Minimum Wages Act 1948 (MWA), is the basis of wages calculated for labor in India. It is a Central Government Act, therefore it supersedes State Acts.
The Minimum Wages Act has identified various industries based on the nature of their work. These are called Industries. MWA stipulates wages payable to employees in the scheduled employment. It also stipulates the registers and records to be maintained by the employer.
The Bombay Shops and Establishment Act was also setup for shops and commercial establishments which were not covered by the MWA. It covered for employment in security services or housekeeping services which was not otherwise covered by the MWA.
Further there was confusion as to which minimum wages would apply to the labor supply contractor who supplied labor for say a Manufacturing Company and also supplied labor to a Chemical Company.
In this case the nature of work of the labor is taken into consideration. If the labor is working as contract labor for a chemical plant, the minimum wages of that scheduled employment would be applicable. Whereas, the labor working as contract labor in the manufacturing plant, would be paid minimum wages of applicable to that scheduled employment.
If the labor work was for security or housekeeping services, the wages applicable under Maharashtra Shops and Commercial Establishment Act would be applicable as the contractors nature of work will take precedence.
In the case of garden services it depends on the broader nature of the labor supply contractor. If the labor supply contractor provides for security and housekeeping services then the wages would be payable under the Maharashtra Shops and Establishment Act. The assumption here would be that the contractor would interchange the roles of the labor depending on the contract and the minimum wages cannot be different for different labor employed by him.
However, if the labor supplier is a nursery or dedicated horticulture contractor, the nature of work under the scheduled employment under MWA would be applicable.
In conclusion, the minimum wages payable establish the wages payable to labor and is established by the nature of work under the scheduled employment of MWA or Maharashtra Shops and Establishment Act.
