Minimum Wages for Skilled Jobs: Do We Pay More When Workers Learn on the Job?

Dear All,

Please clarify for me whether we need to pay the minimum wages for skilled jobs or the lowest minimum wages when a worker learns a particular skill by engaging in production.

Regards,
Ganesh

Hi Ganesh,

Your query is not clear to me, but I'll try to answer it. As a statutory requirement, every employer must ensure that workers receive minimum wages according to the latest Gazette notification applicable to their state. Whether the worker is semi-skilled, skilled, or unskilled, they must be paid in accordance with the notification.

The notification provides clear guidelines on the applicable minimum wages. If you are confused about the terminology used, you can consult the Labor Commissioner's office.

Regards,
Sonal

Hi Ganesh,

It is mandatory to pay the minimum wages according to the skill set they possess. If you engage an employee with a BA or any non-technical background, you can categorize them as unskilled and pay the minimum wages prescribed for unskilled workers. However, you cannot categorize an ITI/technical diploma qualified person with experience as unskilled. You must assess their technical background and skill set before determining the minimum wage for them.

Regards,
Suresh Ramalingam

Hi Ganesh,

The Minimum Wages Act enacted by the central government strictly emphasizes paying the wages according to the wage notifications issued from time to time by the concerned state government. The act does clarify the different wages to be paid to the various categories of the workforce, but it does not define which work falls under each category. It is in the employer's best interest to consider each specific job within its appropriate category. However, one thing is clear - you cannot pay a person less than what is stipulated in a circular issued by the particular state government for unskilled workers.

Manoj

Hi,

Can anybody send me the wage policy? I would like to have a detailed study. Please provide me with the information at the email address below: starnand@gmail.com.

Regards, Kumar

Dear All,

It is very nice to see your replies. But please clarify the following for me:

For example, the Government's Minimum Wages notification shows that the minimum wage for a helper/trainee is Rs. 4000, which is the lowest in the industry.

The minimum wage for a skilled machine operator in the same industry is Rs. 5000.

Trainees/helpers are frequently trained through "on-the-job training" to develop them as skilled laborers, i.e., machine operators. These trainees/helpers are direct workers, and all legal benefits applicable to workers in a factory are provided to them.

During on-the-job training, trainees/helpers are expected to engage in production to train and achieve some output (to measure their performance) but not at the level of a skilled laborer.

During the on-the-job training period (1-3 months), some production/output is obtained from the trainees/helpers to evaluate their performance in the skilled job.

Please clarify:

1. Should the factory pay them the minimum wage of a helper or machine operator during the training period since they are involved in production and performing some skilled tasks but not meeting the standard of a skilled laborer?

2. Are there any legal or statutory requirements regarding the above?

Thanks and Regards,

Ganesh

Dear Suryavrat,

When it comes to compensation, it is essential to ensure fair pay based on the job activity that an employee performs. Specifically, it is not advisable to pay helper's salary to individuals with 4-10 years of experience.

To illustrate this point, let's consider the Private Security Agencies Regulation Act of 2005. The act addresses the issue of security guards being paid at an unskilled level across India, and improvements are expected soon. The correct pay scale designation is "Matriculate."

It is crucial to note that none of the Fortune 500 companies compromise on worker salaries, unlike some Indian counterparts who resort to cost-cutting measures such as hiring contractors and skirting minimum compliance standards.

Please feel free to ask any questions or seek further clarification on this matter.

Best regards,
Ganesh

Dear Suryvrat,

Thank you for your reply. Could you please clarify for me, what should be the pay when the workers are freshers or inexperienced? Should it be the helper wages or operator wages?

Regards,
Ganesh

In the case of a fresher, you can offer them an unskilled worker's salary. However, the question remains: for how long or for how many years? A fair period would be 1-2 years but not beyond.

Do you regularly post employment advertisements?

A safe approach would be to refer to similar standards set by ITIs or vocational training centers.

Surya

If the person has zero experience in the said arena, then helper wages are fine. When you fill out the application form, leave the education/experience column blank. However, don't treat an unskilled worker as an apprentice for several years as he learns most of the things on the process/client projects.

Regards,
Surya

Dear Ganewhen,

When a worker is fresher and doesn't have any skills, such as being passed from an ITI and is totally unskilled, then you need to pay only the minimum basic salary, which is 3510 from 1st July 2007, as per the current notification by the Haryana government.

Regards,
Vijeta

Hi all,

I am inquiring about the minimum wages of technical staff (category). Thank you in advance for your assistance. I am eagerly awaiting your reply.

Regards,
Surander

[IMG]https://www.citehr.com/misc.php?do=email_dev&email=c3VyYW5kZXJAZG VzaWducHJlc2VudGF0aW9uLm5ldA==[/IMG]

Dear All,

I need help from you. I want to know the minimum wages of technical staff as per the labor law of Haryana.

Regards,
Surander

I am also requested to the members, please send copies of GO of Andhra Pradesh that belong to M.W. and COLA or CLI points.

Kaleswara Rao

Dear,

Definitions of different categories, i.e., skilled, unskilled, highly skilled, etc., are not defined as such under the Minimum Wages Act, 1948. However, the appropriate government, while issuing minimum rates of wages notifications for different categories, specifies various designations within these categories.

Opinions/comments submitted as requested.

With Regards,
R.N. Khola

Dear Ganesh,

It all depends on the designation he possesses. If he is still designated as a trainee, then it is enough to pay minimum wages. If you have changed his designation, then accordingly, you have to raise the salary.

Thank you.

Dear HR folks,

I have read the news in Eenadu Telugu newspaper dated 08-01-2010 that the central government is planning to enhance the gratuity limit from Rs.3,50,000/- to Rs.10,00,000/-. A meeting will be held on 09-01-2010 regarding this issue. I just want to confirm whether it is true or false.

Thanks and regards,
M. Ravi
mandarapu@gmail.com

Hi,

Can anyone please attach the Minimum Wages Notification for Delhi/West Bengal for the period 01.01.2010 to 30.06.2010? It's very urgent, please.

Regards,
Jawed

Hi,

A trainee in an industry or establishment is not an employee; he is for the purpose of learning a particular job to become an independent worker after completing his training period. Hence, no wages are paid to him, and he does not fall under the Minimum Wages Act until he is a fully trained person and is employed as a worker. During his training period, only a stipend is paid, which is meant to meet his minimum living requirements and to enable him to reach the factory for training.

No statutory deductions are taken from the trainee's stipend.

Mohan Rao
Manager HR

Please let me know the latest updated minimum wages for skilled, semi-skilled, and unskilled workers as per the Tamil Nadu state government regulations applicable to all types of industries.

Please let me know the latest updated minimum wages for skilled, semi-skilled, and unskilled workers as per the Karnataka state government for the Textile (Silk) industry.

Can someone clarify the following: If the gross salary of a person is Rs. 15,000 per month, can the basic + VDA be Rs. 4,000 (minimum salary as per labor act) and the balance be distributed in HRA and Conveyance?

OR

Is there any law that specifies a particular ratio for this distribution?

Due to the training of guards as per the Private Security Act, 2005, they would not fall into the category of unskilled workers. However, is there a specific provision regarding the category of minimum wages, i.e., semi-skilled or matriculate, to be paid to a security guard in Delhi?