Dear Amit,

Minimum Wages can be further broken down into various components, but the Basic+Fixed DA portion should comprise of majority percentage, unless there is an union agreement/ settlement in this regard, taking a progressive view.

For example:
Basic + Fixed DA= 55% of Minimum Wages
VDA +HRA+ other Allowances= 45% of Minimum Wages

Minimum Wages is the minimum total gross wages an organisation must pay to employ people in industries covered under Minimum Wages Act. The definition of wages is as given in the Act, we need not go to any other sources to interpret the term wages.

Regards,
SC