Dear HR Professionals and seniors,

If contract labours have worked 24 days and taken 5 weekly offs and two festival holidays (11.10.2016 and 29.10.2016) in October 2016, Do we need to write maximum working days 24 or 26 or 30 or 31 in contract labour registers under CLRA Act 1970?

Without loss of pay, how many days can we give leave to contract labours excluding 5 weekly offs and 2 festival holidays in October 2016 or every month?

As per AP Rules, Minimum wages for

Unskilled=Rs.7944 per month

Semi-Skilled=Rs. 9377 per month

Skilled=Rs.11509 per month

Highly Skilled=Rs.14357 per month

For calculating daily rate of wages, we are dividing that above minimum wages by 26

If we write no. of working days 30 or 31 (including wages for weekly off rest, festival holidays), it will exceed above minimum wages

If we write no. of working days 26 (excluding weekly off rest, but including festival holidays), it will come exactly minimum wages because we are dividing by 26.

For i.e:

Example (1) Category: Unskilled labour

No. of working days (Including weekly offs and holidays) in October 2016 = 31

Per day = 7944 / 26 = 305.5384615

Per month = Per day wages x No. of working days = 305.5384615 x 31 = 9471.692308 (Say : 9472)

But we need to pay only minimum wages Rs.7944 but it is coming Rs.9472.

How we can correct this things?

Example (2) Category: Unskilled labour

No. of working days (Excluding weekly offs and including holidays) in October 2016 = 26

Per day = 7944 / 26 = 305.5384615

Per month = Per day wages x No. of working days = 305.5384615 x 26 = 7944

It is coming correctly minimum wages Rs.7944

We need to pay only minimum wages every month (including leaves with wages, wages for weekly offs rest and holiday with wages) not more than above minimum wages

For your quick reference, we have attached Contract Labour Andhra Pradesh Rules 1971, Please find the attachment copy

And please clarify above things

Thanks with Regards

Thirumurugan

From India, Hyderabad
Attached Files (Download Requires Membership)
File Type: pdf AndhraPradeshContractLabourRules1971.pdf (4.77 MB, 274 views)
File Type: pdf wages_to_contract_labour_calculation_sheet_01102016.pdf (117.2 KB, 464 views)

https://www.citehr.com/575116-how-ca...mum-wages.html
From India, Hyderabad
Dear Thirumurugan,

In the first place, your post gives an impression that payment of wages more than the minimum wages fixed under the Act is an unnecessary exercise particularly when conversion is to be made from monthly rate to daily rate and/or vice versa. I wish to impress upon you that always the statutory standards are minimal only and there is no bar to adopt any better standards if any, so demanded by the circumstances of the employment.

Coming to your specific queries,

when the month comprising of 31 days and the weekly off days and the national and festival holidays are paid days as per Rule 8 and 9 of the APCL Rules,1971 I am not able to understand what your difficulty is in filling up the actual days worked as 24 in the register simultaneously marking the remaining 7 days as w/o and NfhL as the case be.

Rule 12(ii) of the APCL Rules specifically states that to arrive at daily wages, monthly wages should be divided by 26 and the monthly wages is inclusive of weekly holiday wages. Such an occasion for conversion for the purpose of calculation would arise either when the employee goes on leave on loss of wages or when you have to pay him double wages for working on a national or festival holiday. So while the first query has no correlation to the second at all, grant of admissible leave and its extent is the discretion of the PE or Contractor subject to the exigencies of work.

From India, Salem
Dear Mr.Umakanthan.M sir,
We want to pay minimum wages exactly Rs.7944 to unskilled labour for the month of October 2016
For October 2016 = 24 working days + 5 weekly offs (Sunday) + 2 festival holidays (11.10.2016 and 29.10.2016)
Daily rate of wages calculation = 7944 / 26 = 305.5384615
Number of payable days ( 24 working days, 5 weekly offs (Sunday), 2 festival holidays) = 31 days
So finally October 2016 wages = 31 days x 305.5384615 Daily rate of wages = 9471.692308 Say: 9472
But we need only minimum wages Rs.7944 for October 2016.
Kindly provide the calculation for finding Rs.7944.
Thanks with Regards
T.Thirumurugan

From India, Hyderabad
Dear Thirumurugan,
When the minimum wage rates are fixed for a month as a whole irrespective of the no of days it may contain and the workmen are entitled to wages for the entire month including the days of weekly off and other holidays without giving room for deduction on account of unauthorised absence, how does the calculation for daily rate arise?

From India, Salem
Based on working days:
24*305.54 =7332.96 if dont allow festival leave (LOP=2)
26*305.54=7944 if allow festival leave (LOP=0)
where Weekly off is your pay days as already covered in per day computation

From India, Delhi
Dear Mr.Umakanthan.M sir,

If anyone was absent for 2 days in October 2016, how you will calculate the loss of pay for that absent days

(1) Do you divide the minimum wages Rs.7944 by 26

= 7944 / 26 = 305.5384615

No. of payable days = 31 days - 2 absent days = 29 days

So calculation may be = 7944 (31 days wages) - 611.07 (Loss of pay for 2 absent days (305.5+305.5))

Net salary = 7332.9

or

Do you divide the minimum wages Rs.7944 by 31

= 7944 / 31 = 256.2580645

No. of payable days = 31 days - 2 absent days = 29 days

So calculation may be = 7944 (31 days wages) - 512.5(Loss of pay for 2 absent days (256.25+256.25))

Net salary = 7431.48

So please tell me, In this above, which calculation is correct?

And

(i) How will you fill up the Form XVII Register Of Wages Rule 78(1)(a)(i) Column no: 5 & 7 without calculating daily rate of wages under CLRA act 1970?

(ii) How will you fill up the Form XIX Wage Slip Rule 78(1)(b) Sl. no 1 & 3 without calculating daily rate of wages under CLRA act 1970?

For your quick reference we have attached Form XVII Register Of Wages Rule 78(1)(a)(i) and Form XIX Wage Slip Rule 78(1)(b)

Please find the attachment copy

Kindly clarify above things

Thanks with Regards

Thirumurugan

From India, Hyderabad
Attached Files (Download Requires Membership)
File Type: pdf FORM XIX-Wage Slip.pdf (56.7 KB, 1035 views)
File Type: pdf FORM XVII-Register of wages.pdf (60.2 KB, 1077 views)

Dear Mr.NAHMED Sir,

Do we need to give maximum working days 26 only (not 30/31)

So separately not required add weekly off with working days

Only no. of payable days is 26 (not 30/31)

Is it correct?

But AP CLRA Act Says

8. Weekly Rest:— Every workman employed by the Contractor shall

be allowed in each week a holiday with wages for one whole day.

Provided that, nothing in this Rule shall apply to any workman whose

total period of employment in the week, including any day spent on authorised

leave is less than six days.

Note:—Substituted w.e.f. 8-4-92 vide Notification No. D 3/64745/80,

published on page 112 of R.S. to Part II, A.P. Gazette, dt. 8-4-1982.

If we are not showing that weekly off rest with working days, May be Labour officer ask why are not paying the wages for weekly offs rest?

If Labour officer asks, what can we tell?

But we are thinking, no. of payable days is total days in a month.

So we are showing, no. of payable days is all days (total no of days in a month)

Please clarify above things

Thanks with Regards

Thirumurugan

From India, Hyderabad
My dear Thirumurugan,

I really appreciate your inquisitiveness though it reminds me of the proverb " Curiosity killed the Cat ". Don't get offended please because I was also like you during the beginning of my career. In fact this is the sign of your marching forward towards honing your intellectual skills. But we should always bear in mind that even the right answer to a hypothetical or academic question may not be appropriate as it will not have the right effect on the situation.

When you have the rates of wages statutorily fixed by month with a specific guideline for daily- rate conversion, you have to simply follow it when the occasion for it arises.In such a situation, mathematical precision has to give way for the logical conclusion based on the principle of the statutory guideline.

In this back-drop, I'll hold your first calculation as correct.

Filling up of forms or registers is not a matter of ritualistic restrictions. For example, if the form stipulates the no. of days actually worked has to be marked and in a particular month the total no of working days is 27 , no harm in filling the column as 27/27 or in the case of a workman absent for 2 days as 25/27. It is only a matter of practical convenience based on the situation.

By the by,let me complete the above proverb by adding the less-frequently used rejoinder:

" Curiosity killed the Cat but satisfaction brought it back! "

Hope you are satisfied.....

From India, Salem
The fact that AP declares monthly wages means you need divide monthly wages by no of days of the month 30, 31, 29 or 28. Payment of wages for WOs depends on factory or establishhment rule applicable to you.
For absent days principle of no work no wages is applicable.

From India, Mumbai
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