Dear All,
The definition of "wages" under Section 2(h) of the Minimum Wages Act 1948 clearly and explicitly states that HRA is included. Moreover, the Supreme Court in Airfreight Ltd v State of Karnataka & Others also mentioned that wages payable should be calculated as defined in Section 2(h) of the Minimum Wages Act. Until both the EPF Act and Minimum Wages Act are suitably amended, it would be better to pay VDA as fixed by the Government and Basic + HRA to comply with minimum wages payment.
Regards,
N. Nataraajhan
Sakthi Management Services
Mobile: +91 94935 17402
Email: natraj@sakthimanagement.com
From India, Bangalore
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205The definition of "wages" under Section 2(h) of the Minimum Wages Act 1948 clearly and explicitly states that HRA is included. Moreover, the Supreme Court in Airfreight Ltd v State of Karnataka & Others also mentioned that wages payable should be calculated as defined in Section 2(h) of the Minimum Wages Act. Until both the EPF Act and Minimum Wages Act are suitably amended, it would be better to pay VDA as fixed by the Government and Basic + HRA to comply with minimum wages payment.
Regards,
N. Nataraajhan
Sakthi Management Services
Mobile: +91 94935 17402
Email: natraj@sakthimanagement.com
From India, Bangalore
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