Seeking Insights on Minimum Wages and Payment of Wages Acts: When and How Do They Apply?

I would like to request you to please share some data, views, or experiences regarding the Minimum Wages Act and Payment of Wages Act.

1) When are these acts applicable?
2) What registers have to be maintained?
3) If we are following the Factory Act, CL Act, BOCA, or SAOEA, should we show the registers under these acts, i.e., MWA & PWA?
4) As an HR professional, what are the main points to check regarding these acts (MWA & PWA)?
5) Are companies required to register under these acts? If so, when and how? Could you also provide some data on the types of questions that may be asked in an interview regarding these acts?

Thank you.

The Payment of Wages Act, 1936

Applicability

• Every person employed in any factory and a person employed in an industrial or other establishment, and to persons employed upon any railway or through a subcontractor in a railway.

• The State Government may, by notification, extend the provisions to any class of persons employed in any establishment or class of establishments.

Eligibility

Every person who is employed in any of the above-mentioned establishments and who is drawing less than Rs. 10,000/- per month.

Benefits: The Act prescribes for

• The regular and timely payment of wages (on or before the 7th day or 10th day after the last day of the wages period in respect of which the wages are payable).

• Preventing unauthorized deductions being made from wages and arbitrary fines.

• Wages exceeding Rs. 5,000/- to be paid by cheque. (Applicable for Andhra Pradesh only)

The Minimum Wages Act, 1948

Applicability

Any person who directly or through another person, whether for himself or for any other person, employs one or more employees in any scheduled employment in respect of which minimum rates of wages have been fixed under this Act.

Eligibility

Any person who is employed for hire or reward to do any work in a scheduled employment and includes an outdoor worker to whom any articles or materials are given for either doing some work at home or any other premises.

Benefits

The Act prescribes the minimum rates of wages payable to employees for different scheduled employments for different classes of work and for adults, adolescents, children, and apprentices depending upon different localities.

Penal Provision

Imprisonment up to 6 months and/or a fine up to Rs. 500 is imposable for contravention.