Effects of Commencement of the Minimum Wages Act

By Mukul Sharma, KIIT Law School, KIIT University, Bhubaneswar.


The concept of minimum wages first evolved with reference to remuneration of workers in those industries where the level of wages was substantially low as compared to the wages for similar types of labour in other industries. As far back as 1928, the International Labour Conference of International Labour Organization, at Geneva, adopted a draft convention on minimum wages requiring the member countries to create and maintain a machinery whereby minimum rates of wages can be fixed for workers employed in industries in which no arrangements exist for the effective regulation of wages and where wages are exceptionally low. Also, at the Preparatory Asian Regional Labour Conference of ILO held at New Delhi in 1947 and then at the 3rd session of the Asian Regional Labour conference, it was approved that every effort should be made to improve wage standards in industries and occupations in Asian countries, where they are still low. (more…)