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Bifurcation of minimum wages

moroliya - Member Since: Oct 2008
Subject - Bifurcation of minimum wages
Thread Topic Post

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 Full Member - Member Since: Nov 2008
Subject - Re: Bifurcation of minimum wages
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 - Member Since: Oct 2008
Subject - Re: Bifurcation of minimum wages
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 - Member Since: Oct 2008
Subject - Re: Bifurcation of minimum wages
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


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