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2025 Supreme(Mad) 2581

IN THE HIGH COURT OF JUDICATURE AT MADRAS
M.Dhandapani, J.
M/s.Padma Chemicals - Petitioner
Versus
The Government of Tamil Nadu Rep. By its Secretary to Government Labour & Employment Department and ors. – Respondents
W.P. NO.34095 OF 2018, W.M.P. NOS. 39614, 39615 & 39618 OF 2018, W.M.P. NOS. 1124 & 29969 OF 2021, W.M.P. NOS. 26777 OF 2022 & 470 OF 2023
Decided On : 07-04-2025

Advocates:
Advocate Appeared:
For the Petitioner: Mr. A.L.Somayaji, SC, for Mr. T.Sai Krishnan
For the Respondent: Mr. K.Surendran, AGP for Ms. M.Sreela

The court upheld the validity of government notifications on minimum wage revisions, affirming compliance with procedural requirements under the Minimum Wages Act, 1948.

Headnote:(A) Minimum Wages Act, 1948 - Section 3 and Section 5 - Revision of minimum wages for salt production activities - Government orders fixing minimum wages, purported to supersede earlier notification, challenged by petitioner claiming lack of notice and procedural violations. (Paras 2-6, 10, 23-28)

(B) Natural Justice - Requirement of notice and opportunity to stakeholders before fixing/revising minimum wages - Court clarifies that publication in the Gazette fulfills statutory requirements and individual notice is not mandated under the Act. (Paras 27-30)

(C) Wage Determination - Work hours of contract labour do not exempt them from receiving minimum wages set for a normal working day, as employer’s decisions dictate working conditions. (Paras 29-31)

Facts of the case:
The petitioner challenges the Government Orders on minimum wage revision for salt production, arguing arbitrary increases without proper notice or consideration of work hours worked by contract labourers.

Findings of Court:
The Court affirmed the Government's adherence to procedures laid down under the Minimum Wages Act, declaring the notifications as fair and sustainable, rejecting the petition on procedural grounds.

Issues: The primary issue was whether the Government followed the requisite procedure in revising minimum wage notifications and whether proper notice was given to affected parties.

Ratio Decidendi: The Court ruled that the process of notifying minimum wages complied with statutory requirements, emphasizing that self-serving claims of lack of notice by the petitioner cannot override established procedures.

Result: Writ petition dismissed.

Table of Content
1. petitioner challenges minimum wage notification (Para 1 , 2 , 3 , 4)
2. violation of procedure in fixing wages (Para 5 , 6 , 7 , 8 , 9)
3. government's adherence to minimum wage laws (Para 10 , 11 , 12 , 13 , 14)
4. court's review of procedural compliance (Para 16 , 17 , 18 , 19 , 20 , 21 , 22)
5. legal procedures for setting minimum wages (Para 23 , 24 , 25 , 26 , 27 , 28)
6. employer's obligation under minimum wage law (Para 29 , 30 , 31)
7. writ petition dismissal and no costs (Para 32 , 33)

ORDER :

M.Dhandapani, J.

Aggrieved by the Government Orders issued and gazetted in and by which minimum wages have been fixed by the 1st respondent in respect of the employment relating to the workmen engaged in the salt production activities, the present writ petition has been filed assailing the said Government Orders.

2. It is the case of the petitioner that it is engaged in the production of salt and that it is having a long term lease of about 1650 acres of saultry lands at Villipakkam Village and adjoining areas. The salt pans of the petitioner are providing direct and indirect employment to the villagers in the locality and that the workmen engaged by the contractors of the petitioner for the production activities work only for about 2 to 5 hours in a day and the payments for the activities of scrapping, hauling and heaping are paid on quantum basis and the workmen earn about Rs.500/- to Rs.600/- per day. Whileso, vide the impugned notification, in exercise of the powers conferred u/s 3 of the MINIMUM WAGES ACT , 1948 (for short ‘the Act’), have come to be issued fixing the minimum rates of wages for different activities that are being carried on in the salt pans in connection with the production of salt.

3. It is the further case of the petitioner that the impugned notification seeks to supersede the earlier notification dated 7.7.2010 issued by the 1st respondent whereby the minimum rates of wages are sought to be increased by about 100% of the then fixed rates of minimum wages. The workmen do not work for the entire day, but only work for about 2 to 3 hours in a day, which has not at all been taken into consideration while fixing the minimum rates of wages. The petitioner became aware of the Government Order only when certain proceedings were initiated against the petitioner alleging non- payment of minimum wages. It is the further grievance of the petitioner that before enhancing the minimum wages the petitioner has not been put on notice about the proposal to revise the minimum rate of wages and the procedure provided for under the Act has not been followed and the minimum rate of wages are sought to be fixed arbitrarily without affording an opportunity to the petitioner, which is in gross violation of principles of natural justice.

4. It is the further stand of the petitioner that the work being done by the workmen is only for 2 to 3 hours per day has not been taken into consideration by the 1st respondent while fixing the minimum wages and the minimum wages fixed for the various types of works are arbitrary. It is the further stand of the petitioner that though the notification has been issued in consultation with the Advisory Board stating that it has been published in the official gazette inviting proposal from persons, who are likely to be affected, however, the petitioner has not been put on notice nor given any opportunity before issuing the impugned notification. The arbitrary issuance of the notification has been questioned by the petitioner by filing the present petition.

5. Learned senior counsel appearing for the petitioner submitted that there is stark violation of the procedure in fixing the minimum wages as the procedure fixed for revising the minimum rates of wages have not been followed by the respondents and, therefore, the impugned notification cannot stand the test of law.

6. It is the further submission of the learned senior counsel that the said notification for minimum wages has been issued with

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