Minimum Wages act:
This act aims at securing minimum rates of wages in these categories of employment where wages are low, in order to prevent exploitation of unorganized labour. It also lays down the procedure for regulating the hours of work and payment of wages, including overtime, so as to ensure prompt payment and specifies the deductions that can be made from the wages of the workers. So far Railway Administrations are concerned the Minimum Wages Act applies to casual workmen in employment.
i. On the construction or maintenance of roads or in building operations; and
ii. In stone breaking or stone crushing.
The Act holds the employer in-charge as responsible for payment of wages to persons employed under him and also the contractor as responsible to the person he employs. The important provisions made in the rules framed under the act are as following:-
a) Wages periods should be fixed for the payment of wages at intervals not exceeding one month or such longer period as may be prescribed.
b) Wages should be paid on a working day, within 7 days of the end of the wages period or within 10 days, if 1000 or more persons are employed.
c) The wages of persons discharged but the retrenchment compensation due, if any, shall be paid at the time of the retrenchment of the workmen concerned in accordance with the provisions of the Industrial Disputes Act, 1947.
d) The wages of an employed person should be paid to him without deductions of any kind except those authorized under the Act.The Act lays down provisions regarding a day of rest every week and extra wages for overtime.
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