IN THE HIGH COURT OF KARNATAKA
A.N. Venugopala Gowda, J.
Akshara Motors Pvt. Ltd. – Appellant
Vs.
Secretary Labour Department – Respondent
Writ Petition Nos. 56099-56184 of 2015 (L-Res)
Decided On : 28-10-2016
MINIMUM WAGES ACT, 1948 - Section 5 - Revision of minimum rates of wages - Labour department failed to place files before Minister concerned for consideration and decision - Due to said glaring lapse on part of officials of labour department further delay occurred in revision of rates - Court directed the Government to impose penalty on delinquent officials.
A.N. Venugopala Gowda, J.
Common questions of facts and law arise for consideration in these petitions which were heard together and shall stand disposed of by this Common Order.
2. These petitions have been filed by the employers, challenging the Notifications of the Government of Karnataka, issued in exercise of the power under Section 3(1)(b) and Section 5(1)(b) of the Minimum Wages Act, 1948 (for short, 'the Act'), revising the rates of minimum wages with respect to scheduled employments, with effect from 01.04.2015.
3. The respondents are the Government of Karnataka in whose name the impugned Notifications have been issued and published and the Trade Unions which espoused the cause of employees/sweated labour employed by the petitioners and other employers in the State of Karnataka.
4. The material facts and events which have given rise to these petitions are: that the revision of minimum wages in respect of the scheduled employments in the Automobile Engineering (including service and repair), Foundry, Hospitals, Oil Mills, Printing Press, Ceramics, Stoneware, Pottery Works and Veneer industries in the State of Karnataka having been made on 02.03.2009 and the revision having become due, draft Notifications were published on 30.10.2014. Advisory Commit-lee constituted on 05.01.2015 submitted a report dated 27.05.2015. State Government issued the impugned Notifications on 30.07.2015 in respect of Automobile Engineering and Veneer industries, and on 03.08.2015 i.e., in respect of the aforesaid other industries.
5. In W.P. Nos. 56099-184/2015 filed by M/s. Akshara Motors Pvt. Ltd. and others, interim stay of implementation of the impugned Notification was ordered subject to the condition that the petitioner shall pay 75% of the amount specified for different categories with prospective effect i.e., from the date of the Notification. Ad interim stay of the impugned Notifications was ordered in the connected writ petitions, subject to the same condition.
6. The Minimum Wages Act, 1948 was enacted by the Parliament to provide for fixing minimum rates of wages in certain employments. Section 2 gives the definitions of various expressions appearing in the Act. Clauses (e), (h) and (i) give the meaning of the words "employer", "wages" and "employee" respectively. Section 3 provides for fixing of the minimum rates of wages by the appropriate Government and to review at certain intervals.
7. Section 5 of the Act reads thus:
"5. Procedure for fixing and revising minimum wages.-(1) In fixing minimum rates of wages in respect of any scheduled employment for the first time under this Act or in revising minimum rates of wages so fixed, the appropriate Government shall either-
(a) appoint as many committees and subcommittees as it considers necessary to hold enquiries and advise it in respect of such fixation or revision, as the case may be, or
(b) by notification in the Official Gazette, publish its proposals for the information of persons likely to be affected thereby and specify a date, not less than two months from the date of the notification, on which the proposals will be taken into consideration.
(2) After considering the advice of the committee or committees appointed under clause
(a) of sub-section (1), or as the case may be, all representations received by it before the date specified in the notification under clause
(b) of that sub-section, the appropriate Government shall, by notification in the Official Gazette, fix, or, as the case may be. revise the minimum rates of wages in respect of each scheduled employment, and unless such notification otherwise provides, it shall come into force on the expiry of three months from the date of its issue:
Provided that where the appropriate Government proposes to revise the minimum rates of wages by the mode specified in clause (b) of sub-section (1), the appropriate Government shall consult the Advisory Board also."
(Underlining is mine for emphasis)
Thus it is clear, that Section 5 of the Act
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