Dear friends, Is there any co-relation between Stipend, which is given to Apprentices under Apprentice Act, and Minimum Wages? Does the Minimum Wages matter at the time of fixation of stipend? Please explain the same. Regards, Purshottam Saini
From India, Calcutta
15From India, Calcutta
Stipend is the remuneration paid/ payable to a trainee/ apprentice engaged under the Apprentice Act whereas minimum wages stand for minimum rates of wages fixed by the government for payment to different categories of workers/ employees in different industries/ scheduled employment. Stipend as per Apprentice Act is fixed by the Central Govt and the minimum wages is fixed by the State Govts. Minimum wages depend upon skills (as Unskilled, Semi skilled, Highly skilled like) and differ from industry to industry. Stipend for first year, second year and so on differ. If stipend is paid to trainees appointed by the company (other than under Apprentice Act) the amount shall be fixed by the company as stated in the standing orders of the company. There is no relation with these two. Regards, Madhu.T.K
From India, Kannur
From India, Kannur
Dear Madhu,
Your explanation is fair enough. But I would request your to give your valued and useful opinion about last line in your above comment, i.e........
" If stipend is paid to trainees appointed by the company (other than under Apprentice Act) the amount shall be fixed by the company as stated in the standing orders of the company "
I belong to Gujarat state where we follow Model standing order and not Company's own certified Standing Orders. ( In Gujarat, it is not compulsory to get standing orders of company certified). Now, Model standing orders Gujarat classifies and defines Trainee but does not stipulate minimum Stipend limit. " Does it mean that Trainee ( not Apprentice) can be paid any amount as stipend as per Trainee appointment letter or Stipend should be atleast equal to Mimimum Wages. " ( In our case, Training is given to workers but it is not obligatory on the part of trainees to accept employment even if we offer full time employement after completion of Training )
Your kind cooperation is solicited.
Janak
From India, Surat
Your explanation is fair enough. But I would request your to give your valued and useful opinion about last line in your above comment, i.e........
" If stipend is paid to trainees appointed by the company (other than under Apprentice Act) the amount shall be fixed by the company as stated in the standing orders of the company "
I belong to Gujarat state where we follow Model standing order and not Company's own certified Standing Orders. ( In Gujarat, it is not compulsory to get standing orders of company certified). Now, Model standing orders Gujarat classifies and defines Trainee but does not stipulate minimum Stipend limit. " Does it mean that Trainee ( not Apprentice) can be paid any amount as stipend as per Trainee appointment letter or Stipend should be atleast equal to Mimimum Wages. " ( In our case, Training is given to workers but it is not obligatory on the part of trainees to accept employment even if we offer full time employement after completion of Training )
Your kind cooperation is solicited.
Janak
From India, Surat
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Delhi - Minimum Wages w.e.f. 01.10.2012 (1).pdf
Minimum Wages in Maharashtra for the period January 2018 to June 2018.xls