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Unit 11: Minimum Wages Act, 1948

Central Advisory Board (Sec. 8) Notes

The Central Government shall appoint a Central Advisory Board (a) for the purpose of advising
the Central and State Governments in the matter of fixing and revising minimum rates of
wages, and the matters under the Act; and (b) for co-ordinating the work of the Advisory Boards
(Sec. 8 (i)).
It shall consist of persons nominated by the Central Government representing employers and
employees in the scheduled employments, who shall be in equal in number, and independent
persons, not exceeding one-third of its total number of members. One of the independent persons
shall be appointed the Chairman of the Board by the Central Government.
(Sec. 8 (2)).

Wages in Kind: Minimum wages payable under the Act shall be paid in cash. But where it has
been the custom to pay wages wholly or partly in kind, the appropriate Government may, by
notification in the Official Gazette, authorise the payment of minimum wages, either wholly or
partly in kind. (Sec.11 (ii)).
The appropriate government may also by, notification in the Official Gazette, authorise the
provision of the supply of essential commodities at concessional rates (Sec. 11 (3)). The cash
value of wages in kind and of concession, in respect of supplies of essential commodities at
concession rates authorised under Sec. 11 (2) and (3) shall be estimated in the prescribed manner
(Sec. 11 (4)).

11.6 Payment of Minimum Rates of Wages

Where in respect of any scheduled employment, minimum wages have been fixed; the employer
shall pay to every employee, wages at a rate not less than the minimum rate of wages fixed for
that class of employees in the employment. Such wages shall be paid without any deduction,
except as may be authorised. Where the contract rate of wages is higher, the statutory obligation
does not come into play. (Section 12).

Fixing Hours for a Normal Working Day

Where minimum rates of wages have been fixed in regard to any scheduled employment, the
appropriate government may;
i) Fix the number of hours of work, which constitute a normal working day, inclusive of one
or more specified intervals.
ii) Provide for a day of rest in every period of seven days and for payment of remuneration
in respect of such days of rest.
iii) Provide for payment for work on a day of rest at a rate not less than overtime rate.
In relation to the following class of employees, the above provisions shall apply to such extent
and subject to such conditions as may be prescribed:
i) employees engaged in urgent work or in any emergency, which could not have been
foreseen and prevented;
ii) employees engaged in the nature of preparatory or complementary work, which must
necessarily be carried on outside the limits laid down for the general working in the
employment concerned;
iii) employees whose employment is essentially intermittent;

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