Minimum Wage is the legally established lowest wage rate that employers must pay to their workers.

Wages Exclude

  1. Accomodation, supply of light, water, medical attendance
  2. Contribution of PF
  3. Travelling Allowance
  4. Gratuity Payable

Minimum Rate of Wages

Basic Rate of Wage + Cost of Living Allowance + Cash Value of Concession

Types of Minimum Wages

  1. Minimum Time Rate
  2. Minimum Piece Rate
  3. Guaranteed Time Rate
  4. Overtime Rate

DEDUCTIONS FROM MINIMUM WAGES CAN BE MADE IF AUTHORISED BY RULES

  1. Permissible Deductions: Fines, absence from duty, damage or loss of entrusted goods, house accomodations, income tax, court or authority orders, PF, etc.
  2. Procedures for Fines and Deductions: Employees must be explained and allowed to explain.
  3. Deductions require written authorization except when the employee gives written consent.
  4. Employers must submit an Annual return (Form III) to the Inspector, showing the deductions made from wages, by Februsry 1st, following the end of the relevant year.

THE EMPLOYER MUST HAVE

  1. Maintain a Registervof Wages.
  2. Issue Wage-Slips to every employee.
  3. Authenticate Wage-book and Wage-slip.
  4. Maintain Additional Registers.
  5. Display of Notices with information of Inspector.
  6. Preserve all Records.
  7. Production of Records before Inspector on demand.
  1. Inspectors have authority to exercise their powers.
  2. Application to be given to Authority if employee is paid less.
  3. Single Application can be given on behalf of a group of employees.
  4. Complaints can be filed with the Court.
  5. Authority has the power to impose payements.
  6. Penalties of offences can be imprisonment for upto 6 months, or a fine of upto ₹ 500 , or both.

Minimum wages may vary based on:

  1. Scheduled employments
  2. Classes of work
  3. Localities
  4. Wage periods
  5. Age groups

Coverage

Afford protection to all workers

Full Consultation with Social Partners

Level

Cover needs of workers and their families

Compliance

Employers comply with MW regulations