Sub-minimum wages
Dear Ram kumar
You need to approach the issue in the way Mr.Hari Krishnan explained.However, going by the brief details and your statement that you supplied contract labour to a central government organisation, the applicability of minimum wages to the contract labour will, in my view, be decided with reference to contractor's establishment but not with reference to Principal employer's establishment. Otherwise what happens is you may be supplying some contract labour to a central undertaking and some contract labour to a state undertaking and some to a private indutry. Thus you will be paying minimum wages to some contract workers as per state rates and to some of your contract labour at central rates. You may also shift some contract workmen from a state establishment to a central establishment or vice versa to meet any peculiar need or urgent need in the respective estbalishments. In such case , one day you will be paying minimum wages to the same contarct labour at state rates and on another day, at central rates.
If it is to be decided with reference to contractor's establishment, this anamoly will not be there, if so, your establishment being in private sector and located in Chennai, the appropriate government will be state Government and hence the minimum wages at state rates will be applicable, in my view.However, you can confirm it by contacting the Asst. Labour Commissioner(state) under whose jurisdiction, your establishment falls.
B.Saikumar
HR & labour Law Consultant
Chipinbiz Consultancy Pvt.ltd
Mumbai
022-28324234