12/7/10 Presented by: - RAJ NARAYAN

PRASAD
industrial acts
Labour &

11
Minimum wages act

12/7/10
Applicability of the act: -
The minimum wages Act of 1948 covers all the
states of India. It applies to a number of
employments which are listed in a Schedule

NARAYAN PRASAD
Presented by: - RAJ
appended to the Act and may be extended by
the appropriate government, Central or State,
as the case may be, to any employment in
respect of which it is opinion that minimum
rates of wages should be fixed under the act.
“Minimum wages” has not been defined in the
Act presumably because it would not be 22
possible to lay down a uniform minimum
wages for all industries throughout the country
Contd.

12/7/10
Wages [S. 2(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. It

NARAYAN PRASAD
includes house rent allowance but it does not include

Presented by: - RAJ

the following items:
● The value of –
– Any house accommodation, supply of light, water, medical
attendance, or
– Any other amenity or any service excluded by general or
special order of the appropriate government;
● Any contribution paid by the employer to any Pension Fund or
Provident Fund or under any scheme of social insurance;
● Any travelling allowance or the value of any travelling concession;
33
Contd.

12/7/10
● Any sum paid to the person employed to defray special
expense entailed on him by the nature of his
employment; or
● Any gratuity payable on discharge.

NARAYAN PRASAD
Any payment which partakes of the nature of

Presented by: - RAJ

lay – off compensation cannot fall within the
term “wages” as defined in s. 2(h).

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