I am confuse about bifurcation of mininum wage pl enlighten can Minimum wage bifurcate and HRA included in minimum wage? sachin:icon9:
From India, Mumbai
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In my opinion, the minimum wages is the gross pay. It includes basic+DA+other allowances. S. Krishnamoorthy
From United States, Roslindale
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Yes, I agrree with Krishnamurty, minimum wages is inclusive of allowances etc. Vikram Rana Admin.Manager
From India, Lucknow
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dear i feel minimum wages should not be bifurcated.it only consist of basic and DA. tks j s malik
From India, Delhi
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In my opinion, this would depend upon the definition of Minimum Rates of Wages/ Basic Rates of wages as is given in the applicable notification.
From India, Pune
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Dear Friends,The Minimum wages one is as per the Minimum Wages Act. another one is as per contract Labour (R&A) any of these wages should not be bifurcated.Regards,PBS KUMAR
From India, Kakinada
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Dear Friends,

The minimum wage is the basic wage. If anybody wants to pay more than this, additional components can be added, but the minimum wage cannot be bifurcated. For all practical purposes, PF, Bonus, etc., are to be calculated based on the basic wage only. If you bifurcate the labor, PF authorities will penalize. You may come across instances where somebody is doing this, but it is illegal.

Thanks and regards,
Kameswarao

From India, Hyderabad
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In my openion minimum wages is Basic salary and Dearness allowence alone. Regards, Nelson Chennai.
From India, Bangalore
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In my openion minimum wages is Basic salary ,Dearness allowence and HRA should be consider. Rgds Harsha
From India, Mumbai
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Dear Ld. Friends,

This is, in fact, a very good question on the enforcement of the Minimum Wages Act, 1948, which draws the attention of a number of HR personnel. The employers who are already giving a daily rate of wages or a consolidated monthly rate of wages are not to think over this issue. This question arises only for those employers who want to give wages based on basic wage with different types of allowances. The main point that creates confusion regarding this subject is the definition of wage [sec. 2(h)] and Minimum Rate of Wages [sec.4] of MW Act, 1948. According to the definition of wages, it includes all remunerations, including HRA. The heads that are not to be included are also given in this definition. In my opinion, we should first examine section 4 of MW Act, which consists of three ways of fixation/declaration of minimum rates of wages by the appropriate Government, and thereafter we are to go through the fixation of the minimum rates of wages notification of the respective State that under which para of section 4 the rates have been announced. For example, in Haryana State, this notification shows that the rates are all-inclusive, which means that bifurcation in wages head is allowed, and thus the rates have been announced according to para (iii) of section 4. If this is not allowed, then what is the necessity of having this para in the picture? There are already two paras i.e. sec.4 (i) (ii) of the ibid Act in question. If this type of confusion persists, then the Govt. should come forward to clarify the situation and should clearly indicate in the notification that under which of the para they are issuing the notification.

Other Ld. Members are also requested to give their comments on the issue of in which situation bifurcation is allowed.

Regards,

R.N. Khola

(Haryana)

From India, Delhi
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Dear all, According to my Knowledge we can add minimum wages in Basic + da + HRA (also) regards Rajnish Sapra
From India, Delhi
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Dear All, Minimum wages includes all the fixed components which been paid at the end of the month. I.e The gross salary. Regards, Amit Seth.
From India, Ahmadabad
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Mr. Sachin Minimum Wages Are Calculate As Besic + D.a+ Hra Ram Navghare See The Attchment
Attached Files (Download Requires Membership)
File Type: xls Minimum Wages Increase-01-01-09 conctors wages.xls (28.0 KB, 809 views)

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In my opinion, minimum wage is what you pay total - basic + DA + allowances, et al. You can break your gross (which should be equal to MW) into basic, DA, allowances in any manner you want, but please ensure that your Basic plus DA portion is at least 50% of the gross and not less.

The PF Act does not specify that PF is applicable on minimum wages. It only states that PF is applicable on Basic and DA. How you bifurcate MW is your prerogative. Ensure that PF is deducted on at least 50% of the MW.

Sunder Rajen

From India, Hyderabad
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Dear all,

Thank you for your valuable reply. It is clear that minimum wages do not include a bifurcation of basic pay and dearness allowance (D.A), and House Rent Allowance (HRA) is excluded from minimum wages. For example, if the minimum wages are Rs 3000.00 per month and HRA is Rs 150.00 (05% of Rs 3000.00), the total would be Rs 3150.00.

Regards,
Sachin

From India, Mumbai
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Dear Mr. Govind,

Could you please provide the notification by PF (Haryana Region) where they have mentioned to deduct PF on Minimum Wage, which means keeping Minimum Wage equal to Basic + DA.

Regards,
Saurabh

From India, Mumbai
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can any one will provide notification by PF (Haryana Region) where they have mentioned to deduct PF on Minimum Wage which means keeping Minimum Wage equal to Basic+DA. regards saurabh
From India, Mumbai
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In TASMAC - Retail Vending Shop personnel who were engaged in selling are not receiving salaries according to the Minimum Wages Act since they have been working since 2003. The rules and provisions of the acts will not be applicable to these individuals.
From India, Madras
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This is mentioned in the first line of the Minimum Wages Act, 1948, i.e., Basic + Allowances that include dearness and house allowance but do not include the washing allowance, food, and catering provided while at work at the workplace and specific transport facility also.

Dr. Murthy Naidu, CEO - MERIT

From India, Delhi
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Minimum Wage = Basic + DA + Employee’s Share of PF Inhand Amount = Minimum Wage - Employee’s Share of PF Minimum Wage should not be less than Basic + DA
From India, Delhi
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Dear All Please find attached the Judgement for bifurcation issue. it is ruled out.
From India, New Delhi
Attached Files (Download Requires Membership)
File Type: pdf AIRFREIGHT[1].pdf (1.28 MB, 105 views)

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From India, Delhi
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