Is It Fair to Adjust a Contract Laborer's Pay Based on New State's Minimum Wage?

I wanted to know if a contract laborer is transferred from one state to another, is it okay to pay him the salary according to the minimum wages of that state, regardless of what his earlier salary was.

Thanks,

Amit Sabharwal

To me, it appears to be wrong. You cannot reduce pay unless the worker has resigned and been re-appointed with a gap at a new place.

Regards,
RKM

If you transfer the contract labor from one place to another, then he will become your on-roll employee. You cannot transfer the contract labor. You have to give him full and final settlement and instruct him to join in the new workplace. The wage rate you can follow. But as per the Interstate Migrant Workers Act, you must pay as per his domicile state or serving state's minimum wages, whichever is higher.

Regards,
Amit