Is My Delhi-Based Company Really Exempt from the Minimum Wages Act? Seeking Guidance

I am working in a Pvt. Ltd company, which deducts PF and ESI from my salary. The company is eligible for tendering with the central and Delhi government. The minimum salary has recently been increased in Delhi, but according to our company, we are not covered by the Delhi government Minimum Wages Act. Is it possible for a Delhi-based registered Pvt Ltd company to not be covered under the Wages Act? Please guide me.

Minimum wages are not based on the constitution of a company, such as Limited, private limited, or Partnership. Please let us know the nature of activities carried out in the establishment. Is it a manufacturing concern? Your question is not clear.

As far as I know, minimum wages are applicable as per state minimum wages declared by the authorities. Thus, you are entitled to the same, but there is a stay in the court against new minimum wages for Delhi. Until the court judgment comes out, the new minimum wages are not applicable to be paid by the organization.

From the information furnished, it appears your company is registered under the Shops & Commercial Establishments Act. Minimum wages applicable for your company in Shops & Commercial Establishments. Every year, i.e., on a financial year basis from April to March, minimum wages are increased based on CPI.

State-specific minimum wages

The state in which your company is functioning is Delhi? If so, minimum wages applicable for Shops & Commercial Establishments apply to your company. All establishments that fulfill the conditions of tender can apply for either Central/Delhi Government contracts. It appears your company is involved in supplying manpower on a contract basis for housekeeping, security, etc.

Please find out whether you are receiving less than the minimum wages or more than the minimum wages.

Dear Anonymous,

Yes, you are required to continue to pay all statutory dues until the new age of retirement.

If you are posted in Delhi, you are covered under Delhi minimum wages if your position is included in the notification. Additionally, you have not specified the location of your posting. If you are posted in another state, the minimum wages of that state would apply.

Need suggestions on why many Indian companies don't pay the minimum wages as per the Wages Act to their own employees, yet they show increased salaries on their salary books to protect themselves for future inspections. Companies deceive innocent employees, preventing them from accessing EPF benefits. How can we raise awareness among people and employees about this discrimination?