Business Daily from THE HINDU group of publications
Wednesday, Jul 09, 2008
ePaper | Mobile/PDA Version | Audio
Business Daily from THE HINDU group of publications Wednesday, Jul 09, 2008 ePaper | Mobile/PDA Version | Audio |
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Industry & Economy
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Courts/Legal Issues States - Tamil Nadu Social welfare organisations liable to pay minimum wages: HC Non-payment of minimum wages to workmen on piece rate basis, would amount to forced labour Our Legal Correspondent Chennai, July 8 Payment of minimum wages would stand irrespective of whether a work undertaken by an organisation was on voluntary basis, the Madras High Court has held. Citing a decision of the apex court [in Sanjit Roy vs State of Rajasthan (1983 (1) SCC 525)], Mr Justice K. Chandru ruled that neither the Government nor any other authority could evade payment of minimum wages on the specious plea that they were running a social welfare organisation. The issue raised in a writ petition by Punjab Association, Chennai, pertained to a claim raised by its workmen for payment of minimum wages under the Industrial Disputes Act, which, according to the petitioner was not payable as they were not in their employment. Theirs was a charitable organisation, and work undertaken by them was on behalf of Khadi Gramodyog Bhavan under a contract. Work done by the labour was stitching garments, and they were paid on piece rate basis. The Labour Court had disallowed claim for bonus and directed the association to pay festival and weekly off as well as unpaid minimum wages. The present writ petition was against this order. The petitioner contended that in as much as workmen were paid on piece rate basis, the question of fixing minimum wages did not arise. The judge said that as per orders of the Supreme Court, such workmen were also eligible for minimum wages. Non-payment of minimum wages to such workmen would amount to forced labour, which was prohibited under Article 23 of the Constitution. Even if work done by these persons was on voluntary basis, the requirement to pay minimum wages would stand. The writ petition was dismissed. More Stories on : Courts/Legal Issues | Social Welfare | Trade & Labour Unions | Tamil Nadu
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