Minimum Wage

As per the Indian Constitution, 'Minimum Wage' has been defined as the level of income for skilled and unskilled workers which ensures a sustaining standard of living while also providing for some measure of comfort. A minimum wage not just supports the bare level of employment, but also seeks for viable continuous improvement. It aims at preventing exploitation of labour.


Minimum Wages For States Across India

The states which impose minimum wages in India are listed below: (Click on the state name for more details)

Bihar
Effective date:1st Oct, 2019

Fixation and Revision of Minimum Wages

Under the Minimum Wages Act, 1948, both Central and State government have dominion over fixing the wages. The State governments fix their own scheduled employments and further release the rates of Minimum Wage along with the VDA (Variable Dearness Allowance). Wage boards are set up to review and fix minimum wages at specified intervals. The wage rates in scheduled employments differ across states, sectors, skills, regions and occupations owing to a lot of differentiating factors. Hence, there is no single uniform minimum wage rate across the country and the revision cycle differs for each state.

Scope and Applicability

Minimum Wages Act was enforced to ensure the employers did not exploit employees with insufficient wages. The Act is applicable on all establishments, factories, place of business and industry types. Unscheduled industries are generally excluded, though a state can add a minimum wage for an occupation or specify it for a sector during a revision cycle.

Consequences of Non-Compliance

Under-payment and non-payment of Minimum Wage is deemed as an offence under the Central Act. The penalty may range from upto 5 years imprisonment and a fine of Rs. 10000/- (under Section 22 of the Act).

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Latest Minimum wages for Shops & Establishment in Bihar

Effective from Date: 1st Oct, 2019 Updated As On: 20th Nov, 2019
Class of Employment Basic Per Day Basic Per Month VDA Per Day VDA Per Month Total Per Day Total Per Month
Unskilled 237.00 6162.00 40.00 0.00 277.00 7202.00
Semi-Skilled 247.00 6422.00 42.00 0.00 289.00 7514.00
Skilled 301.00 7826.00 51.00 0.00 352.00 9152.00
Highly Skilled 367.00 9542.00 62.00 0.00 429.00 11154.00
Supervisory/Clerical 0.00 6799.00 0.00 1156.00 0.00 7955.00

Download Latest Notification(s) Here

The Bihar Minimum Wage Notification 1st October 2019.pdf

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