Delhi High Court Quashes Minimum Wages Order
The Delhi High Court on Saturday quashed its much-touted March 2017 order revising the minimum wages for all classes of workmen in scheduled employment, opining that the same was ultra vires Article 14 of the Constitution of India. The Bench, comprising Acting Chief Justice Gita Mittal and Justice C. Hari Shankar, further opined that the impugned notification suffered from "non-application of mind," was not based on any material, and violated principles of natural justice.
It also declared the constitution of the Minimum Wages Advisory Committee for all scheduled employments by the Government as ultra vires Sections 5(1) and 9 of the Minimum Wages Act, 1948, opining that the formation of this committee was "completely flawed."
The court's verdict was issued on petitions filed by employers — associations of traders, petrol dealers, and restaurants — who had challenged two notifications: one issued in September 2016 reconstituting the Minimum Wages Advisory Committee for all scheduled employments, and another issued in March 2017, revising the minimum rates of wages for all classes of workmen/employees in all scheduled employments.
The detailed orders are enclosed herewith for reference.
Thanks & Regards,
Sumit Kumar Saxena