Wages Section

Shram Bureau Bhawan

Labour Bureau is responsible for compilation and analysis of Statistics supplied under the Minimum Wages Act, 1948 and Payment of Wages Act, 1936 by the various State and U.T. Governments.

(A) Minimum Wages Act, 1948

The establishments covered under the Act are required to furnish to the concerned authority (Central/State) an annual return in the prescribed format as per the rules framed under the Minimum Wages Act, 1948.

The State/U.T. Governments in turn send a consolidated return to the Labour Bureau. Labour Bureau after scrutinizing these returns, to ensure accuracy, brings out an annual report titled “Report on the working of the Minimum Wages Act, 1948”. The Report contains information on:

  1. Employments added
  2. Employments in which the Minimum Wages were fixed for the first time
  3. Minimum wages of unskilled workers in different scheduled employments prevalent during the year.
  4. Range of minimum wages
  5. Comparative minimum wage rate prevailing in scheduled employments
  6. Number of establishments covered and average daily number of persons employed
  7. Number of inspections, irregularities etc

The Report on the working of the Minimum Wages Act, 1948 for the year 2013 has been released. The work on the Report for the year 2014 is under progress.

Due date for receipt of the return from the Central sphere/States/Union Territories in the prescribed performa under Minimum Wages Act, 1948 to the Labour Bureau for each calendar year by 31 st May of the succeeding year.

Dissemination of Data under Minimum Wages Act, 1948:

Data is compiled and presented in various publications of Labour Bureau viz. Indian Labour Journal, Indian Labour Year Book, Indian Labour Statistics, Pocket Book of Labour Statistics and information is supplied to various outside agencies such as ILO, CSO and State/U.T. Governments, etc. from time to time.

(B) Payment of Wages Act, 1936

The Payment of Wages Act, 1936 regulates the payment of wages to the persons employed in industries. It ensures that the wages payable to the employees covered by the Act are disbursed by the employer within the prescribed time limit and that no deductions other than those authorized by law are made by the employers.

Under the Payment of Wages Act, 1936, annual returns are received from the State Governments/Union Territories. Earlier the Act applied to workers earning less than Rs.1600/- but raised to Rs.6500/- w.e.f. 09.11.2005 vide notification No.41 of 2005 and now to Rs.10,000/- per month from 8 th August, 2007 vide notification No.978 dated 08-08-2007. Now Government has further change the ceiling to Rs18000/-per month. The consolidated returns received from the States/Union Territories according to NIC Codes contain data in respect of only those factories who submit return which contain industry-wise information on the following items:

  1. Number of factories covered under the Act and submitting returns
  2. Average daily employment during the year
  3. Total mandays worked during the year, and
  4. Total gross wage bill before deductions by components like basic wages, cash allowances, bonus, arrears and money value of concessions etc.

On the basis of the Annual Returns received from various States/U.Ts, Labour Bureau compiles data annually on Per Capita Daily Earning ,Per Capita Annual Earnings and Gross Wages of workers etc. The State Governments/Union Territories submit Annual Return on the working of the Payment of Wages Act, 1936 to Labour Bureau for each calendar year by 25 th August of succeeding year. The Report on the working of the Payment of Wages Act, 1936 for the year 2012 has been released. The work on the Report for the year 2013 is under progress.

Dissemination of Data under Payment of Wages Act, 1936:

Data is compiled and presented in various publications of Labour Bureau viz. Indian Labour Journal, Indian Labour Year Book, Indian Labour Statistics, Pocket Book of Labour Statistics and information is supplied to various outside agencies such as ILO, CSO and State/U.T. Governments, etc. from time to time.