Minimum Wages Acts 1948

Objectives of the Act

• To provide minimum wages to the workers working in organized sector 
• To stop exploitation of the workers
• To empower the government to take steps for fixing minimum wages and to revising it in a timely manner 
• To apply this law on most of the sections in organized sector (scheduled employment)

Historical Backdrop

The initiative by Shri K.G.R.Choudhary in 1920: set up boards for determination of wages

The International Labour Conference adopted convention 26 and 30 in 1928 relating to wage fixing machinery in trades or parts of trades

 A Minimum Wages Bill was introduced in the Central. Legislative Assembly on 11.4.46 and came into force with effect from 15.3.48

The Committee on Fair Wage was set up in 1948 to provide guidelines for wage structure

Broad Features of the Act

[Sec 3]: The Act lays down the principles  for fixation of

• A minimum time rate of wages

• A minimum piece rate

• A guaranteed time rate

• An overtime rate for different occupations, localities or classes of work and for adults, adolescents, children and apprentices

[Sec 4]: The minimum wages may consist of

• A basic rate of wages and a cost of living of allowances

• A basic rate of wages with or without the cost of living allowance and the cash value of the concessions in respect of essential commodities supplied at concessional rates

Short Title and Extent [Sec. 1]

• This Act, the Minimum Wages Act, 1948 extends to the whole of India
• This Act may be called the Minimum Wages Act, 1948

Who all are eligible?

• Permanent employees
• Contract employees
• Casual workers
• People on probation get fixed pay instead of minimum wages.
• Trainees get stipend and not minimum wages

What  is appropriate  government? [Sec 2(b)] 

• In relation to scheduled employment carried on Central Government or railways or est. under Central Act, the Central Government
• In all other cases - the State Government

Wages [Sec. 2(h)]

• Minimum wages: all remuneration capable of being paid in money terms for work done if terms of contract were fulfilled
• consist of Basic + Dearness Allowance + House Rent Allowance
• Every 5 years, basic rates of every industry are decided by Minimum Wages Committee
• Dearness Allowance changes every six months and is decided by Government
• Other Definitions

Section No.
2 (bb)	Child
2 (a)	Adolescent
2 (aa)	Adult
2 (c)	Competent authority
2 (d)	Cost of Living Index Number
2 (e)	Employer
2 (g)	Scheduled Employment
2 (i)	Employee

 Fixing minimum rate of wages [Sec. 3]

The Appropriate Government:

·         Shall fix minimum rates of wages for an employment specified in Part I or Part II of Schedule 86 added by notification in official gazette

·         May fix rates for a part of the state or for any specific class or classes instead of fixing minimum rate of wages for whole state

·         Shall review and revise at intervals not exceeding 5 years the minimum rates of wages

Different Minimum Wages May Be Fixed By The Government For:

·         Different employments (specified in the schedule)

·         Different classes (e.g. skilled, unskilled, semis skilled, etc.) of work in the same employments

·         Adults, adolescents, children and apprentices

·         Different localities

Segregation

Minimum rates of wages may be fixed by any one or more of the following wage periods, namely: 

• By the hour 
• By the day 
• By the month 
• By such other larger wage period as may be prescribed; and where such rates are fixed by the day or by the month, the manner of calculating wages for a month or for a day, as the case may be, may be indicated

 Different Minimum Wages May Be Fixed By The Government May consist of [Sec. 4]

1.       Basic + Special Allowance (Which varies with the cost of living index)

2.       Basic + Cash value of concessional supply of materials like food, clothes, etc

3.        An all inclusive rate which includes Basic + Cost of living Allowance + Cash value of 1 concessional supply of materials

Fixing Minimum Rates of Wages [Sec. 5]

• Publish its proposals in the official gazette asking comments from the affected parties
• Constitute committees/sub committees for the purpose. 
• The committees/ sub-committees and advisory boards constituted by the Government consist of equal number of members of : 

• Employers
• Employees, and
• Independent persons

Advisory Board [Sec.7]

• Appointed by appropriate government

• To co-ordinate the work of committees and sub committees appointed under Section 5

Central Advisory Board [Sec. 8]

To advise the Central and State Governments in fixation and revision of minimum rates of wages To co-ordinate the work of the Advisory Boards

Composition of Committees, etc. [Sec. 9]

Each of the committee, sub-committee and the Advisory Board shall consist of:

a. persons to be nominated by the appropriate Government

b. representing the employers and employees in the scheduled employments who shall be equal in number and

c. independent persons not exceeding one-third of its total number of members: one of such independent persons shall be appointed the Chairman by the appropriate Government.

 Correction of errors [Sec. 10]

• By appropriate Government at any time
• By notification in the Official Gazette
• Correct clerical or arithmetical mistakes or errors arising from and accidental slip or omission.
• Every such notification shall be placed before the Advisory Board for information.

 Wages in Kind [Sec. 11]

• Minimum wages shall be paid in cash. 
• The appropriate govt. may authorize, where there has been a custom of payment in this manner, payment of minimum wages either wholly or partly in kind 
• The appropriate govt. may authorize supply of essential commodities at concessional rates

 Minimum paymrent  rate of wages [Sec. 12]

• The Minimum Wages has to be paid without any deductions other than Statutory Deductions.

• Payment of wages less than minimum wages on the ground of less performance or output is illegal

Normal working works [Sec. 13]

For an Adult Worker working in Factories:

·         Number of Working Hours should not exceed 48 Hours in a week with a weekly Holiday

·         The Daily Hours should not exceed more than 9 Hours with 1 Hour Rest Interval

·         Provision of Compensatory Holiday/ Overtime Wages if working on holiday

 Overtime wages [Sec. 14]

·         If the person has worked for more than 48 hours in a week then, the excess hours worked will be treated as Overtime

·         Overtime wage rate will be twice of the normal wage rate

Wages for a person who has worked less than normal working hours [Sec. 15]

·         Employer could not provide the activities of the job then, the employee is entitled to receive full salary

·         Employee has not worked due to his unwillingness then, the employee is not entitled to receive full salary

Records to be maintained [sec. 18]

The Registers should contain the following particulars-

(i)                  particulars of employed persons

(ii)                 the work performed by them

(iii)               the wages paid to them

(iv)              the receipts given by them

Claims [Sec. 20]

·         A Labour Commissioner or any other appointed authority is authorized to hear claims regarding non-payment of minimum wages

·         Any aggrieved person may apply to the authority for settling his claims within 6 months

Penalties [Sec. 22]
Offence	Punishment
Payment of less than Minimum Wages to employee	Imprisonment which may extend up to 6 Months or Fine which may extend up to Rs 500/- or Both Contracting out [Sec. 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 so far as it purports to reduce the minimum rate of wages fixed under this Act.

Power of State Government to add schedule [Sec. 27]

• The State Government has to notify in the Official Gazette not less than three months of its intention to do so
• Power of Central Government to give directions [Sec. 28]
• The Central Government may give directions to a State Government as to the carrying into execution of this Act in the State.

Power of the central Government to make rules [Sec. 29]

• Procedure to be followed in conduct business
•  Method of voting
•  Manner of filling of casual vacancies in membership
• Quorum necessary for the transaction of business of the Central Advisory Board.

List of some important forms

Form No.	Rule	Description
III	21 (4a)	Annual Return
V	26 (5)	Muster Roll
X	26 (1)	Register of Wages
XI	26 (2)	Wage slip

The Drugs and Magic Remedies (Objectionable Advertisements) Rules, 1955. Notification No.S.R.O.512,dt.26-02-1955

      Structure of the rule                     

                                     

Rule	Content
1	Short title & Commencement
2	Definitions
3	Scrutiny of misleading misleading advertisements relating to drugs
4	Procedure to be followed in prohibiting import into & export from, India of certain advertisements
5	Manner in which advertisements may be sent confidentially
6	Prohibition of advertisement of drugs for treatment of disease, etc
	The Schedule
	Notifications

Scrutiny of misleading advertisements relating to drugs

Any person authorised by the state Government in this behalf may, if satisfied, that an advertisement relating to a drug contravenes the provisions of section 1 by order, require the manufacturer,packer,distributer or seller of the drug to furnish within such time as may be allowed in this behalf by the person so authorised information regarding the composition of the drug or the ingredients thereof or any other information in regard to that drug as he deems necessary for holding the scrutiny of the advertisement, and where any such the drug to which the advertisement relates to comply with the order.

Provided that no publisher or advertising agency of any medium for the dissemination of an advertisement elating to a drug shall be deemed to have made any such contravention merely by reason of the dissemination by him or it of any such advertisement, unless such publisher or advertising agency has failed to comply with any direction made by the authorised person in this behalf calling upon him or it to furnish the name and address of the manufacturer, packer,distributer, seller or advertising agency, as the case may be, who or which caused such advertisement to be disseminated.

Procedure to be followed in prohibiting import into & export from, India of certain advertisements

(1)If the customs collector has reasons to believe that any consignment contains documents of the nature referred to in section 6, he may , and if requested by an officer appointed for the purposes by the Central Government, shall detain the consignment and dispose it of in accordance with the provisions of the Sea Customs Act 1878 and shall also inform the importer or exporter of the order so passed.

Manner in which advertisements may be sent confidentially

All documents containing advertisements relating to drugs referred to in clause (c) of sub –section (1) of section 14, shall be sent by post to a registered medical practitioner by name, or to a wholesale or retail chemist, the address of such registered medical practitioner or wholesaler or retail chemist being given. Such document shall be at the top, printed in indelible ink in a conspicuous manner, the words “For the use only of registered medical practitioners or a hospital or a laboratory.

Prohibition of advertisement of drugs for treatment of disease, etc

No person shall also take part in the publication of any advertisement referring to any drug in terms which suggest or are calculated to lead to the use of that drug for the diagnosis,cure,mitigation,treatment or prevention of any disease, disorder or condition specified in the Schedule annexed to these rule.

The Schedule

 1.  Asthma

 2.  AIDS

Notifications:

1.  Permitted class of advertisements relating to drugs

(Notification: G.S.R.843)

2.  Permitted advertisements of Chemical contraceptives

(Notification No.G.S.R. 46 (E), dated 30-04-1992)

The Drugs and Magic Remedies (Objectionable Advertisements) Act 1954

STRUCTURE OF THE ACT
Section	Contents
1	Short title, extent & Commencement
2	Definitions
3,4,5,6	Prohibitions
7	Penalty
8	Power of entry, search etc
9	Offences by companies
9 A	Offences to be cognizable
10	Jurisdiction to try offences
11	Officers to be deemed to be public servants
12	Indemnity
13	Other laws not affected
14	Savings
15	Power to exempt from application of act
16	Power to make rules

The Drugs and Magic Remedies (Objectionable Advertisements) Act, 1954 is an Act No. 21 of 1954
(Section 1)

It extends to the whole of India, except the state of Jammu & Kashmir.
It was came into force by Gazette notification on 1st April, 1955.

Definitions

‘drug’ includes –
(i) A medicine for the internal or external use of human beings or animals;
(ii) Any substance intended to be used for or in the diagnostic, cure, mitigation , treatment or prevention of disease in human beings or animals;
(ii) Any article, other than food, intended to affect or influence in any way the structure or any organic function of the body of human beings or animals;
(iv)Any article intended for use as a component of any medicine, substance or article, referred to in sub-clauses (i), (ii) and (iii);

Definitions- D & C act

“drug” includes
(i) all medicines for internal or external use of human beings or animals and all substances intended to be used for or in the diagnosis, treatment, mitigation or prevention of any disease or disorder in human beings or animals, including preparations applied on human body for the purpose of repelling insects like mosquitoes;
(ii) such substances (other than food) intended to affect the structure or any function of human body or intended to be used for the destruction of vermin or insects which cause disease in human beings or animals, as may be specified from time to time by the Central Government by notification in the Official Gazette;]
(iii) all substances intended for use as components of a drug including empty gelatin capsules; and
(iv) such devices intended for internal or external use in the diagnosis, treatment, mitigation or prevention of disease or disorder in human beings or animals, as may be specified from time to time by the Central Government by notification in the Official Gazette, after consultation with the Board

‘magic remedy’ includes

A talisman, mantra, kavacha and any other charm of any kind which is alleged to possess miraculous powers for or in the diagnosis, cure, mitigation, treatment or prevention of any disease in human beings or animals or for affecting or influencing in any way the structure or any organic function of the body of human beings or animals;

‘Advertisement’

‘Advertisement’ includes any notice, circular, label, wrapper, or other document, and any announcement made orally or by any means of producing or transmitting light, sound or smoke;

‘Taking any part in the publication of any advertisement’ includes -
(i) the printing of the advertisement;
(ii) the publication of any advertisement outside the territories to which this Act extends by or at the instance of a person residing within the said territories;

PROHIBITIONS -Section 3

 Subject to the provisions of this Act, no person shall take any part in the publication of any advertisement referring to any drug in terms which suggest or are calculated to lead to the use of that drug for –

(a) the procurement of miscarriage in women or prevention of conception in women; or
(b) the maintenance or improvement of the capacity of human beings for sexual pleasure; or
(c) the correction of menstrual disorder in women; or
(d) the diagnosis, cure, mitigation, treatment or prevention of any disease, disorder or condition specified in the Schedule, or any other disease, disorder or condition (by whatsoever name called) which may be specified in the rules made under this Act.

Provided that no such rules shall be made except –

(i) in respect of any disease, disorder or condition which requires timely treatment in consultation with a registered medical practitioner or for which there are normally no accepted remedies, and

(ii) after consultation with the Drug Technical Advisory Board constituted under the Drugs and Cosmetics Act, 1940(23 of 1940) and, if the Central Government considers necessary, with such order persons having special knowledge or practical experience in respect of Ayurvedic or Unani systems of medicines as that Government deems fit.

Prohibition of misleading advertisements relating to drugs

Subject to the provisions of this Act, no person shall take any part in the publication of any advertisement relating to a drug if the advertisement contains any matter which –

(a) directly or indirectly gives a false impression regarding the true character of the drug; or

(b)  make a false claim for the drug; or

(c) is otherwise false or misleading in any material particular.

Prohibition of advertisement of magic remedies for treatment of certain diseases and disorders

No person carrying on or purporting to carry on the profession of administering magic remedies shall take any part in the publication of any advertisement referring to any magic remedy which directly or indirectly claims to be efficacious for any of the purpose specified in Section 3.

Prohibition of import into, and export from India of certain advertisements

No person shall import into, or export from, the territories to which this Act extends any document containing an advertisement of the nature referred to in Section 3, or Section 4, or Section 5, and any documents containing any such advertisement shall be deemed to be goods of which the import or export has been prohibited under Section 19 of the Sea Customs Act, 1878 (8 of 1878) and all the provisions of that Act shall have effect accordingly.

Penalty

Whoever contravenes any of the provisions of this Act [or the rules made there under] shall, on conviction, be punishable –
a) in the case of a first conviction, with imprisonment which may extend to six months or with fine, or with both;
b) in the case of a subsequent conviction, with imprisonment which may extend to one year, or with fine, or with both.

Powers of entry, search etc

 (1) Subject to the provisions of any rules made in this behalf, any Gazetted officer authorised by the state Government may, within the local limits of the area for which he is so authorised –

a) enter and search at all reasonable times, with such assistants, if any, as he considers necessary, any place in which he has reason to believe that an offence under this act has been or is being commited;
b) seize any advertisement which he has reason to believe contravenes any of provisions of this act;
c) Examine any record, register, document or any other material object found in any place mentioned in clause
d) and seize the same if he has reason to believe that it may furnish evidence of the commission of an offence punishable under this act. 

(2) Provisions of the code of criminal procedure, 1898 shall may apply to any search under this act.

(3) Where any person seizes anything under clause (b) or clause (c) of sub section (1), he shall, as soon as may be inform a Magistrate and take his orders as to the custody thereof.           

Offences by companies

(1)If the person contravening any of the provisions of this Act is a company, every person who, at the time the offence was committed, was in charge of, and was responsible to, the company for the conduct of the business of the company as well as the company shall be deemed to be guilty of the contravention and shall be liable to be proceeded against and punished accordingly:

(2) Notwithstanding anything contained in sub-section (1) where an offence under this act has been committed by a company and it is proved that the offence was committed with the consent or connivance of, or is attributable to any neglect on the part of, any director or manager, secretary or other officer of the company, such director manager, secretary or other officer of the company shall also be deemed to be guilty of that offence and shall be liable to be proceeded against and punished accordingly.

Jurisdiction to try offences

No court inferior to that of a Presidency Magistrate or a Magistrate of first class shall try any offence punishable under this Act.

Forfeiture

Where a person has been convicted by any court for contravening any provision of this Act or any rule made there under, the court may direct that any document (including all copies thereof), article or thing, in respect of which the contravention is made, including the contents thereof where such contents are seized under clause (b) of sub-section (1) of section 8, shall be forfeited to the Government.


Officers to be deemed to be public servants
Every person authorized under section 8, shall be deemed to be a public servant within the meaning of section 21 of Indian Penal Code (Act 45 of 1860).

Indemnity

No suit, persecution or other legal proceeding shall lie against any person for anything which is in good faith done or intended to be done under this Act.

Other laws not affected

The provisions of this Act in addition to, and not in derogation of, the provisions of any other law for the time being in force.

Savings – Nothing in this Act shall apply to :

(a) any signboard or notice displayed by a registered medical practitioner on his premises indicating that treatment for any disease, disorder or condition specified in Section 3, the Schedule or the rules made under this Act, is undertaken in those premises; or

(b) any treatise or book dealing with any of the matters specified in Section 3 from a bonafide scientific or social standpoint; or

(c) any advertisement relating to any drug sent confidentially in the manner prescribed under Section 16 only to a registered medical practitioner; or

(d) any advertisement relating to a drug printed or published by the Government; or

(e) any advertisement relating to a drug printed or published by any person with the previous sanction of the Government granted prior to the commencement of the Drugs and Magic Remedies (Objectionable Advertisement) Amendment Act, 1963 (42 of 1963);

Power to exempt from application of Act

If in the opinion of the Central Government public interest requires that the advertisement of any specified drug or class of drugs 1[or any specified class of advertisements relating to drugs] should be permitted; it may, by notification in the Official Gazzette, direct that the provisions of sections 3, 4, 5 and 6 or any one of such provisions shall not apply or shall apply subject to such conditions as may be specified in the notification to or in relation to the advertisement of any such drug or class of drugs 1[or any specified class of advertisement relating to drugs].

Power to make rules

(1) The Central Government may, by notification in the Official Gazzette, make rules for carrying out the purposes of this Act.

(2) In particular and without prejudice to the generality of the foregoing power, such rules may-

1. (a) specify any [disease, disorder or condition] to which the provisions of section 3 shall apply; (b) prescribe the manner in which advertisements of articles or things referred to in clause (c) of section 14 may be sent confidentially. 

(3)Every rule made under this Act shall be laid as soon as may be after it is made, before each House of Parliament while it is in session for a total period of thirty days which may be comprised in one session or in two or more successive sessions and if before the expiry of session in which it is so laid or the successive sessions aforesaid, both Houses agree in making any modification in the rule or both Houses agree that the rule should not be made, the rule shall thereafter have effect only in such modified form or be of no effect, as the case may be; so, however, that any such modification or annulment shall be without prejudice to the validity of anything previously done under that rule.

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Related reading:-

The Drugs and Magic Remedies (ObjectionableAdvertisements) Rules, 1955. Notification No.S.R.O.512,dt.26-02-1955

Schedule N Drugs and Cosmetics Rules, 1945

SCHEDULE N

LIST OF MINIMUM EQUIPMENT FOR THE EFFICIENT RUNNING

OF A PHARMACY

1.  Entrance. - The front of a pharmacy shall bear an inscription “Pharmacy” in front.

2. Premises. - The premises of a pharmacy shall be separated from rooms for private use. The premises shall be well built, dry, well lit and ventilated and, of sufficient dimensions to allow the goods in stock, especially medicaments and poisons to be kept in a clearly visible and appropriate manner. The areas of the section to be used as dispensing department shall be not less than 6 square meters for one pharmacist working therein with additional 2 square meters for each additional pharmacist. The height of the premises shall be at least 2.5 meters.

The floor of the pharmacy shall be smooth and washable. The walls shall be plastered or tiled or oil painted so as to maintain smooth, durable and washable surface devoid of holes, cracks and crevices.

A pharmacy shall be provided with ample supply of good quality water.

The dispensing department shall be separated by a barrier to prevent the admission of the public.

3. Furniture and apparatus. - The furniture and apparatus of a pharmacy shall be adopted to the uses for which they are intended and correspond to the size and requirements of the establishment.

Drugs, chemicals, and medicaments shall be kept in a room appropriate to their properties and in such special containers as will prevent any deterioration of the contents or of contents of containers kept near them. Drawers, glasses and other containers used for keeping medicaments shall be of suitable size and capable of being closed tightly to prevent the entry of dust.

Every container shall bear a label of appropriate size, easily readable with names of medicaments as given in the Pharmacopoeias.

A pharmacy shall be provided with a dispensing bench, the top of which shall be covered with washable and impervious material like stainless steel, laminated or plastic, etc.

A pharmacy shall be provided with a cupboard with lock and key for the storage of poisons and shall be clearly marked with the work ‘POISON’ in red letters on a white background.

Containers of all concentrated solution shall bear special label or marked with the words “To be diluted”.

A Pharmacy shall be provided with the following minimum apparatus and books necessary for making of official preparations and prescriptions:-

Apparatus: -

Balance, dispensing, sensitivity 30 mg.

Balance, counter, capacity 3 Kgm., sensitivity 1 gm. Beakers, lipped, assorted sizes.

Bottles, prescription, ungraduated assorted sizes. Corks assorted sizes and tapers.

Cork, extracter.

Evaporating dishes, porcelain. Filter paper.

Funnels, glass.

Litmas paper, blue and red.

Measure glasses cylindrical 10 ml, 25 ml, 100 ml and 500 ml. Mortars and pestles, glass.

Mortars and pestles, wedgwood.

Ointment pots with bakelite or suitable caps. Ointment slab, porcelain

Pipette graduated, 2 ml, 5 ml and 10 ml. Ring, stand (retort) iron, complete with rings. Rubber stamps and pad

Scissors

Spatulas, rubber or vulcanite Spatulas, stainless steel. Spirit lamp

Glass stirring rods. Thermometer, 0^oC to 200^oC. Tripod stand.

Watch glasses. Water bath.

Water distillation still in case Eye drops and Eye lotions are prepared. Weights, Metric, 1 mg. to 100 gm.

Wire Gauze.

*Pill finisher, boxwood.

*  Pill Machine.

*  Pill Boxes.

*  Suppository mould.

Books :

The Indian Pharmacopoeia (Current Edition).

National Formulary of Indian (Current Edition).

The Drugs and Cosmetics Act, 1940.

The Drugs and Cosmetics Rules, 1945.

The Pharmacy Act, 1948.

The Dangerous Drugs Act, 1930.

4. General provisions. - A pharmacy shall be conducted under the continuous personal supervision of a Registered Pharmacist whose name shall be displayed conspicuously in the premises.

The Pharmacist shall always put on clean white overalls.

The premises and fittings of the pharmacy shall be properly kept and everything shall be in good order and clean.

All records and registers shall be maintained in accordance with the laws in force.

Any container taken from the poison cupboard shall be replaced therein immediately after use and the cupboard locked. The keys of the poison cupboard shall be kept in the personal custody of the responsible person.

Medicaments when supplied shall have labels conforming to the provisions of laws in

force.

Note: - The above requirements are subject to modifications at the discretion of the licensing authority, if he is of opinion that having regard to the nature of drugs dispensed, compounded or prepared by the licensee. It is necessary to relax the above requirements or to impose additional requirements in the circumstances of a particular case. The decision of the licensing authority in that regard shall be final.

* These items are to be provided only by those who intend to dispense pills or suppositories, as the case may be.]

Reference: 

http://indianhealthservices.in/schedules/Schedule_N.pdf