How Do You Set Minimum Wages for Remote Employees Across Different States?

caprinceagarwal
My company is registered in Maharashtra, but employees are located in different states all over the country. Now, I have to set minimum wages for all of them. I have one consideration:

1. Wages will be as per the base location of the employee or their working location.
2. If the salary is processed centrally from Maharashtra, then minimum wages will be as per Maharashtra.
p70singh
Dear Sir,

In my opinion, you have to pay the minimum wages as per the state rules of the Minimum Wages Act. For example, in Haryana, there are slabs of minimum wages for skilled, semi-skilled, etc. It is better if you first familiarize yourself with the state policies and rules regarding minimum wages.

Thanks,

Prahlad Singh
Email: p70sing@yahoo.co.in
caprinceagarwal
Dear friends,

As I belong to the agriculture industry, I have formulated the following package for my workers:

Basic:
- BASIC SALARY: 3130
- SPECIAL ALLOWANCE: 702
- HRA: 157
- OTHERS: 35
- SUBTOTAL: 4024

P.F. 12%: (376)
PT
INSURANCE: (35)
Net Salary: 3614

PETROL ALLOWANCE @ 1.5/KM*80*25: 3000
DAILY ALLOWANCE @ 50 & 75 DAY * 25: 1250
MOBILE: 400
COURIER: 200
Bike Maintenance: 400

PF 13.61% Employer Contribution: 426

Am I fulfilling the minimum wage requirement as per Maharashtra and Gujarat government regulations? My employees are engaged in demand generation activities in the villages for my product. In which category will they fall - unskilled, semi-skilled, or skilled?

Secondly, for minimum wages, should the net salary or gross salary be considered? Will the daily allowance also constitute a part of the gross salary?

Thank you.
p70singh
Dear Sir,

Please find the chart of minimum wages of Maharashtra.

Thanks,
Prahlad Singh
9896348949
1 Attachment(s) [Login To View]

SUDIPTA CHAUDHURI
As per the law of the land, if the establishment is in other states, the appropriate government is the Central Government.
prashant1314
Dear caprinceagarwal,

If the employees are in a different state for a short duration (deputation), then you can pay the wages as per Maharashtra's minimum wage norms. However, if the employees are permanently located in another state, you have to ensure that they are receiving minimum wages. Payroll processing from a central location is not connected or interdependent for minimum wage state norms.

Thank you.
jrkprasad
Sir,

What is the minimum wage for a housekeeping boy working on a contract basis in a software company?
jrkprasad
Sir,

What is the minimum wage for a housekeeping boy working in Hyderabad on a contract basis in a software company?
jrkprasad
Is there any standard calculation of wages according to labor law? If so, please send the attachment for the calculation.

Regards,
Prasad.JRK
SUDIPTA CHAUDHURI
In your case, as the appropriate government is the Central Government, you will have to abide by the Minimum Wages notification of the Central Government and not for the State of Maharashtra or the places where your branches are located.
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