Bifurcation of minimum wages

moroliya

Dear Friends,
Can an employer bifurcate Minimum Wages in different Heads so as to reduce his contribution towards P.F. Can any one provide me the copy of judgement of Division Bench of the Karnataka High Court in Group 4 Securitas Guarding Ltd Vs RPFC (2004-II-LLJ-1142-Kar H.C) ot any other latest judgment on this matter

REGARDS

ALOK MOROLIYA

cyril

Hi,

I am trying to obtain a copy of the judgement referred to.

In my understanding, any splitting of minimum wage, should not deprive the employee of the benefit which he would have otherwise derived. For example, reducing the basic and including the same in such allowances, which do not attract provident fund. Otherwise, splitting of minimum wages should be possible.

Cyril

aby_vas

You got to go again through MWA. Minimum Wages are basic wages and PF has to be on atleast minimum wage. You cannot breakup minimum wages to different allowances.

S. Krishnamoorthy

Though DA is excluded for calculating the contribution for EPF, the EPF authorities are of the view that the basic plus DA, which form part of the minimum wages, will have to be taken into account. This view is controversial. Only a legal verdict can settle this once and for all.
S. Krishnamoorthy