Understanding Overtime Pay: How Do You Calculate Rates for Unskilled Workers in Manufacturing?

We have a Cardboard Manufacturing unit located at Chakan MIDC, under Zone II, Pune, Maharashtra. According to Rule 23(4) under Chapter IV of the Minimum Wages Central Rules 1950, how should the overtime rate for unskilled workers be calculated? On what basis?

Overtime Calculation Under the Factories Act

If I am not wrong, the organization is covered under the Factories Act. Under the Factories Act, there is a specific provision on how to calculate the OT hours. The payment under both the Factories Act and the Minimum Wages Act should be double the rate of ordinary wages.

Issues in Overtime Calculation

Basically, there are two issues - one is how to calculate the OT hours, and the other is how to calculate the monetary part.

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