Minimum Wages Include PF And ESI Or Not

sharmaneesu
Dear all,
i m little bit confused with the concept of minimum wages. kindly help.
I want to confirm whether minimum wages include Employee share of PF and ESI or not.
pls answer....
thanks in anticipation....
sharmaneesu
Thanks kapil.

to clear my doubt I have gone through minimum wages act 1948 also. it says:

(h) "wages" means all remuneration, capable of being expressed in terms of money, which would, if the terms of the contract of employment, express or implied, were fulfilled, be payable to a person employed in respect of his employment or of work done in such employment, [7] [and includes house rent allowance] but does n6t include

(i) the value of -

(a) any house- accommodation, supply of light, water, medical attendance, or

(b) any other amenity or any service excluded by general or special order of the appropriate Government;

(ii) any contribution paid by the employer to any Pension Fund or Provident Fund or under any scheme of social insurance;

(iii) any travc1ling allowance or the value of any traveling concession;

(iv) any sum paid to the person employed to defray special expenses entailed on him by the nature of his employment; or

(v) any gratuity payable on discharge;

means it includes Employee contribution of PF and ESIC, permissible deduction.

thanks again
Jagjit_s4
Wages = all salary parts(attributes) except employee's share of pf and esic(whatsoever is applicable)
Neer300182
Kindly go through the comments of sec1 minimum wages act and definition as well. it will help you in understanding the purpose of minimum wages act

Pallavi.Pande
Dear all ...
i want to have the recent minimum wages rate (i.e for 2009-10 Maharashtra) for skilled unskilled and semi skilled workers.
rath_ratikanta
don't be confuse with minimum wages and pf , esi. as per mininum wages act the basic rate has to be revised as per categorie so when basic rate will be changed in revised then pf esi will be deduct from the new basic rate
surendram
Dear Sir,
As per the karnataka labour Minimum wages act the ESI and PF are not included in Minimum wages. Only Basic and VDA or DA is included in Minimum Wages.
M.Surendra
rajendar patel
Dear all ...
i want to have the recent minimum wages notification of himanchal pradesh,uttarakhand and punjab state for skilled unskilled and semi skilled workers
sivan421
Yes Minimum wages includes ESI (1.75) & P F (12%) contributions of the employee. For eg For a unskilled labor employed in central govt projects in Delhi minimum wage he should be paid is 203 rs. If he works 10 days his total earnings will be 2030 Rs in which the employer can deduct the above mentioned employee share of of ESI & PF. ie 2030-(36+243)=1751,Net pay. I think now it is clear.
Thank you
Sivan A
santoshdodekar
As far as concern with the Minimum Wages, its a part of the earnings only, not deductions of employee & thats very crystal clear.
Don't mixup & confuse.
Minimum Wages = Basic + DA declared by respective authority time to time for the specified catagories.
Regards,
Santosh
If you are knowledgeable about any fact, resource or experience related to this topic - please add your views. For articles and copyrighted material please only cite the original source link. Each contribution will make this page a resource useful for everyone. Join To Contribute