THE MINIMUM WAGES ACT, 1948

AN ACT TO PREVENT SWEATED LABOUR AND EXPLOITATION OF LABOUR

The Act extends to the whole of India

Requires the Central and State Govt. to fix minimum rates of wages in certain scheduled employment. Minimum wages fixed REVISED from time to time

 Object of the Act-To provide for fixing minimum rates of wages in certain employments Minimum Rates of Wages: Such as Basic rates of wages etc. Variable DA and Value of other concessions etc. Sec. 4

Fixation of Minimum Rates of Wages

The appropriate government to fix minimum rates of wages. The employees employed in para 1 or B of Schedule either at 2 or either part of notification u/s 27. To make review at such intervals not exceeding five years the minimum rates or so fixed and revised the minimum rates. Government can also fix Minimum Wages for
Time work - Piece work at piece rate - Piece work for the purpose of securing to such employees on a time work basis Overtime work done by employees for piece work or time rate workers. Sec. 3

Responsibility of the Employer

to follow the directions and fix wages of the workers at the rate not less than the one fixed to maintain Register of Wages in form XI showing rate of wages payable, actual amount paid, attendance & overtime, deductions for EPF, ESI and other, net amount paid, date of payment and signature of respective employee. Wages slip in form XIII showing the above details to be given to every employee.

PENALITIES

Offence

Punishment

For paying less than Imprisonment minimum rates of upto 6 months or wages with fine upto Rs.500/Sec. 20 For contravention of any provisions pertaining to fixing hours for normal working day etc. Imprisonment upto 6 months or with fine upto Rs.500/-

PAYMENT OF WAGES ACT, 1936

An Act to regulate the payment of wages to certain classes of persons
Extends to the whole of India Responsibility of payment wages rests with the employer Employer to fix Wage Period No wage period shall exceed one month.

Time of Payment of wages

7th day of wage month where less than 1000 are working 10th day where more than 1000 are working No payment in KIND

Permissible deduction from Wages

fines for absence from duty for damage caused to the property of the employer for the amenities provided, like house accommodation for recovery of advance or adjusting over payment of wages towards EPF, ESI, Labour Welfare Fund and similar deductions permitted under any Act or the Standing Orders of the establishment for Life Insurance/ general insurance policies and Housing loan.

THE PAYMENT OF BONUS ACT, 1965

An Act to provide for the payment of Bonus to persons in certain establishments on the basis of profits, production or productivity. Extends to the whole of India. Applies to every establishment wherein 20 or more are employed The Appropriate Govt. shall apply the Act to any other establishment, including a factory to which the Factories Act, 1948 applies, wherein less than 20 workers are employed provided the number of persons employed is not less than 10.

Eligibility to Bonus
employee whose salary/ wages does not exceed Rs 10000 per month who has worked in the establishment for not less than 30 days Not disqualified to claim bonus due to fraud, theft or any other misconduct Bonus of very person drawing salary between Rs 3500/- and Rs 10000/- per month shall be calculated as if his salary were Rs 3500 pm

Disqualification & Deduction of Bonus

On dismissal of an employee for Fraud; or riotous or violent behaviour while on the premises of the establishment; or theft, misappropriation or sabotage of any property of the establishment or Misconduct of causing financial loss to the Employer to the extent that bonus can be deducted for that year. Secs. 9 & 18.

For calculating the number of working days

the days for which the worker has been laid off the days he has been on leave with pay the days he has been absent due to temporary disablement caused by an employment injury the days a woman employee has been on maternity leave shall be taken in to account. Act not applicable to certain employees of LIC, General Insurance, Dock Yards, Red Cross, Universities & Educational Institutions, Chambers of Commerce, Social Welfare Institutions, Building Contractors, etc. etc. Sec.32.

Rate of Bonus
Minimum :8.33% of salary/wages Maximum 20% of salary/wages Computation of bonus as per Schedule I to IV of the Act. Adjust any interim bonus paid while making payment of the final bonus. Time Limit for Payment of Bonus:Within 8 months from the close of accounting y ear. Sec. 19

Maintenance of Registers and Records etc.

A register showing the computation of the allocable surplus referred to in clause (4) of section 2, in form A. A register showing the set-on and set-off of the allocable surplus, under section 15, in form B A register showing the details of the amount of bonus due to each of the employees, the deductions under section 17 and 18 and the amount actually disbursed, in form C. Sec.26, Rule 4

Maintenance of Registers and Records etc.

A register showing the computation of the allocable surplus referred to in clause (4) of section 2, in form A. A register showing the set-on and set-off of the allocable surplus, under section 15, in form B A register showing the details of the amount of bonus due to each of the employees, the deductions under section 17 and 18 and the amount actually disbursed, in form C. Sec.26, Rule 4

Disputes on Bonus
The Bonus Act does not provide for any machinery to resolve disputes relating to bonus. For this, the Industrial Dispute Act shall be referred to.

THE EQUAL REMUNERATION ACT, 1976

Act provides for the payment of equal remuneration to men and women Extends to the whole of India Act makes it obligatory on the part of employer to pay equal remuneration to men and women workers for same work or work of a similar nature. In order to make the wages equal, prevailing wages shall not be reduced but the higher rate shall be maintained.

No discrimination
No discrimination while making recruitment for the same work or work of a similar nature, except where the employment of women in such work is prohibited or restricted by or under any law for the time being in force. No discrimination in any condition of service subsequent to recruitment such as promotions, training or transfer.