Supreme Court Allows Writ Petition for Minimum Wages in Ferry Employment — Ensures Compliance with Minimum Wages Act.

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Case Note & Summary

The dispute arose from a complaint regarding the non-payment of minimum wages to workmen employed in two ferries operated by the respondent in Bihar. The petitioner, Ram Kumar Misra, representing the Free Legal Aid Committee, filed a writ petition alleging that the workmen were not receiving the minimum wages as prescribed under the Minimum Wages Act, 1948. The respondent contended that the Act did not apply to the ferries. The Supreme Court examined the applicability of the Minimum Wages Act, particularly focusing on Entry 27 of the Schedule, which was amended to include any shop or establishment not covered by other entries. The court determined that the ferries qualified as establishments under the Bihar Shops and Establishments Act, 1953, thus making the Minimum Wages Act applicable. The court directed the Labour Department to ascertain the appropriate authority for adjudicating claims for arrears of minimum wages and mandated that the workmen be paid the minimum wages as per the relevant notifications. The court also ordered the State of Bihar to pay costs to the petitioner for advocating the rights of the workmen. The decision emphasized the need for compliance with minimum wage regulations in the context of employment in ferries (Paras 1011-1017).

Headnote

A) Labour Law - Minimum Wages Act Applicability - Employment in Ferries - Minimum Wages Act, 1948, Schedule Entry 27 - The court held that the ferries at Bhagalpur and Sultanganj are establishments under the Minimum Wages Act, 1948, as they carry on business of plying ferries, thus entitled to minimum wages as per notifications issued. The definition of 'establishment' in the Bihar Shops and Establishments Act, 1953 was applied to determine the applicability of the Minimum Wages Act (Paras 1011-1016).

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Issue of Consideration

Whether the Minimum Wages Act, 1948 applies to the employment in ferries at Bhagalpur and Sultanganj.

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Final Decision

The court held that the Minimum Wages Act, 1948 applied to the employment in the Bhagalpur and Sultanganj ferries, directing the Labour Department to determine claims for arrears of minimum wages and ensuring payment to the workmen. The State of Bihar was ordered to pay costs to the petitioner.

Law Points

  • Minimum Wages Act applicability
  • Definition of establishment
  • Employment in ferries
  • Inquiry into wage claims
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Case Details

1983 LawText (SC) (09) 4

Writ Petition (Criminal) No. 53 of 1983

1983-09-21

Bhagwati, P.N., Sen, Amarendra Nath

1984 AIR 537, 1983 SCR (3) 1011, 1984 SCC (2) 451, 1983 SCALE (2) 975

J. Verghese, A. K. Sanghi, D. Goburdhan

Ram Kumar Misra

State of Bihar and Others

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Nature of Litigation

Writ petition regarding non-payment of minimum wages.

Remedy Sought

Petitioner sought enforcement of minimum wage payments for workmen.

Filing Reason

Allegation of non-payment of minimum wages under the Minimum Wages Act.

Issues

Applicability of Minimum Wages Act to ferries Definition of establishment under Bihar Shops and Establishments Act

Submissions/Arguments

Petitioner argued for applicability of Minimum Wages Act to ferries. Respondent contended that the Act did not apply.

Ratio Decidendi

The ferries operated by the respondent were deemed establishments under the Minimum Wages Act, 1948, thus entitled to minimum wages as per the relevant notifications.

Judgment Excerpts

The Minimum Wages Act, 1948 would, therefore, clearly be applicable to employment in the Bhagalpur and Sultanganj ferries. The workmen employed in the Bhagalpur and Sultanganj ferries were entitled to receive minimum wage as set out in the Notification dated 25th June 1975.

Procedural History

The writ petition was filed based on a letter complaint, notice was issued, and an inquiry was conducted by the District Magistrate and the petitioner, leading to a report that supported the applicability of the Minimum Wages Act.

Acts & Sections

  • Minimum Wages Act, 1948: 3(1)(a), 5(2)
  • Bihar Shops and Establishments Act, 1953: 2(6)
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