Summary of Minimum Wages Act 1948 vis a vis Uttar Pradesh Minimum
Wages Act
Wages are commonly understood as price of labour. It is a sum of money paid under the contract
by an employer to a worker for services rendered.
There is a minimum wages which, in any event, must be paid, irrespective of the extent of
profits, the financial conditions of the establishment or the availability of the workman on lower
wages. The minimum wage is independent of the kind of industry and applies to all alike big or
small.
The minimum wages Act, 1948 was enacted to provide for fixing minimum rates of wages in
certain employments. This Act extends to the whole of India. The same Act (Central Act –
Minimum Wages Act 1948) was implemented by Uttar Pradesh legislature. UP legislature has
incorporated various changes in Act through Amendment. According to sec. 30 of Minimum
Wages Act, Appropriate government may make rule for carrying out the purpose of the Act. U.P
legislature had also notified Minimum Wages Rule 1952 by notification in official gazette.
Application of the Act
It applies to a number of employments specified in the schedule I & II to the Act. The
Appropriate Government, according to section 2(b), means
a) In relation to any scheduled employment carried on by or under the authority of the
central government or a railway administration or in relation to a mine, oil-field or major
port, or any corporation established by the central Act,- Central Government.
b) In relation to any other scheduled employment, -State Government
According to section 2(g) scheduled employment means an employment specified in the
schedule, or any process or branch of work forming part of such employment. The schedule is
divided in two parts. Copy of schedule employment is attached as ANNEXURE-A.
Appropriate Govt. is authorized to fix minimum wages for employees in any scheduled
employment.
Who is Employer under minimum wages Act?
According to Section 2(e) means any person who employs, whether directly or through another
person, or whether on behalf of himself or any other person, one or more employees in any
scheduled employment in respect of which minimum rates of wages have been fixed under this
Act, and includes, except in section 26 (3)-
(i) In a factory- where there is carried on any scheduled employment, any person named under
section 7(1)(f) of the Factories Act, 1948 (63 of 1948) as manager of the factory;
(ii) in any scheduled employment- under the control of any Government, the person or authority
appointed by such Government for the supervision and control of employees or where no person
or authority is so appointed, the head of the Department;
(iii) in any scheduled employment- under any local, the person appointed by such authority for
the supervision and control of employees or where no person is so appointed the Chief Executive
Officer of the local authority;
(iv) in any other case- where there is carried on any scheduled, any person responsible to the
owner for the supervision and control of the employees or for the payment of wages;
Note: - Sub-section (3) of Section 26 state that the above definition of employer would not
applicable in cases in which the wages payable by an employer to a member of his family who is
living with him and is dependent on him.
In nutshell, employer is a person who engaging workers (employees), whether directly or
through another person or whether on behalf of himself or any other person, in a schedule
employment.
Who is employee under minimum wages Act?
“Employee” means any person who is employed for hire or reward to do any work skilled or
unskilled, manual or clerical, in a scheduled employment in respect of which minimum rates of
wages have been fixed. it includes:
a) An out worker to whom any articles or materials are given out by another person, to be
made up, cleaned, washed, altered, ornamented, finished, repaired, adapted or otherwise
processed for sale for the purposes of the trade or business of that other person where the
process is to be carried out either in the home of the out-worker or in some other
premises not being premises under the control and management of that other person;
b) An employee declared to be an employee by the appropriate Government;
It does not include any member of the armed force of the union
Definition of “Unskilled”, “Semi-skilled”, “Skilled” & “Highly Skilled Workers”
(i) Unskilled:
An unskilled employee is one who does operations that involve the performance of
simple duties, which require the experience of little of no independent judgment or
previous experience although familiarity with the occupational environment is
necessary. His work may thus require in addition to physical exertion familiarity with
variety of articles or goods.
(ii) Semi-skilled:
A semiskilled worker is one who does work generally of defined routine nature
wherein the major requirement is not so much of the judgment, skill and but for
proper discharge of duties assigned to him or relatively narrow job and where
important decisions made by others. His work is thus limited to the performance of
routine operations of limited scope.
(iii) Skilled:
A skilled employee is one who is capable of working efficiently of exercising
considerable independent judgement and of discharging his duties with responsibility.
He must posses a thorough and comprehensive knowledge of the trade, craft or
industry in which he is employed.
(iv) HighlySkilled:
A highly skilled worker is one who is capable of working efficiently and supervises
efficiently the work of skilled employees.
Fixation of Minimum rates of Wages.
1) The appropriate Government shall
a) Fix the minimum rates or wages payable to employees employed in an employment
specified in Part I or Part II of the Schedule by notification under section 27.
b) Review at such intervals as it may think fit, such intervals not exceeding five years,
2) The appropriate Government may refrain from fixing minimum rates of wages in respect
of any scheduled employment in which there are in the whole State less than one
thousand employees engaged in such employment.
3) The appropriate Government may fix –
(a) A minimum rate of wages for time work - “a minimum time rate”
(b) A minimum rate of wages for piece work - “a minimum piece rate”
(c) A minimum rate of remuneration to apply in the case of employees employed on
piece work for the purpose of securing to such employees a minimum rate of wages on a
time work basis -“a guaranteed time rate”
(d) A minimum rate (whether a time rate or a piece rate) to apply in substitution for the
minimum rate which would otherwise be applicable in respect of overtime work done by
employees -“overtime rate”
4) In fixing or revising minimum rates of wages under this section-
(a) Different minimum rates of wages may be fixed for-
a. different scheduled employment;
b. different classes of work in the same scheduled employments;
c. adults, adolescents, children and apprentices;
d. different localities;
(b) minimum rates of wages may be fixed by any one or more of the following wage
periods, namely,-
a) by the hour,
b) by the day,
c) by the month, or
d) 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 month or for a day, as the case may be, indicated]:
CURRENT MINIMUM WAGES IN UP w.e.f 1st April 2020 ( Annexure-B)
The Minimum wages in Uttar Pradesh has been revised with effect from April 1, 2020.The
amended rates for all the categories are as below:-
UP Minimum Wages Rates for Shops and Establishment
Effective for the period From 01/04/2020 to 30/09/2020
w.e.f Dated 01.04.2020 to
VDA Dated 30.09.2020
Dated Dated
01.10.2019 to 01.04.2020
Dated to Dated Monthly
S.NO Category Basic 31.03.2020 30.09.2020 (Rs.) Daily (Rs.)
1 Unskilled 5750 2528.94 2875.00 8625.00 331.73
Semi-
2 Skilled 6325 2781.83 3162.50 9487.50 364.90
3 Skilled 7085 3116.09 3542.50 10627.50 408.75
PREVIOUS MINIMUM WAGE IN UP (Annexure-c)
UP Minimum Wages Rates for Shops and Establishment
Effective for the period From 01/10/2020 to 31/03/2020
w.e.f Dated 01.10.2019 to
VDA Dated 31.03.2020
Dated Dated
01.04.2019 to 01.10.2019
Dated to Dated Monthly
S.NO Category Basic 30.09.2019 31.03.2020 (Rs.) Daily (Rs.)
1 Unskilled 5750 2262.73 2528.94 8278.94 318.42
Semi-
2 Skilled 6325 2489.00 2721.83 9106.83 350.26
3 Skilled 7085 2788.08 3116.09 10201.09 392.35
Annexure-A
Schedule Employment
Part-I
1. Employment in any woollen Carpet Making or Shawl Wearing establishment
2. Employment in any rice mill, flour mill or dal mill.
3. Employment in any tobacco (including bidi making) manufactory.
4. Employment in any plantation, that is to say, any estate which is maintained for the
purpose of growing cinchona, rubber, tea or coffee.
5. Employment in any oil mill.
6. Employment under any local authority
7. Employment on the construction or maintenance of roads or in building operations.
8. Employment in stone breaking or stone crushing.
9. Employment in any lac manufactory.
10. Employment in any mica works.
11. Employment in public motor transport.
12. Employment in tanneries and leather manufactory.
13. Employment in gypsum mines.
14. Employment in barites mines.
15. Employment in bauxite mines.
16. Employment in manganese mines.
17. Employment in the maintenance of buildings and employment in the construction and
maintenance of runways
18. Employment in China clay mines.
19. Employment in Kyanite mines
20. Employment in copper mines
21. Employment in clay mines covered under the Mines Act, 1952 (35 of 1952).]
22. Employment in magnesite mines covered under the Mines Act, 1952 [35 of 1952).]
23. Employment in white clay mines.
24. Employment in stone mines.
25. Employment in Steatite mines (including the mines producing soapstone and Talc)
covered under the Mines Act, 1952 (35 of 1952)
26. Employment in Ochre Mines
27. Employment in Asbestos Mines.
28. Employment in Fire clay Mines.
29. Employment in Chromite Mines
30. Employment in quartizite mines
31. Employment in quartz mines
32. Employment in silica mines
33. Employment in Graphite mines
34. Employment in felspar mines
35. Employment in laterite mines
36. Employment in dolomite mines
37. Employment in redoxide mines
38. Employment in Wolfram mines
39. Employment in iron ore mines
40. Employment in Granite Mines
41. Employment in Rock Phosphate Mines
42. Employment in Hematite Mines.
43. Employment in Loading and Unloading in— (i) Goods Shed, Parcel Offices of Railways;
(ii) Other Goodsheds, Godowns, Warehouses etc.; and (iii) Docks and Ports. Other things
would remain the same] 15[Employment in marble and calcite mines.
44. Employment in Asphit cleaning in Railways
45. Employment in Uranium Mines
46. Employment in Ligmite Mines
47. Employment in gravel Mines
48. Employment in State Mines
49. Employment in laying of underground cables, electric lines, water supply lines and
sewerage of pipe lines
50. Employment of Sweeping and Cleaning excluding activities prohibited under the
Employment of Manual Scavengers and Construction of Dry Latrines (Prohibition) Act,
1993.
Part-II
Employment in agriculture, that is to say, in any form of farming, including the cultivation and
tillage of the soil, dairy farming, the production, cultivation, growing and harvesting of any
agricultural or horticultural commodity, the raising of live-stock, bees or poultry, and any
practice performed by a farmer or on a farm as incidental to or in conjunction with farm
operations (including any forestry or timbering operations and the preparation for market and
delivery to storage or to market or to carriage for transportation to market of farm produce.
We have taken Annual subscription plan of Business and Legal Module which was renewed.
We would like to subscribe one additional user of the same plan. Kindly send the proforma
invoice on the following Address.
Dr. Kumudani Sharma (DGM-Legal)
OIL INDIA LTD.
Plot no.19, sector 16-A, filmcity
Noida-201301
Thank you
