Madhya Pradesh Revises Minimum Wage Rates Amid Legal Ruling

On March 4, 2024, the Madhya Pradesh Government, through its Labour Department, issued a notification revising the minimum wage rates for workers employed in various industries under the Minimum Wages Act, 1948. This revision is set to take effect from April 1, 2024.

  • Legal Developments: Following this notification, the Madhya Pradesh Textile Mills Association and other petitioners filed multiple petitions (WP No. 10772/2024, WP No. 9401/2024, WP No. 11921/2024, and WP No. 12606/2024) in the Hon’ble High Court, seeking intervention. The Court, in its ruling dated February 10, 2025, provided crucial directions regarding the implementation of the revised wage rates.

  • Court’s Order: In its judgment, the High Court ordered that the Madhya Pradesh Government should initiate a fresh procedure, consulting the Minimum Wage Advisory Board, for the revision of minimum wages. This process should be completed within two months from the date of the decision. The Court also emphasized that industries involved in textile manufacturing, apparel production, and footwear manufacturing (particularly those working with textiles) will not immediately be affected by the new wage revision, due to a prior interim stay issued in favor of the petitioners.

  • Implementation Timeline: As per the Court’s directions, the revised minimum wage rates from the notification dated March 4, 2024, will be applicable across most industries in Madhya Pradesh, except for those specifically engaged in manufacturing apparel and footwear made from textile, made-ups, woven, knitted, and technical textile fabric. These industries will continue to follow the previous wage rates until further review and revisions are completed.

  • Newly Scheduled Employments: Additionally, new industries have been added to the list of scheduled employments under the Minimum Wages Act, including textiles, apparel manufacturing, and footwear manufacturing. However, the wage rates for these industries are still under review as per the High Court’s order. Until the new rates are finalized, employers in these sectors must continue to pay the previous minimum wage rates, including any applicable variable dearness allowance.

Conclusion:

This step by the Madhya Pradesh Government marks a pivotal moment in the ongoing effort to ensure fair wages for workers in the state. While the revision of minimum wages brings significant changes for most sectors, certain industries will see a delay in the implementation of the new rates due to legal proceedings. The state government has been directed to complete the process of consulting stakeholders and revising wage rates within the next two months.

For workers, employers, and stakeholders, it remains crucial to stay updated on these developments to ensure compliance with the law and fair wages for all.

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