Minimum Wages

Last Updated on: March 09, 2024

The concept of minimum wages first evolved with reference to remuneration of workers in those industries where the level of wages was substantially low as compared to wages for similar type of labours in other industries. The need of legislation for fixation of minimum wages in India received an impetus on account of the necessity of protecting the interest of the demobilized personnel seeking employment in industries. The Minimum Wages Bill having being passed by legislature received its assent on 15th March, 1948 and it came to be known as the MINIMUM WAGES ACT, 1948 thereafter. The Act is available in the Labour & Employment Department website under Document section.

The Labour & Employment Department, Govt. of Assam, in consultation with the respective Minimum Wages Advisory Boards & Committees, constituted under the Minimum Wages Act, 1948, periodically fixes and revises the rates of minimum wages of various categories of workers/employees such as workers /employees engaged in scheduled employments, plantations, loading & unloading of urea bags, medical representatives & other pharmaceutical industries etc.

Some important provisions for employees under the Minimum Wages Act, 1948 & Minimum Wages (Central) Rules, 1950:

  • Fixing of hours for normal working day (Sec. 13, Act)
  • A weekly rest day (Rule 23)
  • Wages to worker who works for less than normal working day (Sec. 15, Act)
  • Penalties against employers for certain offences, like payment to employees/workers less than the minimum wages fixed ( Sec. 22, Act)
  • Payment of undisbursed amounts due ( Sec. 22D, Act)
  • Extra wages for overtime (Rule 25)
  • Minimum time rate wages for piece work( Sec. 17, Act)
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