Andhra Pradesh Minimum Wages Rules, 1950

Background:

The Andhra Pradesh Minimum Wages Rules, 1960, have been framed under the provisions of the Minimum Wages Act, 1948, with the objective of implementing and enforcing the minimum wage standards prescribed under the Act within the State of Andhra Pradesh. These Rules provide the detailed procedure, forms, registers, records, and conditions to be followed by employers for proper payment of minimum wages, maintenance of wage-related records, and compliance with other obligations under the Act. They aim to ensure that the intent of the Minimum Wages Act to protect workers from being paid wages below the statutory minimum is effectively carried out at the State level.

Applicability:

The Andhra Pradesh Minimum Wages Rules, 1960, apply to all Establishment covered under Andhra Pradesh Minimum Wages Rules, 1960.

Compliance Requirement Under Rules In Accordance with the Sections

  1. Mode of computation of the cash value of wages (Rule 21)

The average {Government Procurement} prices at the nearest market for the period of three months immediately preceding the month for which the wages are to be computed shall be taken into account in computing the cash value of wages paid in kind and of concessions in respect of essential commodities supplied at concessional rates. This computation shall be made in accordance with such directions as may be issued by the Government from time to time.

  1. The time & condition Payment of wages and the deductions permissible from wages (Rule 22(1)(i)(a))

It states that the wages of a worker in any scheduled employment shall be paid on a working day in the case of an establishment in which less than thousand persons are employed, before the expiry of the seventh day.

  1. The time & condition Payment of wages and the deductions permissible from wages (Rule 22(1)(i)(b))

The wages of a worker in any scheduled employment shall be paid on a working day in the case of an establishment in which 1000 or more than thousand persons are employed, before the expiry of the tenth day, after the last day of wage period in respect of which wages are payable.

  1. The time & condition Payment of wages and the deductions permissible from wages (Rule 22(1)(ii))

Where the employment of any person is terminated by or on behalf of the employer, or due to the acceptance of the employee’s resignation, the wages earned by him shall be paid before the expiry of the second working day after the day on which his employment is terminated.

  1. The time & condition Payment of wages and the deductions permissible from wages (Rule 22(1)(iii))

The wages of an employed person shall be paid to him without deductions of any kind except those authorized by or under these rules.

  1. The time & condition Payment of wages and the deductions permissible from wages (Rule 22(1)(iv))

The employer shall display in conspicuous place at or near the main entrance of the establishment a notice in English and in the language of the majority of the persons employed therein, specifying the dates on which wages will ordinarily be paid, the dates so specified being not earlier than the expiry of two months from the date on which such notice is displayed.

  1. The time & condition Payment of wages and the deductions permissible from wages (Rule 22(2))

Deductions which can be made from wages of a person employed in scheduled employment are prescribed in Rule 22(2) of Andhra Pradesh Minimum Wages Rules 1960.

  1. The time & condition Payment of wages and the deductions permissible from wages (Rule 22(4)(iii) – Fines)

All fines shall be recorded in a Register of fines maintained under Form I.

  1. The time & condition Payment of wages and the deductions permissible from wages (Rule 22(4)(iii) – Damage or Loss)

All deductions for damage or loss caused to the Employers by the neglect or default of Employed persons shall be recorded in the Register maintained under Form II.

  1. The time & condition Payment of wages and the deductions permissible from wages (Rule 22(4)(iii) – Annual Return)

Form-III shall be submitted annually by the employer before the 31st January of every year to the [District Inspector of Labour] having jurisdiction over the area following the calendar year to which the return relates.

  1. Publicity to the Minimum wages fixed under the act (Rule 23)
    Notices in Form XII containing the minimum rates of wages fixed under the Act together with abstracts from such of the provisions of the Act and the rules as prescribed and the name and address of the Inspector shall be displayed in English and in a language understood by the majority of the workers in the employment at such places as may be selected by the Inspector and shall be maintained in a clean and legible condition.
  2. Weekly Day of rest (Rule 24)

(1) Subject to the provisions of this rule, an employee in a Scheduled employment in respect of which the minimum rates of wages have been fixed under the Act, shall be allowed a day of rest every week (hereinafter referred to as the rest day) which shall ordinarily be Sunday, but the employer may fix any other day of the week as the rest day for any employee or class of employees in that scheduled employment:
Provided that the employee has worked in the scheduled employment under the same employer for a continuous period of not less than six days. (Rule 24(1))
(2) Any such employee shall not be required or allowed to work in a scheduled employment on the rest day unless–

(a) he has or will have substituted rest day for a whole day on one of the three days immediately before or after the rest day; and

(b) prior intimation is given by the employer to the employee of his intention to require the employee to work on the rest day and also of the day which is to be substituted:

Provided that no substitution shall be made which will result in the employee working for more than ten days consecutively without a rest day for a whole day.” (Rule 24(2))

  1. Number of hours of work which shall constitute a normal working day for an adult and child (Rule 25(1),(2), (3))(5))

The number of hours which shall constitute a normal working day shall be–
(a)in the case of an adult, 9 hours.

(b) In the case of a Child, 4 ½ hours.”

The period of work of an adult worker each day shall be so fixed that no period shall exceed five hours and that no worker shall work for more than five hours before he has had an interval for rest of at least half an hour.

The periods of work of an adult worker in a scheduled employment other than employment in any plantation shall be so arranged that inclusive of his intervals for rest under sub-rule (2) they shall not spread over more than ten and a half hours in a day.

Provided that the Inspector may, for reasons to be specified in writing, increase the spread over to twelve hours.

The number of hours of work in the case of an adolescent shall be the same as that of an adult or a child according as he is certified to work as an adult or a child by the certifying surgeon appointed under Section 10 of the Factories Act, 1948 (Central Act, 63 of 1948). (Rule 25(4))

  1. Number of hours of overtime work (Rule 26)

The total number of hours of overtime a worker shall be required or allowed to work in any employment shall not exceed 50 for any one quarter.

  1. Night shifts (Rule 27)

Where a worker in a scheduled employment works on a shift which extends beyond midnight–

(a) for the purpose of Rule 24, a rest day shall mean in his case a period of 24 consecutive hours beginning when his shift ends;

(b) the following day for him shall be deemed to be the period of 24 hours beginning when such shift ends, and the hours he has worked after midnight shall be counted towards the previous day.

  1. Cases and circumstances in which an employee employed for a period of less than the requisite number of hours constituting a normal working day shall not be entitled to receive wages for a full normal working day (Rule 28)

The following shall be cases and circumstances in which an employee employed for a period of less than the requisite number of hours constituting a normal working day shall not be entitled to receive wages for a full normal working day:
(a) tempest, fire, rain; breakdown of machinery or stoppage of or any cut in the supply of power, epidemic, civil commotion or other cause beyond the control of the employer.
(b) Where an employee works for any period not exceeding 4 hours a day.
(c) Strike or stay-in-strike.

In the case of interruption brought about by tempest, fire, rain, breakdown of machinery, epidemic, civil commotion or other natural causes beyond the control of the employer, the employee who has already started work for the day shall be paid wages at half the minimum rates of wages fixed for normal working day if the interruption occurs at any time before the interval for midday rest he shall be paid wages for a full normal working day.

If by reason of stoppage of or any cut in the supply of power effected by the Government an employer is prevented on any working day from giving work to his employees for a full normal working day, the employees shall receive wages for such day in the proportion the number of hours he worked bears to the number of hours constituting the normal working day.

If an employee works for any period not exceeding 4 hours a day he shall receive wages for such day in the proportion the number of hours he worked bears to the number of hours constituting the normal working day.”

  1. Extra wages for overtime (Rule 29)

(1) When a worker works in an employment for more than nine hours on any day or for more than forty eight hours in any week, he shall in respect of overtime work, be entitled to wages–

(a) In the case of employment in agriculture including plantations, at one and half times the ordinary rate of wages.

(b) In the case of any other scheduled employment at double the ordinary rate of wages. (Rule 29(1))

A register showing overtime payments shall be kept in Form IV. Overtime work shall be entered up in the Register before the expiry of 24 hours from the commencement of such work. (Rule 29(2))

  1. Form of register and records (Rule 30(1), (3), (4))

(1) A register of wages shall be maintained by every employer at the work spot or the principal office attached to it in Form No.X in respect of employments included in Part-I of the Schedule to the Act.”

  1. Form of register and records (Rule 30(2), (3), (4))

A wages slip in Form No. XI shall be issued by every person employed by him in respect of employments included in Part-I of the Schedule to the Act at least a day prior to the disbursement of wages and his acknowledgment is obtained.

  1. Form of register and records (Rule 30(5))

A Muster Roll shall be maintained by every employer at the work spot or the principal office attached to it and kept in Form V in respect of employments included in Part-I of the Schedule to the Act and it shall be written up every day on which the work is performed.

  1. Preservation of registers (Rule 31-A)

A register required to be maintained under Rule 29 and 30 shall be preserved for a period of 12 months after the date of last entry made therein.

  1. Minimum Rate of wages (Section 4, Minimum Wages Act, 1948)

Minimum rate of wages fixed or revised w.r.t scheduled employments may consist of:
(i) basic rate of wages and a special allowance at a rate to be adjusted, at such intervals and in such manner as the appropriate Government may direct, to accord as nearly as practicable with the variation in the cost of living index number applicable to such workers (referred to as the “cost of living allowance”); or
(ii) a basic rate of wages with or without the cost of living allowance, and the cash value of the concessions in respect of supplies of essential commodities at concession rates, where so authorised; or

(iii) an all-inclusive rate allowing for the basic rate, the cost of living allowance and the cash value of the concessions, if any.”

  1. Wages in Kind (Section 11)

Minimum wages payable under this Act shall be paid in cash. Where it has been the custom to pay wages wholly or partly in kind, the appropriate Government being of the opinion that it is necessary in the circumstances of the case may, by notification in the Official Gazette, authorise the payment of minimum wages either wholly or partly in kind.

  1. Wages for two or more classes of work (Section 16)

Where an employee does two or more classes of work to each of which a different minimum rate of wages is applicable, the employer shall pay to such employee in respect of the time respectively occupied in each such class of work, wages at not less than the minimum rate in force in respect of each such class.

  1. Payment of undisbursed amounts due to employees (Section 22D)

All amounts payable by an employer to an employee as the amount of minimum wages of the employee under this Act or otherwise due to the employee under this Act or any rule or order made thereunder shall, if such amounts could not or cannot be paid to the employee on account of his death before payment or on account of his whereabouts not being known, be deposited with the prescribed authority who shall deal with the money so deposited in such manner as may be prescribed.

  1. Contracting out (Section 25)

Any contract or agreement, whether made before or after the commencement of this Act, whereby an employee either relinquishes or reduces his right to a minimum rate of wages or any privilege or concession accruing to him under this Act shall be null and void in so far as it purports to reduce the minimum rate of wages fixed under this Act.

Penalties & Punishments

  • General penalty where no specific penalty is provided as per Section 22 of Minimum Wages Act 1948 – Fine which may extend to Rs. 500/- for contravention of any rule
  • Any employer who pays to any employee less than the minimum rates of wages fixed for that employee’s class of work, or less than the amount due to him under the provisions of this Act shall be punishable with imprisonment for a term which may extend to six months, or with fine which may extend to five hundred rupees, or with both

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