Government to review minimum wages every five years

Ministry of Labour & Employment has issued a press release stating that the Code on Wages Act, 2019 stipulates that the government shall review minimum rates of wages at an interval not exceeding five years. This press release was issued on 23rd March, 2023.

It may be recalled that in 2021, the central government has constituted an Expert Group on fixation of Minimum Wages and National Floor Wages. This expert group provided technical inputs and recommendations on fixation of minimum wages and national floor wages to the Government. 

The government has taken measures to monitor compliance in respect of minimum wages rate, such as publicity of minimum rates of wages in the Chief Labour Commissioner (CLC) websites, display of minimum rates of wages by contractors at work sites/places, and display of minimum rates of wages by principal employers in their websites.

Moreover, regular inspections are conducted in establishments under central sphere under Minimum wages Act,1948 by the organization of Central Industrial Relations Machinery (CIRM) under the CLC (C). Special emphasis is given to the complaints received against any establishment. On finding any less payment of wages to workers, claim application is filed before the authority appointed to hear and decide the claim.