Hi Team,
Can you please confirm what salary we need to pay to skilled employees under the Minimum Wages Act for the Kanpur location?
As per the online information, it's ₹10,628 gross, but we currently do not fall under PF and ESIC deductions. So, can we pay them ₹7,500 - ₹8,000 in hand until we come under PF and ESIC deductions?
From India, Mumbai
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Can you please confirm what salary we need to pay to skilled employees under the Minimum Wages Act for the Kanpur location?
As per the online information, it's ₹10,628 gross, but we currently do not fall under PF and ESIC deductions. So, can we pay them ₹7,500 - ₹8,000 in hand until we come under PF and ESIC deductions?
From India, Mumbai
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Latest Minimum Wages for Shops & Establishments in Uttar Pradesh
Effective from Date: 1st Apr, 2020
Updated As On: 6th Apr, 2020
Class of Employment
Basic Per Month | VDA Per Month | Total Per Day | Total Per Month
Unskilled: 5750.00 | 2875.00 | 331.73 | 8625.00
Semi-skilled: 6325.00 | 3162.50 | 364.90 | 9487.50
Skilled: 7085.00 | 3542.50 | 408.75 | 10627.50
Also, see the attached circular to check if it helps you (I am not familiar with the Hindi version). Regarding contributions to EPF/ESIC, if your labor strength is 10 or 20, you should have registered with the authorities. However, if your labor strength is not 10, then it's a different issue. Depending on the applicability to your firm, you have to deal with the matter accordingly.
Payment of minimum wages is mandatory whether EPF/ESI is applicable to your firm. Hence, you should not restrict the minimum wage on this aspect. Please examine all the relevant factors.
From India, Bangalore
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1159Effective from Date: 1st Apr, 2020
Updated As On: 6th Apr, 2020
Class of Employment
Basic Per Month | VDA Per Month | Total Per Day | Total Per Month
Unskilled: 5750.00 | 2875.00 | 331.73 | 8625.00
Semi-skilled: 6325.00 | 3162.50 | 364.90 | 9487.50
Skilled: 7085.00 | 3542.50 | 408.75 | 10627.50
Also, see the attached circular to check if it helps you (I am not familiar with the Hindi version). Regarding contributions to EPF/ESIC, if your labor strength is 10 or 20, you should have registered with the authorities. However, if your labor strength is not 10, then it's a different issue. Depending on the applicability to your firm, you have to deal with the matter accordingly.
Payment of minimum wages is mandatory whether EPF/ESI is applicable to your firm. Hence, you should not restrict the minimum wage on this aspect. Please examine all the relevant factors.
From India, Bangalore
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Penalties under The Payment of Wages Act & Minimum Wages Act..docx
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