Is Our Gross Salary Enough to Meet Karnataka's Minimum Wage Requirements? Seeking Clarification

Hi Team, If the gross salary is more than the minimum wages, it is considered to cover the Minimum Wages in Karnataka.

Minimum Wages in Karnataka

As per the Government Notification, the Minimum Wages are Rs. 10,000. However, we are paying Basic + DA of Rs. 8,000, Special Allowance of Rs. 5,000, and Other Allowance of Rs. 5,000. Therefore, the total fixed Gross is Rs. 18,000.

According to the notification, we are paying Rs. 2,000 less, but the fixed Gross is more than the minimum wages. Is this acceptable or not?

Kindly clarify. If you have any notifications or judgments, kindly share them with us.

Thanks & Regards,
Vasnat H
Mob: [Phone Number Removed For Privacy-Reasons]

Salary Breakdown Inquiry

If my salary is $48,000, what is the basic breakup? Is Basic + DA and Special Allowance included in the salary? What about other allowances?

Supreme Court Judgments on Total Pay and Dearness Allowance

There are two judgments by the Supreme Court stating that the total pay is the issue, and no state can enforce the payment of Dearness Allowance (DA) as a separate component.

Yours is an oft-repeated and elaborately answered question in this forum. If you are not satisfied with the previous replies on your present query or failed to go through them for whatever reason, my suggestion to you would be to go through the entire text of the Supreme Court's judgment in Airfreight Ltd Vs. The State of Karnataka and Others (AIR 1999 SC 2459).

The ratio decidendi of the above judgment is that the parity of the Statutory Minimum Wages and that of industry wages actually paid shall be determined on the basis of the sum total of the included components of wages in the latter as defined under the MW Act, 1948.

Minimum Wages Karnataka 2022-23

GOK has fixed minimum wages with Basic and CLA components only. Therefore, wages should not be less than this.

To learn more about Karnataka Minimum Wages 2022-23 and to be cautious about any enhancements, please watch the YouTube video using the following link: https://www.youtube.com/watch?v=UwDe3jh6zg4

This information may be useful to you.

Thanks and best wishes,

Ram K Navaratna