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        Labour laws

        Section 7 - Components of minimum wages.

        The Code On Wages, 2019
        Chapter II
        MINIMUM WAGES

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        Minimum wage components: allowance options and computation authority ensure cost-of-living adjustment in wage determination. Section 7 allows the appropriate Government to fix minimum wages as (i) a basic rate plus a cost of living allowance adjusted to reflect the relevant cost of living index, (ii) a basic rate with or without that allowance plus the cash value of authorised concessions for essential commodities, or (iii) an all-inclusive rate incorporating basic pay, cost of living allowance and concessions. The cost of living allowance and cash value of concessions must be computed by an authority appointed by the appropriate Government in accordance with notified intervals and directions.
                      Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
                        Provisions expressly mentioned in the judgment/order text.

                            Minimum wage components: allowance options and computation authority ensure cost-of-living adjustment in wage determination.

                            Section 7 allows the appropriate Government to fix minimum wages as (i) a basic rate plus a cost of living allowance adjusted to reflect the relevant cost of living index, (ii) a basic rate with or without that allowance plus the cash value of authorised concessions for essential commodities, or (iii) an all-inclusive rate incorporating basic pay, cost of living allowance and concessions. The cost of living allowance and cash value of concessions must be computed by an authority appointed by the appropriate Government in accordance with notified intervals and directions.


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