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LATEST NEWS UPDATES | Create new category under Minimum Wages Act, Jairam Ramesh urges PM

Create new category under Minimum Wages Act, Jairam Ramesh urges PM

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published Published on Dec 29, 2011   modified Modified on Dec 29, 2011

-The Economic Times

 

Rural development minister Jairam Ramesh has urged Prime Minister Manmohan Singh to re-consider the idea of creating a new category under the Minimum Wages Act, 1948, for the rural employment scheme. He has said that the revisit can be done even as the special leave petition (SLP) process moves forward.

The Centre has already decided to file a SLP in the Supreme Court against the Karnataka HC's s judgement on wage rates under Mahatma Gandhi National Rural Employment Guarantee Act.

Ramesh made this request even as he gave the go-ahead to file the SLP. Even as he assured the prime minister that the petition is not "overtly confrontational in tone", Ramesh urged that simultaneously the option of creating a new category under the Minimum Wages Act be revisited.

In October, the rural development minister had written to the prime minister recommending against the idea of challenging the high court's judgement. Instead, Ramesh had suggested that creating a new category of wages and a separate mechanism for determining wage rate for the rural employment scheme under the minimum wage law.

This would resolve the conflict with the wage rates under the Mahatma Gandhi National Rural Employment Guarantee Act, 2005. It would also resolve the situation emerging in the light of the Karnataka High Court's September 23 judgement, which directed the central government to bring these wages on a par with the minimum wages applicable in the states. The judgement of the Andhra Pradesh HC is awaited.

Ramesh is of the view that the "atmospherics" associated with the petition would work against the Congress-led government.

The minister argues that his recommendation is reflective of the opinion of the Sonia Gandhi-led National Advisory Council. The UPA chairperson had written to the prime minister in November last year suggesting that the NREGA workers "should be paid minimum wages notified under the Minimum Wages Act".

The Economic Times, 29 December, 2011, http://economictimes.indiatimes.com/news/politics/nation/create-new-category-under-minimum-wages-act-jairam-ramesh-urges-pm/articleshow/11286453.cms


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