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The Minimum Wages Act, 1948

The Minimum Wages Act, 1948

The Minimum Wages Act 1948 is an Act of Parliament concerning Indian labour law that sets the minimum wages that must be paid to skilled and unskilled labours. The Act provides for fixing wage rate (time, piece, guaranteed time, overtime) for any industry .

1) While fixing hours for a normal working day as per the act should make sure of the following:

  • The number of hours that are to be fixed for a normal working day should have one or more intervals/breaks included.
  • At least one day off from an entire week should be given to the employee for rest.
  • Payment for the day decided to be given for rest should be paid at a rate not less than the overtime rate.

2) If an employee is involved in work that categorises his service in two or more scheduled employments, the employee’s wage will include respective wage rate of all work for the number of hours dedicated at each task.

3) It is mandatory for the employer to maintain records of all employee’s work, wages and receipts .

4) Appropriate governments will define and assign the task of inspection and appoint inspectors for the same.

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