:—

  “Provided further that where, in fixing the minimum rates of wages of any employment under 

sub-clause (1) or sub-clause (ii), any class of employees is left out, the State Government may, at any time, fix the minimum rates of wages payable to such class of employees.

  *Explanation.*—For  the  purpose  of  this  proviso,  the  expression  “employees  left  out”  with 

reference to an employment shall include—

  (i) employees  employed  in  a  particular  locality  in  the  employment,  the  minimum  rates  of 

wages payable to whom have not been fixed;

  (ii) employees employed in any process or branch of work which was not in existence in the 

employment at the time when the minimum rates of wages were fixed;

[Vide Kerala Act 18 of 1960, sec. 2 (w.e.f. 22-9-1960)].

  1. Minimum rate of wages.—(1) Any minimum rate of wages fixed or revised by the appropriate Government in respect of scheduled employments under section 3 may consist of—

(i) 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 workers (hereinafter referred to as the “cost of living allowance”); or

(ii) a basic rate of wages with or without the cost of living allowance, and the cash value of the concessions in respect of supplies of essential commodities at concession rates, where so authorised; or

(iii) an all-inclusive rate allowing for the basic rate, the cost of living allowance and the cash value of the concessions, if any.

(2) The cost of living allowance and the cash value of the concessions in respect of supplies of essential commodities at concession rates shall be computed by the competent authority at such intervals and in accordance with such directions as may be specified or given by the appropriate Government.

  1. Procedure for fixing and revising minimum wages.—(1) In fixing minimum rates of wages in respect of any scheduled employment for the first time under this Act or in revising minimum rates of wages so fixed, the appropriate Government shall either—

(a) appoint as many committees and sub-committees as it considers necessary to hold enquiries and advise it in respect of such fixation or revision, as the case may be, or

(b) 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 two months from the date of the notification, on which the proposals will be taken into consideration.

(2) After considering the advice of the committee or committees appointed under clause (a) of sub- section (1), or as the case may be, all representations received by it before the date specified in the notification under clause (b) of that sub-section, the appropriate Government shall, by notification in the Official Gazette, fix, or, as the case may be, revise the minimum rates of wages in respect of each scheduled employment, and unless such notification otherwise provides, it shall come into force on the expiry of three months from the date of its issue:

Provided that where the appropriate Government proposes to revise the minimum rates of wages by the mode specified in clause (b) of sub-section (1), the appropriate Government shall consult the Advisory Board also.

###STATE AMENDMENT

Assam

In Section 5 of the said Act, at the end of Clause (a) of Sub-section (1), for the comma and the word “or” after the word “be”, a colon shall be substituted and the following proviso shall be added, namely:—

“Provided the committees and sub-committee as so appointed may advise the appropriate Government in respect of fixation of wages on interim measure after holding such preliminary enquiries as the committee or the sub-committee, as the case may be, considers necessary in this behalf and the appropriate Government after considering such advice may fix the wages pending the fixation of the minimum rate of wages as required under sub-section (2) or”.

[Vide Assam Act 19 of 1964, s. 2 (w.e.f. 11-8-1964)].

  1. [Advisory committees and sub-committees.] Omitted by the Minimum Wages (Amendment) Act, 1957 (30 of 1957), s. 5.

  2. Advisory Board.—For the purpose of co-ordinating the work of committees and sub-committees appointed under section 5 and advising the appropriate Government generally in the matter of fixing and revising minimum rates of wages, the appropriate Government shall appoint an Advisory Board.

  3. Central Advisory Board.—(1) For the purpose of advising the Central and State Governments in the matters of the fixation and revision of minimum rates of wages and other matters under this Act and for co-ordinating the work of the Advisory Boards, the Central Government shall appoint a Central Advisory Board.

(2) The Central Advisory Board shall consist of persons to be nominated by the Central Government representing employers and employees in the scheduled employments, who shall be equal in number, and independent persons not exceeding one-third of its total number of members; one of such independent persons shall be appointed the Chairman of the Board by the Central Government.

  1. Composition of committees, etc.—Each of the committees, sub-committees and the Advisory Board shall consist of persons to be nominated by the appropriate Government representing employers and employees in the scheduled employments, who shall be equal in number, and independent persons not exceeding one-third of its total number of members; one of such independent persons shall be appointed the Chairman by the appropriate Government.

  2. Correction of errors.—(1) The appropriate Government may, at any time, by notification in the Official Gazette, correct clerical or arithmetical mistakes in any order fixing or revising minimum rates of wages under this Act, or errors arising therein from any accidental slip or omission.

(2) Every such notification shall, as soon as may be after it is issued, be placed before the Advisory Board for information.

  1. Wages in kind.—(1) Minimum wages payable under this Act shall be paid in cash.

(2) Where it has been the custom to pay wages wholly or partly in kind, the appropriate Government being of the opinion that it is necessary in the circumstances of the case may, by notification in the Official Gazette, authorise the payment of minimum wages either wholly or partly in kind.

(3) If the appropriate Government is of the opinion that provision should be made for the supply of essential commodities at concession rates, the appropriate Government may, by notification in the Official Gazette, authorise the provision of such supplies at concession rates.

(4) The cash value of wages in kind and of concessions in respect of supplies of essential commodities at concession rates authorised under sub-sections (2) and (3) shall be estimated in the prescribed manner.

###STATE AMENDMENT

Uttar Pradesh

In section 11 of the Minimum Wages Act, 1948 for sub-section (1), the following sub-section shall be substituted, namely :-

"(1) Every employer/owner of Industrial or other establishment shall make payment of wages to his employee through cheques or N.E.F.T, E.C.S or other banking solutions:

Provided that if the work of employed person is of temporary, casual or fixed term then on his written consent and on submission of a copy of his self-attested aadhar card, the employer can make cash payment of wages not more than rupees five thousand once in three months".

[Vide Uttar Pradesh Act 11 of 2018, s. 2]

  1. Payment of minimum rates of wages.—(1) Where in respect of any scheduled employment a notification under section 5 is in force, the employer shall pay to every employee engaged in a scheduled employment under him wages at a rate not less than the minimum rate of wages fixed by such notification for that class of employees in that employment without any deductions except as may be authorised within such time and subject to such conditions as may be prescribed.

(2) Nothing contained in this section shall affect the provisions of the Payment of Wages Act, 1936 (4 of 1936).

  1. Fixing hours for a normal working day, etc.— (1) In regard to any scheduled employment minimum rates of wages in respect of which have been fixed under this Act, the appropriate Government may—

(a) fix the number of hours of work which shall constitute a normal working day, inclusive of one or more specified intervals;

(b) provide for a day of rest in every period of seven days which shall be allowed to all employees or to any specified class of employees and for the payment of remuneration in respect of such days of rest;

(c) provide for payment for work on a day of rest at a rate not less than the overtime rate.

(2) The provisions of sub-section (1) shall, in relation to the following classes of employees, apply only to such extent and subject to such conditions as may be prescribed:—

(a) employees engaged on urgent work, or in any emergency which could not have been foreseen or prevented;

(b) employees engaged in work in the nature of preparatory or complementary work which must necessarily be carried on outside the limits laid down for the general working in the employment concerned;

(c) employees whose employment is essentially intermittent;

(d) employees engaged in any work which for technical reasons has to be completed before the duty is over;

(e) employees engaged in a work which could not be carried on except at times dependent on the irregular action of natural forces.

(3) For the purposes of clause (c) of sub-section (2), employment of an employee is essentially intermittent when it is declared to be so by the appropriate Government on the ground that the daily hours of duty of the employee, or if there be no daily hours of duty as such for the employee, the hours of duty, normally include periods of inaction during which the employee may be on duty but is not called upon to display either physical activity or sustained attention.

  1. Overtime.—(1) Where an employee, whose minimum rate of wages is fixed under this Act by the hour, by the day or by such a longer wage-period as may be prescribed, works on any day in excess of the number of hours constituting a normal working day, the employer shall pay him for every hour or for part of an hour so worked in excess at the overtime rate fixed under this Act or under any law of the appropriate Government for the time being in force, whichever is higher.

(2) Nothing in this Act shall prejudice the operation of the provisions of section 59 of the Factories Act, 1948 (63 of 1948) in any case where those provisions are applicable.

  1. Wages of worker who works for less than normal working day.—If an employee whose minimum rate of wages has been fixed under this Act by the day works on any day on which he was employed for a period less than the requisite number of hours constituting a normal working day, he shall, save as otherwise hereinafter provided, be entitled to receive wages in respect of work done by him on that day as if he had worked for a full normal working day:

Provided, however, that he shall not be entitled to receive wages for a full normal working day—

(i) in any case where his failure to work is caused by his unwillingness to work and not by the 

omission of the employer to provide him with work, and

(ii) in such other cases and circumstances as may be prescribed. 
  1. Wages for two or more classes of work.—Where an employee does two or more classes of work to each of which a different minimum rate of wages is applicable, the employer shall pay to such employee in respect of the time respectively occupied in each such class of work, wages at not less than the minimum rate in force in respect of each such class.

  2. Minimum time rate wages for piece work.—Where an employee is employed on piece work for which minimum time rate and not a minimum piece rate has been fixed under this Act, the employer shall pay to such employee wages at not less than the minimum time rate.

  3. Maintenance of registers and records.—(1) Every employer shall maintain such registers and records giving such particulars of employees employed by him, the work performed by them, the wages paid to them, the receipts given by them and such other particulars and in such form as may be prescribed.

(2) Every employer shall keep exhibited, in such manner as may be prescribed, in the factory, workshop or place where the employees in the scheduled employment may be employed, or in the case of out-workers, in such factory, workshop or place as may be used for giving out-work to them, notices in the prescribed form containing prescribed particulars.

(3) The appropriate Government may, by rules made under this Act, provide for the issue of wage books or wage slips to employees employed in any scheduled employment in respect of which minimum rates of wages have been fixed and prescribe the manner in which entries shall be made and authenticated in such wage books or wage slips by the employer or his agent.

  1. Inspectors.—(1) The appropriate Government may, by notification in the Official Gazette, appoint such persons as it thinks fit to be Inspectors for the purposes of this Act, and define the local limits within which they shall exercise their functions.

(2) Subject to any rules made in this behalf, an Inspector may, within the local limits for which he is appointed—

(a) enter, at all reasonable hours, with such assistants (if any), being persons in the service of the Government or any local or other public authority, as he thinks fit, any premises or place where employees are employed or work is given out to out-workers in any scheduled employment in respect of which minimum rates of wages have been fixed under this Act, for the purpose of examining any register, record of wages or notices required to be kept or exhibited by or under this Act or rules made thereunder, and require the production thereof for inspection;

(b) examine any person whom he finds in any such premises or place and who, he has reasonable cause to believe, is an employee employed therein or an employee to whom work is given out therein;

(c) require any person giving out-work and any out-workers, to give any information, which is in his power to give, with respect to the names and addresses of the persons to, for and from whom the work is given out or received, and with respect to the payments to be made for the work;

(d) seize or take copies of such register, record of wages or notices or portions thereof as he may consider relevant in respect of an offence under this Act which he has reason to believe has been committed by an employer; and

(e) exercise such other powers as may be prescribed.

(3) Every Inspector shall be deemed to be a public servant within the meaning of the Indian Penal Code (45 of 1860).

(4) Any person required to produce any document or thing or to give any information by an Inspector under sub-section (2) shall be deemed to be legally bound to do so within the meaning of section 175 and section 176 of the Indian Penal Code (45 of 1860).

  1. Claims.—(1) The appropriate Government may, by notification in the Official Gazette, appoint any Commissioner for Workmen's Compensation or any officer of the Central Government exercising functions as a Labour Commissioner for any region, or any officer of the State Government not below the rank of Labour Commissioner or any other officer with experience as a Judge of a Civil Court or as a stipendiary Magistrate to be the Authority to hear and decide for any specified area all claims arising out of payment of less than the minimum rates of wages or in respect of the payment of remuneration for days of rest or for work done on such days under clause (b) or clause (c) of sub-section (1) of section 13 or of wages at the overtime rate under section 14, to employees employed or paid in that area.

(2) Where an employee has any claim of the nature referred to in sub-section (1), the employee himself, or any legal practitioner or any official of a registered trade union authorised in writing to act on his behalf, or any Inspector, or any person acting with the permission of the Authority appointed under sub-section (1), may apply to such Authority for a direction under sub-section (3):

Provided that every such application shall be presented within six months from the date on which the minimum wages or other amount became payable:

Provided further that any application may be admitted after the said period of six months when the applicant satisfies the Authority that he had sufficient cause for not making the application within such period.

(3) When any application under sub-section (2) is entertained, the Authority shall hear the applicant and the employer, or give them an opportunity of being heard, and after such further inquiry, if any, as it may consider necessary, may, without prejudice to any other penalty to which the employer may be liable under this Act, direct—

(i) in the case of a claim arising out of payment of less than the minimum rates of wages, the payment to the employee of the amount by which the minimum wages payable to him exceed the amount actually paid, together with the payment of such compensation as the Authority may think fit, not exceeding ten times the amount of such excess;

(ii) in any other case, the payment of the amount due to the employee, together with the payment of such compensation as the Authority may think fit, not exceeding ten rupees,

and the Authority may direct payment of such compensation in cases where the excess or the amount due is paid by the employer to the employee before the disposal of the application.

(4) If the Authority hearing any application under this section is satisfied that it was either malicious or vexatious, it may direct that a penalty not exceeding fifty rupees be paid to the employer by the person presenting the application.

(5) Any amount directed to be paid under this section may be recovered—

(a) if the Authority is a Magistrate, by the Authority as if it were a fine imposed by the Authority as a Magistrate, or

(b) if the Authority is not a Magistrate, by any Magistrate to whom the Authority makes application in this behalf, as if it were a fine imposed by such Magistrate.

(6) Every direction of the Authority under this section shall be final.

(7) Every Authority appointed under sub-section (1) shall have all the powers of a Civil Court under the Code of Civil Procedure, 1908 (5 of 1908), for the purpose of taking evidence and of enforcing the attendance of witnesses and compelling the production of documents, and every such Authority shall be deemed to be a Civil Court for all the purposes of section 195 and Chapter XXXV of the Code of Criminal Procedure, 1898 (5 of 1898).

###STATE AMENDMENTS

Kerala

Amendment of Section 20.—In section 20 of the Minimum wages Act, 1948 (Central Act 11 of 1948) (hereinafter referred to as the principal Act),—

(a) in sub-section (1), for the words “or any officer of the State Government not below the rank of a Labour Commissioner”, the words “or any officer of the State Government not below the rank of a Deputy Labour Commissioner” shall be substituted;

(b) in sub-section (4), for the words “fifty rupees”, the words “one hundred rupees” shall be substituted;

(c) in sub-section (5), for clause (b), the following clause shall be substituted, namely:—

“(b) if the Authority is not a Magistrate, by the Authority, as if it were arrears of revenue due on land, without prejudice to any other mode of recovery.”.

[Vide Kerala Act 23 of 2017, sec. 2].

Karnataka

Amendment of section 20.—In section 20 of the Minimum Wages Act, 1948 (Central Act XI of 1948), (herein after referred to as the Principal Act,—

(i) in sub-section (1), for the words “not below the rank of Labour Commissioner”, the words “not below the rank of Assistant Labour Commissioner” shall be substituted.

(ii) in sub-section (4), for the words “fifty rupees” the words “one thousand rupees” shall be substituted.

[Vide Karnataka Act 40 of 2017, sec. 2].

Karnataka

In sub-section (1) of section 20, for the words “stipendiary Magistrate” the words “Judicial Magistrate” shall be substituted.

[Vide Karnataka Act 13 of 1965, s. 67 and Schedule]

Rajasthan

Amendment of sections 20, Central Act 11 of 1948.- In the Minimum Wages Act, 1948 (Central Act 11 of 1948), in its application to the State of Rajasthan, in section 20, in sub-section (1), after the expression "Labour Commissioner", the expression "or a Vikas Adhikari appointed under the Rajasthan Panchayat Samitis And Zila Parishads Act, 1959 (Rajasthan Act 37 of 1959)" shall be inserted.

[Vide Rajasthan Act 11 of 1976, s. 3]

  1. Single application in respect of a number of employees.—(1) Subject to such rules as may be prescribed, a single application may be presented under section 20 on behalf or in respect of any number of employees employed in the scheduled employment in respect of which minimum rates of wages have been fixed and in such cases the maximum compensation which may be awarded under sub-section (3) of section 20 shall not exceed ten times the aggregate amount of such excess or ten rupees per head, as the case may be.

(2) The Authority may deal with any number of separate pending applications presented under section 20 in respect of employees in the scheduled employments in respect of which minimum rates of wages have been fixed, as a single application presented under sub-section (1) of this section and the provisions of that sub-section shall apply accordingly.

  1. Penalties for certain offences.—Any employer who—

(a) pays to any employee less than the minimum rates of wages fixed for that employee's class of work, or less than the amount due to him under the provisions of this Act, or

(b) contravenes any rule or order made under section 13,

shall be punishable with imprisonment for a term which may extend to six months, or with fine which may extend to five hundred rupees, or with both:

Provided that in imposing any fine for an offence under this section, the Court shall take into consideration the amount of any compensation already awarded against the accused in any proceedings taken under section 20.

###STATE AMENDMENTS

Kerala

Amendment of Section 22.—In section 22 of the principal Act, for the words “five hundred rupees” the words “one lakh rupees” shall be substituted.

[Vide Kerala Act 23 of 2017, sec. 3].

Karnataka

Amendment of section 22.—In section 22 of the Principal Act for the words “which may extend to five hundred rupees” the words “which shall not be less than five thousand rupees but which may extend to ten thousand rupees” shall be substituted. [Vide Karnataka Act 40 of 2017, sec. 3]. 22A. General provision for punishment of other offences.—Any employer who contravenes any provision of this Act or of any rule or order made thereunder shall, if no other penalty is provided for such contravention by this Act, be punishable with fine which may extend to five hundred rupees.

Kerala

Substitution of Section 22A.—For section 22A of the principal Act, the following section shall be

substituted, namely:—

“22A. General Provision for punishment of other offences.—(1) Whoever contravenes the provisions of this Act or the rules made thereunder shall be punishable with fine which may extend to two lakh rupees and in the case of a continuing contravention, with an additional fine which may extend to two thousand rupees for every day during which such contravention continues:

Provided that the total amount of fine shall not exceed two thousand rupees per worker employed. (2) If any person who has been convicted of any offence punishable under sub-section (1) is again guilty of an offence involving a contravention or failure of compliance of the same provision, he shall be punishable on a subsequent conviction with fine which shall not be less than one lakh rupees but which may extend to five lakh rupees.

(3) Notwithstanding anything contained in sub-section (2) of section 29 of the Code of Criminal Procedure, 1973 (Central Act 2 of 1974), it shall be lawful for the Magistrate to impose a fine for an amount exceeding ten thousand rupees.”. [Vide Kerala Act 23 of 2017, sec. 4].

Karnataka

Amendment of section 22A.—In section 22A of the Principal Act, for the words “five hundred

rupees” the words “ten thousand rupees” shall be substituted.

[Vide Karnataka Act 40 of 2017, sec. 4].

22B. Cognizance of offences.—(1) No Court shall take cognizance of a complaint against any person

for an offence—

(a) under clause (a) of section 22 unless an application in respect of the facts constituting such offence has been presented under section 20 and has been granted wholly or in part, and the appropriate Government or an officer authorised by it in this behalf has sanctioned the making of the complaint;

(b) under clause (b) of section 22 or under section 22A except on a complaint made by, or with

the sanction of, an Inspector.

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(2) No Court shall take cognizance of an offence—

(a) under clause (a) or clause (b) of section 22, unless complaint thereof is made within one

month of the grant of sanction under this section;

(b) under section 22A, unless complaint thereof is made within six months of the date on which

the offence is alleged to have been committed.

22C. Offences by companies.—(1) If the person committing any offence under this Act is a company, every person who at the time the offence was committed, was incharge of, and was responsible to, the company for the conduct of the business of the company as well as the company shall be deemed to be guilty of the offence and shall be liable to be proceeded against and punished accordingly:

Provided that nothing contained in this sub-section shall render any such person liable to any punishment provided in this Act if he proves that the offence was committed without his knowledge or that he exercised all due diligence to prevent the commission of such offence.

(2) Notwithstanding anything contained in sub-section (1), where an offence under this Act has been committed by a company and it is proved that the offence has been committed with the consent or connivance of, or is attributable to any neglect on the part of, any director, manager, secretary or other officer of the company, such director, manager, secretary or other officer of the company shall also be deemed to be guilty of that offence and shall be liable to be proceeded against and punished accordingly.

Explanation.—For the purposes of this section,—

(a) “company” means any body corporate and includes a firm or other association of individuals,

and

(b) “director” in relation to a firm means a partner in the firm.

Uttar Pradesh

Insertion of new section 22-CC, in Act (11 of 1948).—In the minimum Wages Act, after section

22-C, the following section shall be inserted, namely:—

“22-CC. Compounding of offence.—An Officer specially empowered by the State Government in this behalf by notification may, subject to any general or special order of the State Government in this behalf, compound any offence punishable under this Act with fine only committed for the first time, either before or after the institution of the prosecution, on realization of such amount of composition fee as he thinks fit, not exceeding the maximum amount of fine fixed for the offence; and where the offence is so compounded—

(i) before the institution of the prosecution, the offender shall not be liable to prosecution for

such offence and shall, if in custody, be set at liberty;

(ii) before the institution of the prosecution, the composition shall amount to acquittal of the

offender.’’

[Vide Uttar Pradesh Act 35 of 1979, s. 3]

22D. Payment of undisbursed amounts due to employees.—All amounts payable by an employer to an employee as the amount of minimum wages of the employee under this Act or otherwise due to the employee under this Act or any rule or order made thereunder shall, if such amounts could not or cannot be paid to the employee on account of his death before payment or on account of his whereabouts not being known, be deposited with the prescribed authority who shall deal with the money so deposited in such manner as may be prescribed.

22E. Protection against attachment of assets of employer with Government.—Any amount deposited with the appropriate Government by an employer to secure the due performance of a contract with that Government and any other amount due to such employer from that Government in respect of such contract shall not be liable to attachment under any decree or order of any Court in respect of any debt or liability incurred by the employer other than any debt or liability incurred by the employer towards any employee employed in connection with the contract aforesaid.

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22F. Application of Payment of Wages Act, 1936, to scheduled employments.—(1) Notwithstanding anything contained in the Payment of Wages Act, 1936 (4 of 1936). the appropriate Government may, by notification in the Official Gazette, direct that, subject to the provisions of sub- section (2), all or any of the provisions of the said Act shall with such modifications, if any, as may be specified in the notification, apply to wages payable to employees in such scheduled employments as may be specified in the notification.

(2) Where all or any of the provisions of the said Act are applied to wages payable to employees in any scheduled employment under sub-section (1), the Inspector appointed under this Act shall, be deemed to be the Inspector for the purpose of enforcement of the provisions so applied within the local limits of his jurisdiction.]
Manipur

Insertion of section 22CC.—In the Minimum Wages Act, 1948 (No. 21 of 1948) below section 22C, the

following section shall be inserted, namely:—

“22CC.Compounding of offences.—An officer specially empowered by the State Government in this behalf by notification in the official gazette may, subject to any general or special order of the State Government in this behalf, compound any offence punishable under this Act with fine only committed for the first time either before or after the institution of the prosecution, on realization of such amount of composition fee as he thinks fit, not exceeding the maximum amount of fine fixed for the offence, and where the offence is so compounded—

(i) before the institution of the prosecution, the offender shall not be liable to prosecution for such offence

and shall, if in custody, be set at liberty;

(ii) after the institution of the prosecution, the composition shall amount to acquittal of the offender.”.

[Vide Manipur Act 7 of 1992, s. 2]

  1. Exemption of employer from liability in certain cases.—Where an employer is charged with an offence against this Act, he shall be entitled, upon complaint duly made by him, to have any other person whom he charges as the actual offender, brought before the Court at the time appointed for hearing the charge; and if, after the commission of the offence has been proved, the employer proves to the satisfaction of the Court—

(a) that he has used due diligence to enforce the execution of this Act, and (b) that the said other person committed the offence in question without his knowledge, consent

or connivance,

that other person shall be convicted of the offence and shall be liable to the like punishment as if he were the employer and the employer shall be discharged:

Provided that in seeking to prove, as aforesaid, the employer may be examined on oath, and the evidence of the employer or his witness, if any, shall be subject to cross-examination by or on behalf of the person whom the employer charges as the actual offender and by the prosecution.

  1. Bar of suits.—No Court shall entertain any suit for the recovery of wages in so far as the sum so claimed— (a) forms the subject of an application under section 20 which has been presented by or on behalf of the

plaintiff, or

(b) has formed the subject of a direction under that section in favour of the plaintiff, or
(c) has been adjudged in any proceeding under that section not to be due to the plaintiff, or (d) could have been recovered by an application under that section.

  1. Contracting out.—Any contract or agreement, whether made before or after the commencement of this Act, whereby an employee either relinquishes or reduces his right to a minimum rate of wages or any privilege or concession accruing to him under this Act shall be null and void in so far as it purports to reduce the minimum rate of wages fixed under this Act.

  2. Exemptions and exceptions.—(1) The appropriate Government may, subject to such conditions if any as it may think fit to impose, direct that the provisions of this Act shall not apply in relation to the wages payable to disabled employees.

(2) The appropriate Government may, if for special reasons it thinks so fit, by notification in the Official Gazette, direct that 1[subject to such conditions and] for such period as it may specify the provisions of this Act or any of them shall not apply to all or any class of employees employed in any scheduled employment or to any locality where there is carried on a scheduled employment.

  1. Ins. by Act 30 of 1957, s. 15.

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1[(2A) The appropriate Government may, if it is of opinion that, having regard to the terms and conditions of service applicable to any class of employees in a scheduled employment generally or in a scheduled employment in a local area 1[or to any establishment or a part of any establishment in a scheduled employment], it is not necessary to fix minimum wages in respect of such employees of that class 1[or in respect of employees in such establishment or such part of any establishment] as are in receipt of wages exceeding such limit as may be prescribed in this behalf, direct, by notification in the Official Gazette and subject to such conditions, if any, as it may think fit to impose, that the provisions of this Act or any of them shall not apply in relation to such employees.]

(3) Nothing in this Act shall apply to the wages payable by an employer to a member of his family who is living

with him and is dependent on him.

Explanation.—In this sub-section a member of the employer's family shall be deemed to include his or her

spouse or child or parent or brother or sister.

  1. Power of State Government to add to Schedule.—The appropriate Government, after giving by notification in the Official Gazette not less than three months' notice of its intention so to do, may, by like notification, add to either Part of the Schedule any employment in respect of which it is of opinion that minimum rates of wages should be fixed under this Act, and thereupon the Schedule shall in its application to the State be deemed to be amended accordingly.

  2. Power of Central Government to give directions.—The Central Government may give directions to a

State Government as to the carrying into execution of this Act in the State.

  1. Power of the Central Government to make rules.—The Central Government may, subject to the condition of previous publication, by notification in the Official Gazette, make rules prescribing the term of office of the members, the procedure to be followed in the conduct of business, the method of voting, the manner of filling up casual vacancies in membership and the quorum necessary for the transaction of business of the Central Advisory Board.

  2. Power of appropriate Government to make rules.—(1) The appropriate Government may, subject to the condition of previous publication, by notification in the Official Gazette, make rules for carrying out the purposes of this Act.

(2) Without prejudice to the generality of the foregoing power, such rules may—

(a) prescribe the term of office of the members, the procedure to be followed in the conduct of business, the method of voting, the manner of filling up casual vacancies in membership and the quorum necessary for the transaction of business of the committees, sub-committees, 2*** and the Advisory Board;

(b) prescribe the method of summoning witnesses, production of documents relevant to the subject-matter of the enquiry before the committees, sub-committees, 1*** and the Advisory Board;

(c) prescribe the mode of computation of the cash value of wages in kind and of concessions in

respect of supplies of essential commodities at concession rates;

(d) prescribe the time and conditions of payment of, and the deductions permissible from, wages;

(e) provide for giving adequate publicity to the minimum rates of wages fixed under this Act;

(f) provide for a day of rest in every period of seven days and for the payment of remuneration in

respect of such day;

(g) prescribe the number of hours of work which shall constitute a normal working day;

(h) prescribe the cases and circumstances in which an employee employed for a period of less than the requisite number of hours constituting a normal working day shall not be entitled to receive wages for a full normal working day;

(i) prescribe the form of registers and records to be maintained and the particulars to be entered in

such registers and records;

(j) provide for the issue of wage books and wage slips and prescribe the manner of making and

authenticating entries in wage books and wage slips;

(k) prescribe the powers of Inspectors for purposes of this Act;

  1. Ins. by Act 26 of 1954, s. 5.
  2. The words “advisory committees, advisory sub-committees” omitted by Act 30 of 1957, s. 16.

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(l) regulate the scale of costs that may be allowed in proceedings under section 20;

(m) prescribe the amount of court-fees payable in respect of proceedings under section 20; and

(n) provide for any other matter which is to be or may be prescribed.

1[30A. Rules made by Central Government to be laid before Parliament.—2[(1)] Every rule made by the Central Government under this Act shall be laid as soon as may be after it is made before each House of Parliament while it is in session for a total period of thirty days which may be comprised in one session or in two successive sessions, and if, before the expiry of the session in which it is so laid or the session immediately following, both Houses agree in making any modification in the rule or both Houses agree that the rule should not be made, the rule shall thereafter have effect only in such modified form or be of no effect, as the case may be; so, however, that any such modification or annulment shall be without prejudice to the validity of anything previously done under that rule.]

3[(2) every rule made by the State Government under this Act shall be laid, as soon as may be after it

is made, before the State Legislature.]

4[31. Validation of fixation of certain minimum rates of wages.—Where during the period—

(a) commencing on the 1st day of April, 1952, and ending with the date of the commencement of

the Minimum Wages (Amendment) Act, 1954 (26 of 1954); or

(b) commencing on the 31st day of December, 1954, and ending with the date of the

commencement of the Minimum Wages (Amendment) Act, 1957 (30 of 1957); or

(c) commencing on the 31st day of December, 1959, and ending with the date of the

commencement of the Minimum Wages (Amendment) Act, 1961 (31 of 1961),

minimum rates of wages have been fixed by an appropriate Government as being payable to employees employed in any employment specified in the Schedule in the belief or purported belief that such rates were being fixed under clause (a) of sub-section (1) of section 3, as in force immediately before the commencement of the Minimum Wages (Amendment) Act, 1954 (26 of 1954), or the Minimum Wages (Amendment) Act, 1957 (30 of 1957), or the Minimum Wages (Amendment) Act, 1961(31 of 1961), as the case may be, such rates shall be deemed to have been fixed in accordance with law and shall not be called in question in any court on the ground merely that the relevant date specified for the purpose in that clause had expired at the time the rates were fixed:

Provided that nothing contained in this section shall extend, or be construed to extend, to affect any person with any punishment or penalty whatsoever by reason of the payment by him by way of wages to any of his employees during any period specified in this section of an amount which is less than the minimum rates of wages referred to in this section or by reason of non-compliance during the period aforesaid with any order or rule issued under section 13.]

  1. Ins. by Act 31 of 1961, s. 3.
  2. Section 30A re-numbered as sub-section (1) thereof by Act 4 of 2005, s. 2 and the Schedule (w.e.f. 11-1-2005).
  3. Ins. by Act 4 of 2005, s. 2 and the Schedule (w.e.f. 11-1-2005).
  4. Subs. by Act 31 of 1961, s. 4, for section 31.

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SCHEDULE

[See sections 2(g) and 27]

PART 1

  1. Employment in any wollen carpet making or shawl weaving establishment.
  2. Employment in any rice mill, flour mill or dal mill.
  3. Employment in any tobacco (including bidi making) manufactory.
  4. Employment in any plantation, that is to say, any estate which is maintained for the purpose of growing

cinchona, rubber, tea or coffee.

  1. Employment in any oil mill.
  2. Employment under any local authority 1[7. Employment on the construction or maintenance of roads or in building operations.]
  3. Employment in stone breaking or stone crushing.
  4. Employment in any lac manufactory.
  5. Employment in any mica works.
  6. Employment in public motor transport.

  7. Employment in tanneries and leather manufactory.

2[Employment in gypsum mines. Employment in barytes mines. Employment in bauxite mines.] 3[Employment in manganese mines.] 4[Employment in the maintenance of buildings and employment in the construction and maintenance of runways.] 5[Employment in China Clay mines. Employment in Kyanite mines.]

6[Employment in Copper mines.]

7[Employment in clay mines covered under the Mines Act, 1952 (35 of 1952).]

8[Employment in magnesite mines covered under the Mines Act, 1952 (35 of 1952).]

9[Employment in white clay mines.]

10[Employment in stone mines.]

11[Employment in steatile (including the mines producing Seapstone and Tale).]

12[Employment in Ochre Mines.]

13[Employment in Asbestos mines.]

  1. Subs. by Act 30 of 1957, s. 18, for item No. 7.
  2. Ins. by notification No. S.O. 3760, dated 4th December, 1962.
  3. Ins. by notification No. S.O. 3760, dated 30th October, 1962.
  4. Ins. by notification No. S.O. 1987, dated 30th May, 1968.
  5. Ins. by notification No. S.O. 586, dated 5th February, 1970.
  6. Ins. by notification No. S.O. 795, dated 13th February, 1970.
  7. Ins. by notification No. S.O. 796, dated 18th February, 1970.
  8. Ins. by notification No. S.O. 2357, dated 1st July, 1970.
  9. Ins. by notification No. S.O. 3896, dated the 3rd September, 1971.
  10. Ins. by notification No. S.O. 3898, dated 15th September, 1971.
  11. Ins. by notification No. S.O. 2972, dated 1st July, 1972.
  12. Ins. by notification No. S.O. 2973, dated 1st July, 1972.
  13. Ins. by notification No. S.O. 2974, dated 6th July, 1972.

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1[Employment in Fire Clay mines.]

2[Employment in Chromite mines.]

3[Employment in quartizite mines.

Employment in quartz mines.

Employment in silica mines.]

4[Employment in graphic mines.]

5[Employment in feldspar mines.]

6[Employment in laterite mines.]

7[Employment in dolomite mines.]

8[Employment in redoxide mines.]

9[Employment in wolfram mines.]

10[Employment in iron ore mines.]

11[Employment in granite mines.]

PART II

  1. Employment in agriculture, that is to say, in any form of farming, including the cultivation and tillage of the soil, dairy farming, the production, cultivation, growing and harvesting of any agricultural or horticultural commodity, the raising of live-stock, bees or poultry, and any practice performed by a farmer or on a farm as incidental to or in conjunction with farm operations (including any forestry or timbering operations and the preparation for market and delivery to storage or to market or to carriage for transportation to market of farm produce).

  2. Ins. by notification No. S.O. 1587, dated 24th May, 1973.

  3. Ins. by notification No. S.O. 2311, dated 3rd July, 1975.

  4. Ins. by notification No. S.O. 4030, dated 4th February, 1976.

  5. Ins. by notification No. S.O. 558, dated 29th January, 1977.

  6. Ins. by notification No. S.O. 1823, dated 14th June, 1978.

  7. Ins. by notification No. S.O. 2945, dated 22nd September, 1978.

  8. Ins. by notification No. S.O. 2950, dated 25th September, 1978.

  9. Ins. by notification No. S.O. 3248, dated 26th October, 1978.

  10. Ins. by notification No. S.O. 3671, dated 7th December, 1978.

  11. Ins. by notification No. S.O. 1757, dated 16th June, 1980.

  12. Ins. by notification No. S.O. 2473, dated 3rd September, 1980.

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