Minimum Wage
As per the Indian Constitution, 'Minimum Wage' has been defined as the level of income for skilled and unskilled workers which ensures a sustaining standard of living while also providing for some measure of comfort. A minimum wage not just supports the bare level of employment, but also seeks for viable continuous improvement. It aims at preventing exploitation of labour.
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)
|
Central
Effective date:1st Oct, 2020
| ||
|
Andaman and Nicobar Islands
Effective date:1st Jul, 2020
|
Andhra Pradesh
Effective date:1st Oct, 2020
|
Arunachal Pradesh
Effective date:1st Apr, 2016
|
|
Assam
Effective date:1st Jun, 2020
|
Bihar
Effective date:1st Oct, 2020
|
Chandigarh
Effective date:1st Oct, 2019
|
|
Chhattisgarh
Effective date:1st Oct, 2020
|
Dadra and Nagar Haveli
Effective date:1st Apr, 2020
|
Daman and Diu
Effective date:1st Apr, 2020
|
|
Delhi
Effective date:1st Oct, 2020
|
Goa
Effective date:1st Apr, 2020
|
Gujarat
Effective date:1st Oct, 2020
|
|
Haryana
Effective date:1st Jul, 2020
|
Himachal Pradesh
Effective date:1st Apr, 2020
|
Jammu and Kashmir
Effective date:1st Nov, 2017
|
|
Jharkhand
Effective date:1st Oct, 2020
|
Karnataka
Effective date:1st Apr, 2020
|
Kerala
Effective date:1st Sep, 2020
|
|
Madhya Pradesh
Effective date:1st Oct, 2020
|
Maharashtra
Effective date:1st Jul, 2020
|
Manipur
Effective date:27th Dec, 2016
|
|
Meghalaya
Effective date:1st Oct, 2020
|
Mizoram
Effective date:1st Apr, 2016
|
Nagaland
Effective date:14th Jun, 2019
|
|
Odisha
Effective date:1st Oct, 2020
|
Puducherry
Effective date:1st Jan, 2020
|
Punjab
Effective date:1st Sep, 2019
|
|
Rajasthan
Effective date:1st May, 2019
|
Sikkim
Effective date:1st Jul, 2017
|
Tamil Nadu
Effective date:1st Apr, 2020
|
|
Telangana
Effective date:1st Oct, 2020
|
Tripura
Effective date:1st Apr, 2020
|
Uttar Pradesh
Effective date:1st Oct, 2020
|
|
Uttarakhand
Effective date:1st Oct, 2020
|
West Bengal
Effective date:1st Jul, 2020
|
|
Fixation and Revision of Minimum Wages
Under the Minimum Wages Act, 1948, both Central and State government have dominion over fixing the wages. The State governments fix their own scheduled employments and further release the rates of Minimum Wage along with the VDA (Variable Dearness Allowance). Wage boards are set up to review and fix minimum wages at specified intervals. The wage rates in scheduled employments differ across states, sectors, skills, regions and occupations owing to a lot of differentiating factors. Hence, there is no single uniform minimum wage rate across the country and the revision cycle differs for each state.
Scope and Applicability
Minimum Wages Act was enforced to ensure the employers did not exploit employees with insufficient wages. The Act is applicable on all establishments, factories, place of business and industry types. Unscheduled industries are generally excluded, though a state can add a minimum wage for an occupation or specify it for a sector during a revision cycle.
Consequences of Non-Compliance
Under-payment and non-payment of Minimum Wage is deemed as an offence under the Central Act. The penalty may range from upto 5 years imprisonment and a fine of Rs. 10000/- (under Section 22 of the Act).
SHRM SSO
