The Minimum Wages Act, 1948

(1) This Act may be called the Minimum Wages Act, 1948. (2) It extends to the whole of India 2***.

In this Act, unless there is anything repugnant in the subject or context,-- 1[(a) "adolescent" means a person who has completed his fourteenth year of age but has notcompleted 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 the2[Central Government or a railway administration], or in relation to a mine, oilfield or major port,or any corporation established by 3[a Central Act], the Central Government, and (ii) in relation to any other scheduled employment, the State Government; 4[(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 bynotification in its Official Gazette to ascertain from time to time the cost of living index numberapplicable 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 inrespect of which minimum rates of wages have been fixed, means the index number ascertained anddeclared by the competent authority by notification in the Official Gazette to be the cost of livingindex number applicable to employees in such employment; (e) "employer" means any person who employs, whether directly or through another person, orwhether on behalf of himself or any other person, one or more employees in any scheduledemployment in respect of which minimum rates of wages have been fixed under this Act, andincludes, except in sub-section (3) of section 26,-- (i) in a factory where there is carried on any scheduled employment in respect of whichminimum rates of wages have been fixed under this Act, any person named under 5[clause (f) ofsub-section (1) of section 7 of the Factories Act, 1948 (63 of 1948)], as manager of the factory; (ii) in any scheduled employment under the control of any Government in India in respect ofwhich minimum rates of wages have been fixed under this Act, the person or authority appointedby such Government for the supervision and control of employees or where no person orauthority is so appointed, the head of the department; (iii) in any scheduled employment under any local authority in respect of which minimumrates of wages have been fixed under this Act, the person appointed by such authority for thesupervision and control of employees or where no person is so appointed, the chief executiveofficer of the local authority; (iv) in any other case where there is carried on any scheduled employment in respect of whichminimum rates of wages have been fixed under this Act, any person responsible to the owner forthe 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 orbranch 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 personemployed in respect of his employment or of work done in such employment, 6[and includes houserent 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 theappropriate Government; (ii) any contribution paid by the employer to any Pension Fund or Provident Fund or underany 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 thenature 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 orunskilled, manual or clerical, in a scheduled employment in respect of which minimum rates of wageshave been fixed; and includes an out-worker to whom any articles or materials are given out by anotherperson to be made up, cleaned, washed, altered, ornamented, finished, repaired, adapted or otherwiseprocessed for sale for the purposes of the trade or business of that other person where the process is to becarried out either in the home of the out-worker or in some other premises not being premises under thecontrol and management of that other person; and also includes an employee declared to be an employeeby the appropriate Government; but does not include any member of the Armed Forces of the 7[Union].

1(1) The appropriate Government shall, in the mannerhereinafter provided,-- 2(a) fix the minimum rates of wages payable to employees employed in an employment specifiedspecified in Part I or Part II of the Schedule and in an employment added to either Part by notificationunder section 27: Provided that the appropriate Government may, in respect of employees employed in anemployment 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 ofsuch employment in the whole State or part thereof;] (b) review at such intervals as it may think fit, such intervals not exceeding five years, theminimum rates of wages so fixed and revise the minimum rates, if necessary: 3[Provided that where for any reason the appropriate Government has not reviewed the minimumrates 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 afterthe expiry of the said period of five years and revising them, if necessary, and until they are so revisedthe minimum rates in force immediately before the expiry of the said period of five years shallcontinue in force.] (1A) Notwithstanding anything contained in sub-section (1), the appropriate Government may refrainfrom fixing minimum rates of wages in respect of any scheduled employment in which there are in thewhole State less than one thousand employees engaged in such employment, but if at any time, 4*** theappropriate Government comes to a finding after such inquiry as it may make or cause to be made in thisbehalf that the number of employees in any scheduled employment in respect of which it has refrainedfrom fixing minimum rates of wages has risen to one thousand or more, it shall fix minimum rates ofwages payable to employees in such employment 5[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 workfor 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 minimumrate which would otherwise be applicable, in respect of overtime work done by employees(hereinafter referred to as "overtime rate"). 6[(2A) Where in respect of an industrial dispute relating to the rates of wages payable to any of theemployees employed in a scheduled employment, any proceeding is pending before a Tribunal orNational Tribunal under the Industrial Disputes Act, 1947 (14 of 1947) or before any like authority underany other law for the time being in force, or an award made by any Tribunal, National Tribunal or suchauthority is in operation, and a notification fixing or revising the minimum rates of wages in respect of thescheduled 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 revisedshall not apply to those employees during the period in which the proceeding is pending and the awardmade therein is in operation or, as the case may be, where the notification is issued during the period ofoperation of an award, during that period; and where such proceeding or award relates to the rates ofwages payable to all the employees in the scheduled employment, no minimum rates of wages shall befixed 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; 7[(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 monthor 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 of1948), in its application to the fixation of minimum rates of wages in respect of employments specified inPart I and Part II of the Schedule to the Act, in relation to which the appropriate Government is the StateGovernment, 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 StateGovernment" 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", thefigures, letters and words "31st day of December, 1959", the figures, letters and words "31st day ofMarch, 1961, or such other date, not being later than the 31st day of March, 1962, as the StateGovernment 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 beinserted, namely:-- "Provided further that where, in fixing the minimum rates of wages of any employment under subclause (1) or sub-clause (ii), any class of employees is left out, the State Government may, at any time, fixthe minimum rates of wages payable to such class of employees. Explanation.--For the purpose of this proviso, the expression "employees left out" with reference toan employment shall include-- (i) employees employed in a particular locality in the employment, the minimum rates of wagespayable to whom have not been fixed; (ii) employees employed in any process or branch of work which was not in existence in theemployment 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) Any minimum rate of wages fixed or revised by the appropriateGovernment 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 insuch manner as the appropriate Government may direct, to accord as nearly as practicable with thevariation 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 theconcessions 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 cashvalue of the concessions, if any. (2) The cost of living allowance and the cash value of the concessions in respect of supplies ofessential commodities at concession rates shall be computed by the competent authority at such intervalsand in accordance with such directions as may be specified or given by the appropriate Government.

1[5. Procedure for fixing and revising minimum wages.--(1) In fixing minimum rates of wages inrespect of any scheduled employment for the first time under this Act or in revising minimum rates ofwages so fixed, the appropriate Government shall either-- (a) appoint as many committees and sub-committees as it considers necessary to hold enquiriesand 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 personslikely to be affected thereby and specify a date, not less than two months from the date of thenotification, on which the proposals will be taken into consideration. (2) After considering the advice of the committee or committees appointed under clause (a) ofsub-section (1), or as the case may be, all representations received by it before the date specified in thenotification under clause (b) of that sub-section, the appropriate Government shall, by notification in theOfficial Gazette, fix, or, as the case may be, revise the minimum rates of wages in respect of eachscheduled employment, and unless such notification otherwise provides, it shall come into force on theexpiry of three months from the date of its issue: Provided that where the appropriate Government proposes to revise the minimum rates of wages bythe mode specified in clause (b) of sub-section (1), the appropriate Government shall consult the AdvisoryBoard also. ] STATE AMENDMENTS 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 appropriateGovernment in respect of fixation of wages on interim measure after holding such preliminary enquiriesas the committee or the sub-committee, as the case may be, considers necessary in this behalf and theappropriate Government after considering such advice may fix the wages pending the fixation of theminimum rate of wages as required under sub-section (2) or". [Vide Assam Act 19 of 1964, sec. 2 (w.e.f. 11-8-1964)].