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Minimum Wages
Minimum Wages
In the Indian Constitution, 'Minimum Wage' is defined as the fundamental income level necessary to sustain a basic standard of living for both skilled and unskilled workers. It embodies the principle of social justice, aiming to prevent the exploitation of labor and ensure the dignity of workers. Minimum wage provisions seek to provide not only for immediate needs but also for some measure of comfort, reflecting a commitment to continuous improvement and economic development. By upholding minimum wage standards, the Constitution promotes fairness, equity, and the well-being of the workforce, thus contributing to a more inclusive and prosperous society.
Minimum Wages For States Across India
The states which impose minimum wages in India are listed below: (Click on the state name for more details)
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Andhra Pradesh
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Delhi
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Goa
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Gujarat
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Himachal Pradesh
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Jammu and Kashmir
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Karnataka
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Kerala
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Madhya Pradesh
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Maharashtra
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Punjab
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Rajasthan
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Tamil Nadu
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Telangana
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Uttar Pradesh
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Fixation and Revision of Minimum Wages
In India, the Minimum Wages Act, 1948, empowers both Central and State governments to set minimum wages, varying across sectors and regions. State governments determine wages for scheduled employments, incorporating Variable Dearness Allowance (VDA) to adjust for cost of living changes. Minimum wage rates are subject to periodic revision by wage boards or committees. Due to diverse economic conditions, there's no uniform rate nationwide, with revisions varying across states and industries. This decentralized approach aims to ensure fair remuneration while addressing local needs and economic dynamics.
Scope and Applicability
The Minimum Wages Act safeguards workers from exploitation by ensuring they receive adequate pay. It applies broadly to establishments, factories, and businesses but may exclude certain industries unless specified by state regulations. This flexibility allows states to address wage disparities effectively and ensure fair compensation across various sectors, protecting workers' rights nationwide.
Consequences of Non-Compliance
Failure to comply with the mandated Minimum Wage, as stipulated by the Central Act, constitutes a punishable offense. Under Section 22 of the Act, individuals found guilty of under-payment or non-payment of Minimum Wage may face penalties including imprisonment for up to 5 years and a fine of Rs. 10,000. Such stringent measures underscore the importance of upholding fair labor practices and ensuring that workers receive just compensation for their efforts.